Ocean King's net profit increased by 41.4% year-on-year in the first three quarters

Ocean King disclosed its Q3 report on October 23. In the first three quarters of 2020, the company achieved Revenue of RMB 1.029 billion, a Year-on-year (YoY) increase of 16%, mainly due to the company's in-depth exploration of customer needs and the consolidation of Mingzhihui's Q3 income statement into the company's consolidated income statement, which increased Revenue; Net profit reached RMB 147 million, a Year-on-year (YoY) increase of 41.40%; earnings per share were RMB 0.2.

In the third quarter, revenue reached RMB 467 million, a year-on-year (YoY) increase of 38.70%; net profit attributable to shareholders was RMB 89.9285 million, a year-on-year (YoY) increase of 39.87%.

Professional lighting has more stringent environmental requirements than commercial lighting, demanding high product reliability and energy saving design. Ocean King has been deeply engaged in professional lighting and other special environment lighting for many years, with advantages such as a nationwide service network, over 200 reliable products, and strong R&D capabilities. With the rise of Industry 4.0 and the transformation and upgrading of manufacturing, the company continues to develop smart lighting products, integrating lighting technology with the Internet, 4G, sensor control, and other technologies, actively transforming towards "Lighting + Internet".

This year, Ocean King acquired a 51% equity stake in Mingzhihui for RMB 271 million through share issuance and cash payment, expanding its lighting engineering construction, design, and maintenance services. Industrial lighting products require extensive support from lighting engineering projects. The acquisition of Mingzhihui enables the company to meet customers' one-stop needs for lighting solutions and subsequent installation and maintenance, demonstrating significant strategic synergy and helping to enhance the company's overall service capabilities.

The new infrastructure initiative will further accelerate Ocean King's market rollout of its "Lighting + Internet" products, and the adoption of smart lighting systems will further reduce the company's energy consumption and maintenance costs. In addition, the company has been successfully included in the supplier pools of China's three major nuclear power groups. The future increase in the proportion of clean energy power supply, such as nuclear power, will expand the company's LED new light source business in the nuclear power market.