Yangzijiang Shipbuilding - DBS Research 2024-08-13: Reaching New Heights; 1H24 Results Ahead By A Wide Margin

• Yangzijiang Shipbuilding (SGX:BS6) made a new record for interim profit, with 1H24 net profit surging 77% y-o-y and 29% h-o-h to RMB3.06bn, 20% ahead of consensus’ expectation of ~Rmb2.5bn.
• - Read this at SGinvestors.io -
• The forex loss of RMB187mil was offset by one-off tax reversal of RMB123mil (arising from overprovision of income tax in prior years) and bad debt recovery of RMB25mil.

Shipbuilding margin on solid upward trajectory.

• Yangzijiang delivered 35 vessels (of which 7 were from Mitsui JV) in 1H24, on track to meet its full year target of 63 vessels.
• - Read this at SGinvestors.io -
• We now expect gross margin to hover around this level, supported by higher containership prices and productivity offsetting the weaker US$ and lower margin tanker orders. Steel cost is expected to stay low in the near term.

Higher Shipping income.

• Read more at SGinvestors.io.

Above is an excerpt from a report by DBS Group Research.
Clients of DBS may access the full PDF report @ https://www.dbs.com/insightsdirect/.

Read also DBS's most recent report:
2025-02-28 Yangzijiang Shipbuilding - Unwarranted Sell-off Is A Buying Opportunity.

Previous report by DBS:
2025-01-31 Yangzijiang Shipbuilding - A Promising Dividend-Paying Growth Stock.

Price targets by other brokers at Yangzijiang Target Prices.

Listing of research reports at Yangzijiang Analyst Reports.

Relevant links:
Yangzijiang Share Price History,
Yangzijiang Announcements,
Yangzijiang Dividend Payout Dates & Corporate Actions,
Yangzijiang News