Sunresin New Materials Co (300487) Q2 2024 earnings summary

Executive summary

• Achieved record-high revenue of ¥1.29 billion, up 28.5% year-over-year, and net profit attributable to shareholders of ¥404 million, up 16.8% year-over-year.

• Core business in adsorption materials showed strong resilience, with high gross margins and robust growth in key segments.

• International sales surged 56% year-over-year, reflecting successful global expansion.

Financial highlights

• Revenue: ¥1,294.5 million, up 28.5% year-over-year.

• Net profit attributable to shareholders: ¥404.1 million, up 16.8% year-over-year.

• Operating cash flow: ¥211.3 million, up 16.1% year-over-year.

• Gross margin: 47.5%, with adsorption materials at 51.0%.

• Basic EPS: ¥0.80, up from ¥0.69 year-over-year.

Outlook and guidance

• Continued focus on R&D and innovation, with R&D expenses up 23% year-over-year.

• Plans to expand high-end material production capacity by 20,000 tons to meet growing demand.

• No interim dividend, bonus shares, or capital increase from reserves planned for the half-year.