Xingda International's profit drops 40.1% despite revenue increase

Xingda International Holdings Limited (HKEX:1899) reported a 3.9% year-on-year revenue increase to RMB11,940.4 million for the year ended December 31, 2024, driven by a 9.3% increase in total sales volume to 1,428,000 tonnes. However, profit attributable to owners of the company decreased by 40.1% to RMB269.0 million. Basic earnings per share fell to RMB14.23 cents. The gross profit margin decreased by 0.8 percentage point to 18.4%. The Board of Directors did not recommend a final dividend for the year. The results were impacted by intensified industry competition, higher transportation costs, and increased research and development expenditure. A special dividend of HK$0.15 per share was approved in January 2025. The Company invested HK$54.5 million to subscribe another 6,100,000 shares of Prinx Chengshan at HK$8.90.