Focus Stocks》Text: Q3 profits corrected, stock prices soared

Netcom stock text (4906) benefited from the gross profit margin rising to 13.4% in the third quarter, and the after-tax earnings per share was 0.25 yuan. Driven by the shipment of high-end optical modules in the fourth quarter, the stock price opened higher today, reaching as high as 36.4 yuan in early trading. As of 9:24 minutes, the stock price was temporarily quoted at 36.2 yuan, up 2.45 yuan, or 7.26%, with a trading volume of more than 1,400 transactions.

The main text's consolidated revenue in the third quarter reached 4.85 billion yuan, a quarterly increase of 34% and an annual increase of 36%. As the cost of raw materials was gradually transferred to the client, the single-quarter gross profit margin rebounded to 13.4%, and the operating net profit was 83 million yuan. It successfully got rid of the loss in the first half of the year and turned a loss into a profit. The after-tax net profit was 116 million yuan, and the after-tax earnings per share was 0.25 yuan.

In the first three quarters, Zhengwen's consolidated revenue was 11.575 billion yuan, operating gross profit was 1.412 billion yuan, gross profit margin was 12.2%, after-tax net loss was 46 million yuan, and loss per share was 0.15 yuan.

The text points out that because the newly invested high-speed optical module production line has not yet entered the mass production stage, and the demand for AI has driven up the price of some raw materials, the gross profit margin will be under pressure in the short term. In this regard, the company actively promotes the mass production of new products and actively negotiates with customers to gradually reflect relevant costs into product selling prices. The relevant pass-through benefits have been reflected quarter by quarter. The single-quarter gross profit margin improved from 10.4% in the first quarter to 12.2% in the second quarter, and rebounded to 13.4% in the third quarter.

The text states that the company is actively developing high-end optical communications and AI data center markets. Low-speed optical modules and data center network equipment have been shipped one after another. High-end 800G and 1.6T optical modules are expected to start shipping in the fourth quarter. Under the trend of geopolitics and information security protection, it is expected to strive for transfer business opportunities.