Core Viewpoint - ZJK Industrial Co., Ltd. reported significant financial growth in the first half of fiscal year 2024, with revenue increasing by 72.81% to US$16.23 million, driven by strategic market expansion and high demand for its products in the new energy vehicle and intelligent electronic device sectors [2][3][4]. Financial Highlights - Revenue increased by 72.81%, reaching US$16.23 million for the six months ended June 30, 2024, compared to US$9.39 million for the same period last year [2][6]. - Gross profit rose by 134.31% to US$7.56 million, with the gross profit margin improving from 34.34% to 46.57% [2][12]. - Income from operations surged by 149.33% to US$4.91 million, while net income increased by 106.98% to US$5.43 million [2][19]. - Basic and diluted earnings per share increased to US$0.09 from US$0.04 [20]. Revenue Breakdown - Revenue from hardware products increased by 72.81%, attributed to a 44.55% rise in total sales volume and a 21.91% increase in average unit sales price [7][8]. - Revenue from turned parts saw an average unit sales price increase of 28.25% and a sales volume increase of 39.73%, contributing an additional US$3.29 million [8]. - For screws, the average unit sales price increased by 8.10% and sales volume increased by 45.98%, adding US$2.51 million to revenue [8]. - Stamping parts experienced a 12.84% increase in sales volume, contributing US$0.79 million to revenue [9]. Cost and Expenses - Cost of revenues increased by 40.64% to US$8.67 million, aligning with the sales volume increase [10]. - General and administrative expenses rose by 245.36% to US$1.22 million, primarily due to increased professional service fees and salaries [13]. - Selling and marketing expenses increased by 123.17% to US$1.18 million, driven by higher sales commissions and freight costs [14]. - Research and development costs decreased by 35.69% to US$0.24 million, attributed to lower material consumption for new product types [15]. Cash Flow and Financial Condition - As of June 30, 2024, the company had cash of US$8.56 million and restricted cash of US$1.70 million, compared to US$2.83 million and US$1.08 million as of December 31, 2023 [21]. - Net cash provided by operating activities was US$7.73 million for the six months ended June 30, 2024, compared to US$3.93 million for the same period last year [21]. - Net cash used in investing activities was US$0.32 million, while net cash used in financing activities was US$0.47 million [22]. Recent Developments - The company completed its initial public offering on October 1, 2024, raising gross proceeds of US$6.91 million [23]. - The company's ordinary shares began trading on the Nasdaq Capital Market under the ticker symbol "ZJK" [23]. Company Overview - ZJK Industrial Co., Ltd. specializes in manufacturing precision fasteners and structural parts for various industries, including new energy vehicles and intelligent electronic devices [24]. - The company has a strong focus on innovation, production technology advancements, and maintaining a skilled professional team [4][24].
ZJK Industrial Co., Ltd. Reports Financial Results for the First Six Months of Fiscal Year 2024