Transcend has unveiled its robust Q3 financial report, demonstrating impressive growth in key financial metrics. The memory module factory reported a consolidated revenue of 2.73 billion yuan for the third quarter, marking a notable 10.4% increase over the previous quarter. Operating profit saw a remarkable surge of 92.4%, reaching a substantial 572 million yuan, while net profit after tax witnessed an impressive ascent of 107%, culminating at 827 million yuan. Notably, the after-tax earnings per share soared to a five-quarter high at 1.93 yuan.
Transcend attributes this stellar performance to strategic procurement maneuvers and adept inventory cost control, particularly in the backdrop of recovering DRAM and NAND FLASH prices. Operating with a keen focus on efficiency, the company achieved an operating gross profit margin of 31.2%, and an operating profit ratio of 21%. Additionally, the industry benefitted from the surge in U.S. dollar interest rates, resulting in higher exchange benefits and interest income.
Looking ahead to the fourth quarter, Transcend is optimistic about the memory market’s gradual recovery. The company plans to amplify its product marketing strategy, leveraging its diversified product portfolio. Synchronized with traditional European and American holiday shopping seasons, as well as domestic and international shopping festivals, Transcend anticipates a significant surge in revenue and profitability.
In tandem with its traditional channels, Transcend has made substantial long-term investments in the research and development of industrial application products. A recent milestone in this pursuit is the introduction of industrial-grade DDR5 5600 memory modules, designed to deliver power-saving, high-performance, low-latency, and high-reliability embedded solutions. By capitalizing on its established brand value, Transcend aims to drive innovation in industrial applications, expand channel markets, and fortify core competitiveness, thereby creating sustainable value for its stakeholders.
