FUYAO GLASS's revenue in the third quarter of 2024 exceeded 28.3 billion, with a gross profit margin reaching a three-year high | Financial Report Insights

Fuyao Glass continues to achieve high growth in the first three quarters. In particular, the net profit for the first three quarters was 5.479 billion yuan, a year-on-year increase of 32.79%.

On October 17, Fuyao Glass disclosed the performance report for the first three quarters of 2024. The data shows:

• Revenue for the first three quarters was 28.314 billion yuan, an 18.84% increase year-on-year;
• Net profit was 5.479 billion yuan, a 32.79% increase year-on-year.

In particular, Fuyao Glass achieved revenue of 9.974 billion yuan in the third quarter, a 13.41% increase year-on-year, approaching the ten billion mark for the first time in a single quarter.

The net profit for this quarter was 1.98 billion yuan, a 53.54% increase year-on-year, second only to the historical highest profit level of 2.111 billion yuan in the second quarter of this year.

Fuyao Glass stated that the profit growth in the third quarter was driven by revenue growth, reduced financial expenses, and improved efficiency. In the third quarter of this year, Fuyao Glass achieved a gross profit margin of 38.78%, also reaching a new high in three years.

Officials from Fuyao Glass, in an interview with a reporter from the Shanghai Securities News, stated:

"The main reasons for the profit growth are improved efficiency, operational leverage, and cost optimization of some energy and chemical materials."

Since the end of last year, Fuyao Glass has successively launched the Fujian Fuqing project and the Anhui Hefei project, entering a new round of capacity expansion. According to analysts from securities firms, considering the heavy asset-driven nature of the automotive glass industry and the continuous production requirements, as well as the capital expenditure contraction of the company's competitors such as Xinyi Glass during the same period, Fuyao's capital expenditure expansion in 2023-2024 is expected to drive the company's future global market share increase acceleration, and revenue growth acceleration is expected to occur in 2025-2026.

The third quarter report shows that as of September 30, 2024, the number of A-share shareholders of the company was 102,800, a decrease of 15,200 from June 30, 2024, with a decrease of 12.91%