Yihai Kerry Arawana Holdings (300999) Q3 2024 earnings summary

Executive summary

• Q3 2024 revenue was ¥65.98 billion, down 5.49% year-over-year; net profit attributable to shareholders was ¥334 million, down 71.25% year-over-year.

• For the first nine months, revenue reached ¥175.45 billion, down 6.93% year-over-year; net profit attributable to shareholders was ¥1.43 billion, down 32.78% year-over-year.

• Decline in revenue mainly due to falling product prices despite increased sales volume; profit drop driven by lower prices and reduced crushing margins.

Financial highlights

• Q3 net profit excluding non-recurring items was ¥77.8 million, down 91.3% year-over-year; nine-month figure was ¥238 million, down 73.77%.

• Operating cash flow for Q3 was ¥12.55 billion, down 35.71% year-over-year.

• Basic and diluted EPS for Q3 were both ¥0.06, down 71.43% year-over-year.

• Total assets at Q3-end were ¥216.63 billion, down 9.17% from year-end 2023.

• Shareholders’ equity at Q3-end was ¥92.45 billion, up 1.04% from year-end 2023.

Outlook and guidance

• Kitchen food segment expected to benefit from recent price rebounds in soybean and rapeseed oil, with improved margins in catering and food industry channels.

• Feed ingredients and oil technology segment faces continued margin pressure despite sales growth.