Finance Association, July 21 (Editor Xuan Lin) The A-share interim report advanced in depth this week, revealing the results forecast for the first half of 2024. Meili Technology, Huilun Crystal, Bose shares, and Sunwoda rose and stopped 20CM, Haidar 30CM rose and stopped, and Chicheng shares rose more than 26%. Ruyi Group, Xunxing Co., Ltd., Huijintong, Taihua New Materials, and Xiangjia shares rose and stopped. Shenda Co., Ltd., which issued a pre-profit announcement for the first half of the year after trading on Thursday last week, won the triple board on Tuesday.

According to Choice statistics, as of press release, a total of 1,632 A-share listed companies have issued performance forecasts for the first half of 2024. Among them, the net profit of 12 stocks, including Amway, Rijiu Optoelectronics, Andisu, Feirongda, Yongmaotai, Kaizhong Precision, Xinxiang Chemical Fiber, Xinhongze, Guocheng Mining, China Resources, Changlu Co., Ltd., and Huichang Communications, increased their net profit by more than 1,200% year-on-year. The details are shown below:

Looking specifically at individual stocks, Amway shares temporarily led the way with a performance growth rate of up to 10,421.8%. It disclosed a performance forecast last Sunday. It is expected to achieve net profit of 88 million yuan — 98 million yuan in the first half of the year, an increase of 9348.14% — 10421.8% over the previous year. According to estimates, Q2 net profit is expected to be 46.73 million yuan to 56.73 million yuan, an increase of 13%-37% over the previous month. Amway Co., Ltd. stated in the announcement that during the reporting period, the volume and price of main products rose sharply, and the share of high-margin, high-value-added products such as sports, electronic products, and automotive interiors increased. Revenue increased dramatically, profits increased dramatically, and achieved the best results in the same period in history. Among them, many indicators for the second quarter set the highest record in a single quarter.

Jin Yiteng of Open Source Securities and others said in a research report on July 12 that Amway Co., Ltd. is a leader in PU leather. According to its announcement, emerging demand trends such as automotive interiors, electronic products, sports equipment, and engineering decoration are currently improving, and such demand is all in the field of high added value, and it is expected to contribute an important increase in profits in the future. At the same time, the influence of new TPU products on high-end sports brands at home and abroad is increasing, and the company's shipments may continue to grow in the future. Finally, for the shoe materials sector, which is one of the company's main traditional needs, demand may also experience marginal improvement as domestic and foreign downstream customers continue to leave the warehouse, which in turn will further drive the growth in demand for PU leather.

Shenda Co., Ltd. released a performance forecast after the market on Thursday, and recorded three consecutive days at the close of trading on Tuesday. It is expected to achieve net profit of 45 million yuan to 67.5 million yuan in the first half of 2024, turning a year-on-year loss into a profit. The company stated in the announcement that the increase in sales revenue in the first half of the year was mainly due to an increase in revenue from the overseas automotive interior business, and the gross margin of the overseas automotive interior business increased significantly. In addition, some exchange revenue was generated due to exchange rate fluctuations.

Haider disclosed its performance forecast that 30CM would rise and stop the next day. The company announced after the market on Tuesday that it expects to achieve net profit of 31 million yuan to 32 million yuan in the first half of the year, an increase of 151.34% to 159.45% over the previous year. According to the announcement, the main reason for the sharp increase in Haider's net profit is that the company provides downstream customers with high-performance rail products through continuous technology development and product upgrades. Customer demand continues to grow; overseas sales have increased year on year, and profit levels have increased year on year.

Chicheng Co., Ltd., a supplier of gas environmental safety monitoring products, closed up more than 26% on Friday. The company released a performance forecast after the market on Thursday. It is expected to achieve net profit of 10.5 million yuan to 11.5 million yuan in the first half of the year, an increase of 198.68% to 227.12% over the previous year. According to the announcement, during the reporting period, Chicheng Co., Ltd.'s efforts to increase brand promotion and market development began to bear fruit, achieving continuous growth in operating income and contributing to the increase in net profit. At the same time, compared with the same period last year, the company's other income and investment income also increased significantly during the reporting period; in addition, non-operating expenses during the reporting period were also drastically reduced year-on-year.

Spring manufacturer Meili Technology closed 20CM higher and lower on Friday. It released a performance forecast the evening before. It is expected to achieve net profit of 42 million yuan to 50 million yuan in the first half of the year, an increase of 121.06%-163.17% over the previous year. According to the announcement, during the reporting period, thanks to increased customer demand and increased exports, Meili Technology's revenue achieved steady growth. Coupled with improvements in the company's internal management, the overall gross margin of the product increased. Furthermore, the estimated impact of non-recurring profit and loss on current net profit is approximately 1.4 million yuan, mainly government subsidies.

Crystal leader Whalun Crystal revealed its performance forecast on Thursday evening, and closed the Friday session also rose or stopped by 20CM. Whelan Crystal expects to achieve net profit of 0 million yuan to 5 million yuan in the first half of the year, turning a loss into a profit year over year. According to the announcement, the company's orders improved in the first half of 2024, and revenue increased significantly compared to the same period last year.

