SF Holdings Expects a Profit over CNY 1.76 Billion in the First Three Quarters

Industrials Author: Fuller Wang, Tommy Mi Oct 14, 2021 10:19 AM (GMT+8)

SF Holdings should maintain its good performance by continuously improving its product structure and optimizing the company's business operations.

SF Express

On the evening of October 12, SF Holdings released the performance forecast for the first three quarters of 2021.

According to the announcement of SF Holdings, the net profit attributable to shareholders of Listed Companies in the first three quarters of 2021 is expected to be 1.76 billion yuan to 1.86 billion yuan, a year-over-year decrease of 67% to 69%. The net profit attributable to the shareholders of the listed company in the third quarter of 2021 is estimated to be CNY 1 billion to 1.1 billion, a year-over-year decrease of 40% to 46%. The estimated net profit attributable to shareholders of listed companies, after deducting non-recurring profits and losses in the third quarter of 2021, will be CNY 750 million to CNY 850 million, a month-over-month increase of 14% to 29%.

SF Holdings' measures in cost reduction, efficiency, and fine management were reflected in the performance of the third quarter after successfully turning losses into profits in the second quarter.

According to the announcement, the company's continuous improvement of product stratification, market strategies, and product structure and pricing ability has led to positive month-over-month growth at SF Holdings. At the same time, SF Holdings continued to promote network resource integration, cost refinement management, and intermediate transfer automation equipment upgrades. The company also gradually improved the utilization rate of site and transport capacity resources and operation efficiency, improving the overall efficiency.

In addition, the announcement shows that a series of tax relief policies, such as exemption from value-added tax and reduction of enterprise social insurance premiums launched by the state in 2020 to deal with the impact of the epidemic, has effectively alleviated the cost pressure of the company. There are also no relevant preferential policies this year.

According to the 2021 interim report of SF Holdings, the company's main revenue was CNY 88.344 billion, a year-over-year increase of 24.2%. The net profit attributable to the parent company was CNY 760 million, a year-over-year decrease of 79.8%; minus the non-net profit of CNY 477.08 million, a year-over-year decrease of 113.85%. The company has a debt ratio of 57.04%, an investment income of CNY 1.13 billion, a financial expense of CNY 622 million, and a gross profit margin of 10.1%.

At the previous investor exchange meeting held on September 28, SF holdings executives pointed out that from overall key operation links of SF holdings have been on the decline since April, and the trend is developing in a good direction.