Shanghai Zhangjiang Hi-Tech Park Development (600895) Q3 2024 earnings summary

Executive summary

• Revenue for Q3 2024 was RMB 457.1 million, down 62.08% year-over-year; YTD revenue was RMB 1.68 billion, down 3.66% year-over-year.

• Net profit attributable to shareholders for Q3 was RMB 244.7 million, down 34.10% year-over-year; YTD net profit was RMB 511.0 million, down 33.09% year-over-year.

• Basic and diluted EPS for Q3 was RMB 0.16, down 33.33% year-over-year; YTD EPS was RMB 0.33, down 32.65% year-over-year.

Financial highlights

• Gross margin and net margin declined due to a significant drop in space carrier sales revenue.

• Operating cash flow for the first nine months was negative RMB 2.28 billion, an improvement of 18.43% year-over-year.

• Total assets at Q3-end were RMB 54.57 billion, up 6.99% from year-end 2023.

• Shareholders’ equity at Q3-end was RMB 12.57 billion, up 1.02% from year-end 2023.

Outlook and guidance

• Management attributes profit and revenue declines to lower space carrier sales and reduced investment income.

• No explicit forward-looking guidance provided.