Cailianshe News on November 6 (Reporter: Xiao Lianghua) The container market continues to improve, and Maika Xinci (603062.SH) has seen a continuous increase in revenue. At the third quarter performance briefing for 2024 held today, the chairman and general manager of the company, Huang Yanyi, stated that the overall situation of the container industry is good, and acquisitions are an important way for the development and growth of industrial coating enterprises. The company will consider various factors.

In terms of the quarter, in Q3 of 2024, Maika Xinci achieved a revenue of 0.636 billion yuan, an increase of 177.39% year-on-year, and an increase of 39% quarter-on-quarter; achieving a net income attributable to the mother of 0.066 billion yuan, an increase of 57.08% year-on-year, and an increase of 44.53% quarter-on-quarter. In the first three quarters of this year, the company's container coating revenue reached 1.111 billion yuan, an increase of 226% year-on-year. Among them, in Q3 alone, the company's container coating achieved a revenue of 0.528 billion yuan.

In response to this, Huang Yanyi stated that the company's container coating revenue is related to the prosperity of the container industry. Currently, the company's position in the container coating market has risen to the top two. The company will continue to strive to increase market share and find a better balance between market share and gross margin to enhance the company's profitability.

The authoritative institution in the container industry, Clarksons, predicts that the global container trade volume growth rate in 2024 will increase significantly from 0.7% in 2023 to 5.2%. The overall situation of the industry is good.

Regarding the progress of ship and marine coatings products that investors are concerned about, Luo Yongjian, Vice Chairman and Vice General Manager of the company, stated that in terms of ship coatings, China/Norway/USA Classification Societies (CCS, DNV, ABS) sent ship inspectors to the company in April this year for on-site sampling and sealing of products such as anti-fouling paint on the ship's bottom, currently in the product testing phase; in marine coatings, the company's marine coatings have entered the product testing phase of NORSOKM501 certification.

Regarding overseas market development, Huang Yanxiong, Director of the Board and Marketing, stated that in the field of container coatings, the company has successfully entered the Southeast Asian market and continues to supply; in the wind turbine blade coatings field, the company supplies wind turbine blade coatings to Sinoma Science & Technology's Brazil factory besides becoming a qualified supplier of the globally renowned German wind turbine manufacturer NORDEX.

In addition, the Board of Directors has recently approved the establishment of overseas subsidiaries. The company will establish a marketing base in the United Kingdom to expand the European market. The filing and establishment work of this overseas subsidiary in the UK is already in progress.

In August this year, Mecca Xincai acquired the business of photovoltaic glass coating from Cosico. How is the progress so far?

Regarding this, Huang Yanxiong introduced that after the company acquired the business of photovoltaic glass coating from Cosico, it actively carried out work such as patent and trademark transfer, technology transfer, product and production line testing. In addition, the board of directors of the company also recently approved the establishment of the photovoltaic coating marketing center, and the work of connecting with and visiting customers is also in progress.

Regarding whether the company has any new acquisition plans next, Huang Yanyi said that in terms of the development of the industrial coatings industry, mergers and acquisitions are an important path due to the differences and even significant differences in different sub-sectors. However, whether a company will make an acquisition depends on comprehensive considerations of the company's development, risk control, effective integration, and other aspects before a decision can be made.