Bose shares rose and stopped 20CM on Wednesday. The company released a performance forecast on Tuesday evening. It is expected to achieve net profit of 0.165 billion yuan to 0.21 billion yuan in the first half of the year, an increase of 80.52% to 129.76% over the previous year. Bose Co., Ltd. said that the company actively responded to market changes, continuously optimized the product structure, improved product quality, improved marketing strategies, and enhanced the core competitiveness of the product. The performance in the first half of the year showed good growth. Among them, the vacuum pump sector continued to accept orders for the photovoltaic business, which had expanded in the early stages, and revenue increased significantly.

Sunwoda released a performance forecast on Monday evening, and closed 20CM higher or lower on Tuesday. The company expects to achieve net profit of 0.767 billion yuan to 0.899 billion yuan in the first half of the year, an increase of 75%-105% over the previous year. Sunwoda said that the business plan for the first half of the year was carried out in an orderly manner. As marketing efforts increased, main business revenue grew steadily, and increased profitability led to a corresponding increase in performance.

Li Jiangtao of Huaxin Securities and others said in the July 17 research report that Sunwoda's outstanding performance is mainly due to the consumer battery business. On the one hand, market-side consumer electronics are recovering in demand, and on the other hand, the company's self-supply rate of batteries has increased, helping improve costs and increase profitability. In addition, Sunwoda's power battery business has an excellent customer structure. The main customers include leading domestic OEMs such as Geely, Dongfeng, Ideal, Zero Run, and Shangtong Wuling, as well as leading overseas manufacturers such as Renault, Nissan, Volvo, and Volkswagen. According to the China Automobile Power Battery Industry Innovation Alliance, Sunwoda's domestic power battery installed capacity in the first half of 2024 was 5.95gWh/yoy +59%, with a market share of 2.96% /yoy+0.5pct. The power business continued to expand and the operating rate increased steadily. Based on the steady growth of consumer batteries and the rapid release of power batteries, we are optimistic about Sunwoda's medium- to long-term upward development opportunities, and give it a “buy” rating.

Xunxing Co., Ltd. released a performance forecast after the market on Friday, and closed higher or lower on Monday. The company expects to achieve net profit of 98.7925 million yuan to 0.144 billion yuan in the first half of the year, an increase of 62.05% to 135.86% over the previous year. According to the announcement, during the reporting period, Xunxing Co., Ltd. focused on the development of the zipper core business, adhered to major customer marketing strategies, actively expanded market segments, and promoted revenue growth in the zipper business. At the same time, the company continued to implement lean management to improve quality and efficiency, and the profitability of the zipper business was further improved. Furthermore, during the reporting period, the company's cross-border e-commerce business achieved year-on-year results through comprehensive measures such as strengthening investment in original products, optimizing product planning, developing new product lines, optimizing inventory management, and increasing platform expansion.

Huijintong, a supplier of UHV tower products, released a performance forecast last Sunday, and closed higher or lower on Monday. The company expects to achieve net profit of 52.5 million yuan to 62 million yuan in the first half of the year, an increase of 107.83% to 145.43% year-on-year. The announcement shows that during the reporting period, Huijintong continued to strengthen cost control, actively improve operational efficiency, and showed economies of scale. The production and sales volume of main products increased significantly compared to the same period last year, prices of main raw materials decreased compared to the same period of the previous year, and the gross margin of main products rebounded. In addition, the company confirmed other income according to the value-added tax credit policy for advanced manufacturing enterprises. Other income increased compared to the same period last year.

Taihua New Materials released a performance forecast on Sunday, and closed higher or lower on Monday. The company expects to achieve net profit of 0.4 billion yuan to 0.46 billion yuan in the first half of the year, an increase of 118.45% to 151.21% over the previous year. Taihua New Materials said that during the reporting period, the company continuously optimized its product structure, strengthened market development, strengthened cost control, and continued to show scale and brand effects. At the same time, the company's “Green Multifunctional Nylon New Material Integration Project” was gradually put into operation, and its main business revenue grew steadily, resulting in a significant increase in net profit compared to the same period last year.

Xu Junyi of Guolian Securities and others said in a July 16 research report that Taihua New Materials adheres to a differentiated development strategy, and that the key layout of nylon 66 spinning, blanks, and fabrics is expected to fully benefit from the wave of localization of upstream adiponitrile. Currently, the first phase of the company's PA66 differentiated nylon 16 nylon yarn project was tested in April 23, and production capacity will continue to be released in the first half of 2024; the recycled differentiated nylon yarn project with an annual output of 0.1 million tons is about to be put into operation, continuing to open up room for the company's growth. Furthermore, looking ahead to the future market, the prosperity of the nylon industry may still be in an upward cycle, and the company's profitability in nylon filament, back-end textile, dyeing and finishing, blanks, and fabrics is expected to increase further.