- China Sunsine provided a 3Q23 update, reporting a record-high quarterly sales volume (+16.3% y-o-y). However, lower ASPs and a flexible pricing strategy led to lower 3Q23 sales (-5% y-o-y). 3Q23 net profit fell 49% y-o-y, taking 9M23 net profit to RMB259.6m and missing our forecast.
- - Read this at SGinvestors.io -
Margins below expectations.
- China Sunsine Chemical (SGX:QES) reported 3Q23 revenue of RMB875m (-5% y-o-y), mainly due to lower average selling prices of rubber accelerators and its newly-adopted flexible pricing strategy. This was partially mitigated by record-high quarterly sales volume of 56,114 tonnes (+16.3% y-o-y), from the more flexible pricing strategy implemented to remain competitive in the Chinese rubber chemicals industry.
- - Read this at SGinvestors.io -
Potential near-term benefit from higher ASPs of rubber accelerators.
- Read more at SGinvestors.io.
Above is the excerpt from report by UOB Kay Hian Research.
Clients of UOB Kay Hian may be the first to access the full report in PDF @ https://www.utrade.com.sg/.
Heldi Mo UOB Kay Hian Research | John Cheong UOB Kay Hian | https://research.uobkayhian.com/ 2023-12-14
Previous report by UOB:
2023-03-30 China Sunsine Chemical - 2H22 Results In Line With Expectations; Stronger Performance Forecast.
Price targets by other brokers at China Sunsine Target Prices.
Listing of research reports at China Sunsine Analyst Reports.
Relevant links:
China Sunsine Share Price History,
China Sunsine Announcements,
China Sunsine Dividends & Corporate Actions,
China Sunsine News Articles
