Nexteer (01316) fell by more than 5%. As of press release, it was down 5.64% to HK$3.18, with a turnover of HK$30.21,800.
The Zhitong Finance App learned that Nexteer (01316) fell by more than 5%. As of press release, it was down 5.64% to HK$3.18, with a turnover of HK$30.21,800.
According to the news, the company will announce its 2023 results tomorrow. Guosheng Securities previously pointed out in a research report that the company's profitability is temporarily under pressure. 2023H1 recorded a gross margin of 9.1% and an adjusted EBITDA margin of 8.9%. Looking at the full year, excluding the impact of supplier issues, the impact of the UAM strike, and some cost effects associated with the fixed cost reduction plan, the adjusted EBITDA margin in 2023 is expected to improve slightly compared to 9.5% in 2022.
CICC said earlier that many factors have put pressure on the company's performance in recent years, but gross margin has shown an overall recovery trend since 2H22; the 2H23 North American UAW strike and supply difficulties with second-tier suppliers may have put pressure on the company's performance. The bank expects this impact to recede in 2024. The company continues to push for cost reduction and fee control, and the performance on a low base is expected to rebound to the level before the impact of one-time factors, that is, 10% gross profit margin +5% net profit margin.