① Thanks to the growth of cross-border e-commerce business, Jihong Co., Ltd. expects net profit of 331 million yuan to 368 million yuan in 2023, an increase of 80% to 100% over the previous year. ② The company said that the efficiency of cross-border e-commerce operations and management continues to improve, inventory continues to operate at a low level, and cross-border e-commerce inventory accounts for less than 3% of its revenue. ③ The company recently announced that it plans to issue H shares and apply for listing on the main board of the Hong Kong Stock Exchange.
Financial Services Association, January 24 (Reporter Cui Ming) A week after announcing plans to go public in Hong Kong, Jihong Co., Ltd. (002803.SZ) is forecasting the 2023 “report card” tonight. Net profit is expected to increase by more than 80% year on year.
According to the Jihong Co., Ltd. announcement, it is expected to achieve net profit of 331 million yuan to 368 million yuan in 2023, an increase of 80% to 100% over the previous year; net profit after deduction of 302 million yuan to 339 million yuan, an increase of 78.46% to 100.19% over the previous year.
Regarding the reason for the change in performance, the company mentioned that it continues to increase R&D investment and iteratively upgrade the self-developed cross-border social e-commerce operation management system. Operation management efficiency continues to improve, inventory continues to operate at a low level, and the proportion of cross-border e-commerce inventory in its revenue remains within 3%.
At the same time, the company also disclosed that, based on the completion of expected annual results, employee bonuses of about 60 million yuan, the third phase of the employee stock ownership plan and the 2023 restricted stock incentive plan generated a total share payment and amortization amount of about 26 million yuan, etc. After deducting the increase in related expenses, the company maintained a good level of profit, and the scale of business revenue and profit increased significantly.
Normally, the cross-border e-commerce business will enter a peak season in Q4. According to financial data, the net profit of Jihong Co., Ltd. reached 321 million yuan in the first three quarters of last year. Based on this estimate, the company's net profit for Q4 last year was in the range of 10 million yuan to 47 million yuan, which is low throughout the year. A Finance Association reporter learned that the company's cumulative number of orders in the first half of last year exceeded 9 million, an increase of about 40% over the previous year, which led to a net profit of 119 million yuan in Q2, which is the highest for the whole year.
It is worth mentioning that Jihong Co., Ltd. announced on January 17 that it plans to issue overseas listed foreign shares (H shares) and apply for listing on the main board of the Hong Kong Stock Exchange Limited.
The company did not explain the reason why it plans to go public in Hong Kong in the announcement, but some analysts told the Financial Federation that this move may enhance the company's influence in overseas markets such as Southeast Asia, and it is not ruled out that there will be further investment actions in the future.
According to reports, the cross-border e-commerce business of Jihong Co., Ltd. mainly sells products by accurately promoting independent website advertisements on foreign social networking platforms such as Meta (formerly Facebook), TikTok, and Google. The sales area mainly includes Thailand, Singapore, and Malaysia in Southeast Asia.