Zanyu Technology Group (SZSE:002637) has released its full-year 2023 financial results, showing a revenue of CN¥9.61 billion, a decrease of 14% from the previous year. Despite this decline, the company’s net income improved to CN¥87.9 million, compared to a loss of CN¥69.9 million in FY 2022. The profit margin also increased to 0.9%, up from a net loss in the previous year. This move towards profitability was attributed to lower expenses, resulting in an earnings per share (EPS) of CN¥0.19, up from a loss of CN¥0.15 in FY 2022.
On April 21st, 2024, the company announced its earnings and revenue growth for the trailing 12-month (TTM) period. Revenue fell short of analyst estimates by 9.1%, while EPS missed expectations by 60%. Looking ahead, Zanyu Technology Group forecasts a 15% average annual revenue growth over the next two years, slightly below the 16% growth forecast for the Chemicals industry in China.
Despite these results, the company’s share price has remained stable over the past week. However, it is important to consider potential risks associated with investing in Zanyu Technology Group, as there have been two warning signs identified, with one deemed significant. To better understand the valuation of the company, a comprehensive analysis is recommended that includes fair value estimates, risks
