As you might know, Shandong Publishing&Media Co.,Ltd (SHSE:601019) recently reported its yearly numbers. It looks like a credible result overall - although revenues of CN¥12b were what the analysts expected, Shandong Publishing&MediaLtd surprised by delivering a (statutory) profit of CN¥1.14 per share, an impressive 31% above what was forecast. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

Taking into account the latest results, the current consensus from Shandong Publishing&MediaLtd's twin analysts is for revenues of CN¥13.3b in 2024. This would reflect a solid 9.1% increase on its revenue over the past 12 months. Statutory earnings per share are expected to plunge 28% to CN¥0.81 in the same period. In the lead-up to this report, the analysts had been modelling revenues of CN¥13.2b and earnings per share (EPS) of CN¥0.94 in 2024. So there's definitely been a decline in sentiment after the latest results, noting the substantial drop in new EPS forecasts.

Althoughthe analysts have revised their earnings forecasts for next year, they've also lifted the consensus price target 7.1% to CN¥12.00, suggesting the revised estimates are not indicative of a weaker long-term future for the business.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The analysts are definitely expecting Shandong Publishing&MediaLtd's growth to accelerate, with the forecast 9.1% annualised growth to the end of 2024 ranking favourably alongside historical growth of 6.0% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to see revenue growth of 13% annually. So it's clear that despite the acceleration in growth, Shandong Publishing&MediaLtd is expected to grow meaningfully slower than the industry average.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Shandong Publishing&MediaLtd. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.

With that in mind, we wouldn't be too quick to come to a conclusion on Shandong Publishing&MediaLtd. Long-term earnings power is much more important than next year's profits. We have analyst estimates for Shandong Publishing&MediaLtd going out as far as 2026, and you can see them free on our platform here.

It is also worth noting that we have found 2 warning signs for Shandong Publishing&MediaLtd (1 makes us a bit uncomfortable!) that you need to take into consideration.

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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.