On October 26, Fenghua Advanced Technology announced Q3 revenue of RMB 2.299 billion, up 71.97% year-over-year, and net profit attributable to shareholders of RMB 351 million, up 470.17% year-over-year. For the first three quarters, revenue was RMB 5.799 billion, up 41.15%, and net profit was RMB 642 million, up 180.90%.
With Q2 net profit at RMB 202 million, Q3 net profit rose 74% quarter-over-quarter. The announcement attributed growth mainly to sustained demand growth for main products, with sales volume and average prices both rising year-over-year.
ICgoodFind Summary: Fenghua Advanced's Q3 net profit up 470% YoY and 74% QoQ came directly from rising volume and prices. With MLCC lead times lengthening and makers raising prices repeatedly, the domestic leader's profit elasticity is being released.
