Sharetronic Data Technology Co Ltd (300857) Q2 2024 earnings summary

Executive summary

• Revenue for H1 2024 reached ¥3.58 billion, up 94.51% year-over-year, with net profit attributable to shareholders at ¥357.78 million, up 216.58% year-over-year.

• Growth driven by strong demand in smart storage, AIoT terminals, and cost optimization, with high-value product sales and new business models boosting profitability.

• R&D investment increased by 55.49% to ¥90.81 million, supporting innovation in storage controllers and integrated solutions.

Financial highlights

• Operating income: ¥3.58 billion, up 94.51% year-over-year.

• Net profit attributable to shareholders: ¥357.78 million, up 216.58% year-over-year.

• Gross margin improved to 17.46%, up 3.84 percentage points year-over-year.

• Basic and diluted EPS: ¥1.47, up 194% year-over-year.

• Net cash flow from operating activities: -¥282.64 million, down from +¥122.38 million last year, mainly due to settlement of prior period payables.

• Total assets at period end: ¥5.93 billion, up 16.19% from year-end 2023.

Outlook and guidance

• Market demand for high-performance storage and AIoT devices expected to remain strong, with continued expansion in smart home, wearables, and cloud services.

• Company to focus on R&D, supply chain optimization, and expansion of manufacturing and overseas operations.