Chinese materials firm predicts soaring profits, buoyed by semiconductor boom and innovation.
Hubei Dinlong Holdings reported a projected net profit of RMB 490 million to RMB 530 million ($71.7 million– $77.6 million/ €65.3 million– €70.6 million) for 2024. The anticipated result marks a year-on-year increase of 120.71% to 138.73%. Excluding non-recurring items, net profit is expected to rise even further, by 167.73% to 192.07%.
The growth has been driven largely by the company’s semiconductor materials business, which delivered a revenue surge of 79%, reaching RMB 1.56 billion ($218.4 million/ €202.8 million). Key contributors included sales of CMP polishing pads, up 75% year-on-year, and CMP polishing liquids and cleaning liquids, which rose an impressive 180%.
Dinlong’s printer and copier consumables division, its second-largest business, contributed RMB 1.8 billion ($252 million / €234 million) in revenue. However, growth in this segment was relatively modest, reflecting a maturing market. The company attributed improvements in profitability within the division to ongoing cost-control initiatives and operational efficiencies.
Dinlong cautioned investors that the forecast figures are preliminary and unaudited, with final numbers to be confirmed in its annual report.
