MINISO Group Reports September 2024 Quarter Financial Results
Intellectia.AI2024-11-29
MINISO Group Reports September 2024 Quarter Financial Results
MINISO Group Holding Limited (NYSE: MNSO; HKEX: 9896), a global value retailer, announced its unaudited financial results for the quarter and the nine months ended September 30, 2024. The results demonstrated strong growth driven by strategic expansions and innovations.
Key Financial Metrics
| Metric | September Quarter 2024 (US$) | Year-over-Year Change | Nine Months Ended September 2024 (US$) | Year-over-Year Change |
|---|---|---|---|---|
| Total Revenue | $644.5 million | +19.3% | $1,750.1 million | +22.8% |
| Gross Profit | $289.3 million | +28.2% | $772.3 million | +34.1% |
| Operating Profit | $121.5 million | +8.2% | $334.5 million | +14.3% |
| Profit for the Period | $92.4 million | +4.9% | $260.2 million | +11.6% |
| Earnings Per Share (ADS) | $0.30 | +6.1% | $0.83 | +12.3% |
MINISO surpassed expectations with significant year-over-year growth in revenue and profit for the period, driven by strong performance in both its domestic and international markets. The Company achieved record gross margins due to a favorable product mix and enhanced revenue contributions from overseas markets.
Revenue Performance by Segment
| Segment | September Quarter 2024 Revenue (US$) | Year-over-Year Change |
|---|---|---|
| Mainland China | $386.4 million | +8.7% |
| Overseas Markets | $258.1 million | +39.8% |
MINISO experienced robust growth across all segments, notably a 50.4% increase in its subsidiary brand, TOP TOY. The overseas market revenue surged by 39.8%, attributed to strategic expansion and increased store count, significantly improving the company's global footprint and market presence.
Key Developments and Operational Highlights
- Total store count reached 7,420 as of September 30, 2024, marking a net increase of 859 stores in the first nine months of the year.
- MINISO made a strategic investment acquiring a 29.4% stake in Yonghui Superstores Co., Ltd.
- Enhanced focus on IP strategy and globalization, with significant improvements in margins due to overseas market contributions.
Executive Comments
Mr. Guofu Ye, CEO, emphasized the strategic expansions and major accomplishments, including approaching the annual target of new store openings and maintaining strong revenue growth. Mr. Eason Zhang, CFO, highlighted the increased overseas target contributions and improvements in gross margins, reinforcing the effective execution of the corporate strategy. Both officers stressed ongoing commitments to financial stability and strategic growth.
Dividends and Share Repurchase Program
MINISO continued its capital return strategy, distributing over RMB600 million in dividends at the end of September. Year-to-date, the Company has returned approximately RMB1.6 billion to shareholders, combining dividends and share buybacks.
Forward Guidance
The company remains optimistic about reaching its annual targets and confirmed its commitment to maintaining annual dividend payouts of no less than 50% of adjusted net profit.
Stock Price Movement
Following the earnings release, MINISO’s stock price increased by approximately 6.26%, reflecting investor confidence in the company's strategic direction and financial health.
Overall, MINISO's continued growth in revenue and store count, alongside strategic investments, underscores its robust business model and potential for continued expansion in global markets.
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