GEM(002340)2024-10-29 23:13Financial Performance - The company's operating revenue for Q3 2024 reached ¥7,534,279,820.59, an increase of 3.37% compared to the same period last year[2] - Net profit attributable to shareholders was ¥202,393,620.20, representing a significant increase of 50.75% year-on-year[2] - The net profit after deducting non-recurring gains and losses was ¥96,577,018.55, down 17.66% from the previous year[2] - Basic earnings per share for the quarter were ¥0.04, up 33.33% year-on-year[2] - In the first three quarters of 2024, the company achieved a revenue of 24.872 billion RMB, a year-on-year increase of 22.96%[11] - The net profit for the same period reached 904 million RMB, reflecting a significant year-on-year growth of 65.06%[11] - Total operating revenue for Q3 2024 reached CNY 24.87 billion, an increase of 22.5% compared to CNY 20.23 billion in Q3 2023[32] - Net profit for Q3 2024 was CNY 1.06 billion, representing a 41.8% increase from CNY 749.13 million in Q3 2023[33] - The total comprehensive income for the third quarter of 2024 was CNY 977,840,225.22, an increase of 55.5% compared to CNY 627,880,705.68 in the same period last year[34] Assets and Liabilities - Total assets at the end of the reporting period amounted to ¥62,061,012,673.30, reflecting a growth of 17.91% compared to the end of the previous year[2] - The total liabilities as of Q3 2024 were CNY 38.99 billion, an increase of 26.0% from CNY 30.93 billion in Q3 2023[32] - The total equity attributable to shareholders of the parent company reached CNY 19.23 billion, up 2.5% from CNY 18.76 billion in the same period last year[32] - The total current assets decreased from CNY 24.58 billion to CNY 22.57 billion, a reduction of approximately 8.5%[30] - Non-current assets rose significantly from CNY 28.05 billion to CNY 39.49 billion, an increase of around 40.7%[31] Cash Flow - Cash flow from operating activities increased by 282.19% year-on-year, attributed to a significant expansion in sales scale and improved customer structure[6] - The net cash flow from operating activities was CNY 2,052,391,886.84, significantly up from CNY 537,005,843.99 in the previous year, marking an increase of 282.5%[36] - The total cash inflow from financing activities was CNY 13,279,422,948.02, an increase of 46.5% compared to CNY 9,070,863,580.72 in the previous year[36] - The company reported a net cash flow from financing activities of CNY 4,414,867,143.86, compared to CNY 1,615,963,242.59 in the previous year, indicating a growth of 173.5%[36] Production and Operations - The output of ternary precursors was 143,000 tons, a year-on-year increase of 18.94%[14] - The output of cobalt tetroxide reached 14,500 tons, showing a substantial year-on-year growth of 93.33%[14] - The company’s MHP production from Indonesian nickel resources was 31,800 tons, a year-on-year increase of 83.43%[14] - The utilization rate for ternary precursors exceeded 95%, with high-end products constituting 90% of total output[14] - The company has successfully completed the construction and commissioning of the second phase of the Qiangmeibang nickel resource project, achieving a production capacity of over 25,000 tons of nickel per year from a single reactor, marking a significant technological advancement in the field of low-grade nickel ore hydrometallurgy[16] - The total nickel smelting capacity of the company has reached 150,000 tons per year, with the Qiangmeibang project contributing 65,000 tons, and other projects such as Meiming and Green Aike steadily progressing towards their respective capacities of 25,000 tons and 20,000 tons[17] Research and Development - The company has invested a total of 6.757 billion yuan in R&D over the past 11 years, with over 85% of current profits reinvested into research and development, successfully developing core technologies for high-nickel ternary precursors used in 20% of global ternary power electric vehicles[21] - Research and development expenses for Q3 2024 amounted to CNY 782.78 million, compared to CNY 761.81 million in Q3 2023, reflecting a growth of 2.6%[33] Strategic Initiatives - The company has established a strategic cooperation memorandum with ECOPRO BM to ensure the supply of 265,000 tons of precursors from 2025 to 2028, aiming to enhance competitiveness in the global market for battery materials[23] - The company has launched the "ECO RECYCLING" digital platform to promote equipment updates and recycling, achieving a monthly growth rate of approximately 138% in the recovery of six major categories of waste, including scrapped cars and household appliances[22] - The company has invested $30 million to establish a joint research laboratory in Indonesia, which is the first of its kind for a Chinese enterprise in the country, aimed at advancing metallurgical technology and resource recycling[25] Environmental, Social, and Governance (ESG) - The company is committed to enhancing its ESG initiatives, including expanding employee facilities in Indonesia by over 20,000 square meters[29] - The company aims to establish a responsible and sustainable mineral supply chain, focusing on green mining and manufacturing practices[29] - The company has successfully passed the RMAP audit, becoming the first smelting enterprise in Indonesia to manage nickel and cobalt supply chains responsibly[29] Other Financial Metrics - Financial expenses increased by 58.58% year-on-year, mainly due to a reduction in exchange gains[5] - The company reported a significant increase in sales expenses, which rose to CNY 77.62 million in Q3 2024 from CNY 63.84 million in Q3 2023, an increase of 21.6%[33] - The company’s other comprehensive income after tax for Q3 2024 was CNY -84.21 million, an improvement from CNY -121.25 million in Q3 2023[33] - The cash outflow from investment activities was CNY 8,954,429,621.52, which is an increase of 123.5% from CNY 4,015,343,911.36 in the previous year[36] Future Plans - The company is advancing its second phase of MHP production, aiming for an annual target of 60,000 tons of nickel[14] - The company plans to implement new accounting standards starting from 2024[37]