China Fund News Taylor
earned more than 1 billion yuan in a single quarter, and the latest financial report of the big bull stock Zhongji InnoLight has just hit the screen.
html On the evening of 21st, Zhongji InnoLight, the leader in the optical module sector, announced its 2023 annual report and first quarter 2024 results.Among them, operating income in 2023 will be 10.718 billion yuan, a year-on-year increase of 11.16%; net profit is 2.174 billion yuan, a year-on-year increase of 77.58%; basic earnings per share is 2.8 yuan. The company plans to convert 4 shares for every 10 shares and distribute a cash dividend of 4.5 yuan (tax included).
What surprised investors even more was that the company disclosed its first quarter report on the same day. In the first quarter of 2024, the company achieved operating income of approximately 4.84 billion yuan, a year-on-year increase of 163.59%; the net profit attributable to shareholders of listed companies was approximately 1.009 billion yuan, a year-on-year increase. 303.84%; basic earnings per share is 1.3 yuan. According to
information, the company’s main business is the research and development, production and sales of high-end optical communication transceiver modules and optical devices. Its products serve domestic markets in the fields of cloud computing data centers, data communications, 5g wireless networks, telecommunications transmission and fixed network access. external customers. The company focuses on technology research and development and promotes the development of products in the direction of high speed, miniaturization, low power consumption and low cost. It provides 100g, 200g, 400g, 800g and 1.6t high-speed optical modules for cloud data center customers and telecommunications equipment merchants. It provides 5G fronthaul, midhaul and backhaul optical modules, which are used in metropolitan area networks, backbone networks and core network transmission optical modules, as well as optical devices used in fixed network fttx optical fiber access and other high-end overall solutions, maintaining its leading position in the industry. volume and market share.
It is worth noting that since 2023, the company's stock price has increased more than five times, with the latest closing price being 170.7 yuan/share, and a market value of 137.042 billion yuan.
After this performance came out, Zhongji InnoLight quickly ranked first in the hot searches on major investment forums.
GF Communications commented:
The operating profit returned to 1.06 billion yuan in the first quarter, an increase of 27% from the operating profit of about 830 million yuan in the fourth quarter of 2023, in line with expectations. The substantial month-on-month growth despite the impact of the Spring Festival shows the impact of AI on the company's performance.
's first-quarter gross profit margin dropped sequentially not only because of the year-on-year price drop, but also because of structural factors such as the increased volume of 400g. Returning to 800g, the gross profit margin did not drop much. Since the proportion of 800g will continue to increase in 2024, we are optimistic about the gross profit margin in the following quarters.
company announced that the net profit attributable to the parent company in the first quarter was 1.01 billion yuan, +15% quarter-on-quarter. Considering that share-based payment expenses in the first quarter are approximately 50 million, operating profits will be restored to approximately 1.06 billion; operating profits will be restored to approximately 830 million in the fourth quarter of 2023 (major impacts such as investment income/asset impairment/share-based payment expenses need to be considered) , +27% year-on-year, in line with our expectations.
's gross profit margin in the first quarter was 32.76%. We believe that the gross profit margin dropped sequentially. In addition to the annual price drop, the gross profit margin was also dragged down by the large volume of 400g. AWS’s demand for 400g will begin in the fourth quarter of 2023, and is expected to grow significantly in the first quarter. Therefore, the decline in gross profit margin of 800g alone is limited. Considering that 400g shipments have reached a high at the beginning of the year and will remain flat or decline thereafter; while 800g shipments will continue to increase in subsequent quarters, and the price of raw materials is expected to drop, we are optimistic about the gross profit margin in the following quarters.
expense ratio has begun to decline, and net interest rates are expected to continue to increase in 2024. Since the company's expense growth in 2024 is expected to be lower than revenue growth, the full-year expense ratio is expected to decrease. Combined with the slight change in gross profit margin, the net profit margin is expected to continue to increase throughout the year.
However, it should be noted that before the financial report data was disclosed, there was market news that Zhongji InnoLight's net profit in the first quarter of this year was approximately between 1 billion and 1.1 billion yuan, and the performance announced this time was at the lower limit. . In addition, on Friday, U.S. technology stocks collectively plummeted, with NVIDIA falling 10%. This incident will be negative for the opening sentiment of A-share technology stocks on Monday, so many investors believe that they should be careful about cashing in on the good news!
