CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79.75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open platformOpen platform

Zhuzhou CRRC Times Electric 9M revenue rises on rail, emerging equipment growth

By Reuters News


Overview

  • China rail equipment maker's unaudited nine-month operating revenue rose 10.6% yr/yr

  • Net income attributable to shareholders up 3.1% yr/yr for nine months

  • Company invested RMB 2.17 bln in R&D, 10.1% of revenue


Outlook

  • Company did not provide specific financial guidance or outlook for the current or future periods


Result Drivers

  • RAIL AND EMERGING EQUIPMENT – Nine-month revenue growth was led by rail transit electric equipment, automotive and semiconductor segment sales

  • HIGHER OPERATING COSTS – Cost of sales rose RMB1.37 bln and R&D expense increased RMB243 mln, outpacing revenue growth and limiting profit expansion

  • R&D INVESTMENT - Co invested RMB 2.17 bln in R&D, representing 10.1% of revenue

  • PROCUREMENT CASH OUTFLOWS – Operating cash flow swung to an RMB210 mln outflow as cash paid for goods and services rose to RMB17.87 bln from RMB11.75 bln


Company press release: Full Story


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

9M Operating Revenue

RMB 20.82 bln

9M Net Income Attributable

RMB 2.81 bln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the heavy electrical equipment peer group is "buy"

  • Wall Street's median 12-month price target for Zhuzhou CRRC Times Electric Co Ltd is CNY56.00, about 27.1% above its October 30 closing price of CNY44.05

  • The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 20 three months ago


Reuters Recommended Reads

  • Oct 27 - China's Railway Signal Q3 profit drops on R&D spending

  • Oct 29 - Geely Automobile nine-month revenue up 13% on exports, product mix

  • Oct 29 - Sany Heavy Equipment 9M profit falls on lower government grants


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.