“Resilience and Growth: Shanghai-listed Companies Continue to Perform Well in the Third Quarter”
– By Reporter Liu Liwen
As the third quarterly report comes to an end, the performance of “Shanghai-domiciled” listed companies in the first three quarters has been fully disclosed, revealing their resilience and vitality. According to statistics from Shanghai Securities News, 438 Shanghai listed companies achieved a total net profit of 308.8 billion yuan in the first three quarters of this year, marking a year-on-year increase of 3.9%. This indicates that 80% of the companies have achieved profitability, with more than half of them experiencing year-on-year net profit growth, showcasing a continued recovery trend.
In terms of industries, the operating income of 70% of the industries and the net profit of 50% of the industries in Shanghai’s listed companies maintained growth in the first three quarters. Additionally, more than 80% of the industries achieved profitability. The financial industry, manufacturing industry, and transportation, warehousing, and postal industry emerged as the top three industries with the highest net profit.
The entertainment consumer market and transportation and shipping market experienced increased vitality, leading to rapid growth in performance for companies in related sectors. In the first three quarters, 21 Shanghai listed companies in the transportation, warehousing, and postal industries achieved a total operating income of 296.2 billion yuan and a net profit of 27.2 billion yuan. This represents a year-on-year increase of 22.1% and 827.6% respectively.
During the third quarter of this year, Shanghai listed companies in seven industries achieved positive month-on-month net profit growth. Notably, the public utility sector recovered strongly, benefiting from the continued release of demand for improving people’s livelihood, with performance increasing by 1,257% month-on-month. The comprehensive industry, education industry, and health and social work industry also experienced significant growth, increasing by 692% and 104% month-on-month respectively.
The leading companies played a crucial role in driving the sector’s profitability. In the first three quarters of this year, 10 Shanghai-listed companies, including Bank of Communications, Shanghai Pudong Development Bank, China Pacific Insurance, and SAIC Group, achieved a total net profit of 194 billion yuan. This accounted for 62.8% of the total net profit of the entire sector.
To foster innovation and enhance technological content, Shanghai-listed companies continued to increase their investment in research and development (R&D). In the first three quarters, these companies invested a total of 94.3 billion yuan in R&D funds, with 60% of the companies witnessing a year-on-year increase in their R&D expenses. Among them, 195 Shanghai-listed companies increased their R&D investment by more than 10%, constituting about 45% of the total. Additionally, 19 companies had R&D expenses exceeding 1 billion yuan, with SAIC Group leading the sector with R&D expenses amounting to 12.25 billion yuan. United Imaging Medical topped the Shanghai Science and Technology Innovation Board companies’ list with R&D investment of 1.37 billion yuan.
The strong guarantee of direct financing enabled listed companies in Shanghai to intensify their R&D efforts. The data reveals that five companies in the sector had R&D intensity exceeding 100% in the first three quarters. For example, Suochen Technology invested 60.8577 million yuan in R&D, accounting for 116.22% of its operating income. The company also secured ten new invention patents during the same period.
Overall, the performance of “Shanghai-domiciled” listed companies in the first three quarters reflects their resilience and the positive trajectory of the Shanghai stock market. As these companies continue to innovate and invest in R&D, their profitability and technological content are expected to further improve, driving the overall growth and prosperity of the sector.