Stock Analysis
- Hong Kong
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- SEHK:1316
Nexteer Automotive Group Full Year 2023 Earnings: EPS Misses Expectations
Nexteer Automotive Group (HKG:1316) Full Year 2023 Results
Key Financial Results
- Revenue: US$4.21b (up 9.6% from FY 2022).
- Net income: US$36.7m (down 37% from FY 2022).
- Profit margin: 0.9% (down from 1.5% in FY 2022). The decrease in margin was driven by higher expenses.
- EPS: US$0.015 (down from US$0.023 in FY 2022).
All figures shown in the chart above are for the trailing 12 month (TTM) period
Nexteer Automotive Group EPS Misses Expectations
Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 69%.
The primary driver behind last 12 months revenue was the North America segment contributing a total revenue of US$2.33b (55% of total revenue). Notably, cost of sales worth US$3.84b amounted to 91% of total revenue thereby underscoring the impact on earnings. The largest operating expense was Research & Development (R&D) costs, amounting to US$152.3m (46% of total expenses). Explore how 1316's revenue and expenses shape its earnings.
Looking ahead, revenue is forecast to grow 5.4% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Auto Components industry in Hong Kong.
Performance of the Hong Kong Auto Components industry.
The company's shares are down 5.7% from a week ago.
Risk Analysis
You should always think about risks. Case in point, we've spotted 1 warning sign for Nexteer Automotive Group you should be aware of.
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About SEHK:1316
Nexteer Automotive Group
Nexteer Automotive Group Limited, a motion control technology company, develop, manufacture, and supply advanced steering and driveline systems to original equipment manufacturer worldwide.
Flawless balance sheet with moderate growth potential.