Nongfu Spring Full Year 2023 Earnings: Beats Expectations

Simply Wall St

April 21, 2024

Nongfu Spring (HKG:9633) Full Year 2023 Results

Key Financial Results

Revenue: CN¥42.7b (up 28% from FY 2022).
Net income: CN¥12.1b (up 42% from FY 2022).
Profit margin: 28% (up from 26% in FY 2022). The increase in margin was driven by higher revenue.
EPS: CN¥1.07 (up from CN¥0.76 in FY 2022).

revenue-and-expenses-breakdown — SEHK:9633 Revenue and Expenses Breakdown April 21st 2024

All figures shown in the chart above are for the trailing 12 month (TTM) period

Nongfu Spring Revenues and Earnings Beat Expectations

Revenue exceeded analyst estimates by 3.9%. Earnings per share (EPS) also surpassed analyst estimates by 12%.

The primary driver behind last 12 months revenue was the Water Products segment contributing a total revenue of CN¥20.3b (47% of total revenue). The largest operating expense was Sales & Marketing costs, amounting to CN¥9.28b (70% of total expenses). Explore how 9633's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 9.5% growth forecast for the Beverage industry in Hong Kong.

Performance of the Hong Kong Beverage industry.

The company's shares are down 2.3% from a week ago.

Balance Sheet Analysis

While earnings are important, another area to consider is the balance sheet. We've done some analysis and you can see our take on Nongfu Spring's balance sheet.

Valuation is complex, but we're here to simplify it.

Discover if Nongfu Spring might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.