Core Insights - Shell has launched the "Shell Expert Selected Product Series" in collaboration with Zhenkunhang, aiming to provide comprehensive industrial lubrication solutions tailored to various operational scenarios [1][3] Group 1: Product Launch and Collaboration - The product series was unveiled at Zhenkunhang's Shanghai headquarters, emphasizing the partnership's strategic significance and the innovative service model [3][5] - Shell's General Manager for Industrial Lubricants in China highlighted the initiative as a new attempt in the e-commerce model for industrial oils, focusing on high cost-performance and quality assurance [3][5] - The collaboration aims to leverage Zhenkunhang's extensive distribution network and digital platform to deliver quality products efficiently to customers [3][5] Group 2: Strategic Meetings and Global Cooperation - Prior to the product launch, Shell's global market team visited Zhenkunhang to discuss industry trends and global market dynamics [5] - The meeting underscored China's strategic importance in the global industrial lubricant market and aligned Zhenkunhang's 2025 strategy with Shell's global insights [5] - Both companies plan to enhance their global presence and digital procurement processes, aiming to integrate technology resources and improve supply chain efficiency [5]

Core Viewpoint - Huaxing Capital reports that Zhenkunhang (ZKH.US) has met expectations for GMV in Q4 2024, with revenue and net profit exceeding forecasts, leading to a "Buy" rating and a target price of $4.50 per share [1][3]. Financial Performance - In Q4 2024, ZKH's total GMV was RMB 2.69 billion, with contributions from ZKH platform and GBB platform at approximately RMB 2.44 billion and RMB 255 million, respectively, showing year-on-year declines of 16.1%, 16.2%, and 14.9% [1]. - The non-GAAP operating loss for Q4 was RMB 19 million, with a net loss of RMB 15 million; operating profit margin (OPM) and net profit margin (NPM) were -0.8% and -0.6%, respectively, showing improvement from Q3 2024 due to a focus on high-margin businesses and cost control [2]. Business Expansion - ZKH currently has 412 SKUs in the U.S. market, with an additional 1,300 SKUs set to launch, covering areas such as PPE, hand tools, power tools, packaging materials, HVAC, and office supplies [2]. - The company aims to enhance customer growth, with over 1,500 registered users on its e-commerce site launched in December 2024 [2]. Supply Chain and Pricing Strategy - Approximately 20% of SKUs for the U.S. market can be sourced from outside China, including South Korea, Vietnam, and Malaysia, mitigating potential tariff impacts [2]. - Despite tariff considerations, ZKH's products maintain a significant price advantage in the U.S. market [2]. AI Development - ZKH has integrated 2 million material items with an accuracy rate exceeding 90%, aiming to improve material management efficiency for customers [3]. - The internal AI assistant enhances order processing efficiency by approximately 23% [3]. Future Projections - Huaxing Capital adjusts ZKH's Q1 2025 GMV growth forecast to -10.1% and full-year growth to +7.0%, with revenue forecasts of -0.8% for Q1 and +11.1% for the full year [3]. - Expected gross margins for Q1 and full year 2025 are 17.9% and 18.2%, respectively, with non-GAAP net profit margins projected at -3.0% for Q1 and +0.4% for the full year [3]. - ZKH is anticipated to achieve positive GMV and revenue growth in Q2 2025, with net profit expected in the second half of 2025 [3].

Core Viewpoint - ZKH Group Limited, a leading MRO procurement service platform in China, is set to release its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2024, on March 18, 2025, before U.S. market opening [1] Group 1: Financial Results Announcement - The unaudited financial results will be announced on March 18, 2025 [1] - An earnings conference call will be held on the same day at 8:00 A.M. U.S. Eastern Time to discuss the financial results [2] - The call will be accessible via multiple international phone numbers and will also be available as a live and archived webcast on the company's investor relations website [2] Group 2: Company Overview - ZKH Group Limited is focused on the digital transformation of the MRO industry, aiming to reduce costs and improve efficiency [3] - The company offers digitalized, one-stop MRO procurement solutions, providing customers with access to a wide selection of quality products at competitive prices [3] - ZKH Group Limited enhances product delivery through professional fulfillment services, catering specifically to the needs of MRO suppliers and customers [3]

微信公众号｜ipozaozhidao 据IPO早知道消息，震坤行（NYSE：ZKH）于11月22日美股盘前发布了2024第三季度业绩报告。 盈利能力持续改善，多维度战略推进效果显著。 本文为IPO早知道原创 作者｜Stone Jin 财报显示， 震坤行 第三季度营收 22.8亿 元（人民币，下同）， 毛利率从 2 023年 同期 的 16.3%提升17.0% ， 经调整亏损率 则 从 2 023年 同期的 4.4%下降至2.9%，继续实现季度同比 改善。值得一提的是，震坤行本季度继续录得经营性现金流净流入1.6亿 元 ，现金流进一步充实 。 面对不断变化的市场环境，震坤行战略聚焦成长质量，持续推动业务结构优化，以及产品力、供应链 能力和数字化AI能力的提升，为实现可持续的长远发展奠定坚实基础。目前，震坤行的多维度战略推 进效果显著。 客户开发层面。 震坤行第三季度服务客户数量47876家，同比增长16.9%，今年1 至 9月，服务客 户数超过75000家，同比增加超过30%。目前，在中国制造业千强集团中，震坤行已服务超过600 家集团企业 。电话会议上，管理层强调将持续围绕高质量客户和区域，布局人员和资源投放 ...

Core Viewpoint - ZKH Group Limited has entered into a strategic partnership with Zhejiang Tmall Technology Co., Ltd. to enhance cooperation in the industrial product market, effective until October 31, 2026 [1][2]. Group 1: Partnership Details - The partnership aims to explore commercialization models for industrial products and facilitate the upgrade and expansion of both parties' industrial product supplies [2]. - ZKH will arrange for flagship stores of leading industrial product brands to join Tmall's platform, while Tmall will provide tailored services and support [2]. Group 2: Company Overview - ZKH Group Limited is a leading MRO procurement service platform in China, focusing on digital transformation to improve cost efficiency across the industry [3]. - The company offers digitalized, one-stop MRO procurement solutions, enabling customers to access a wide selection of quality products at competitive prices [3]. - ZKH emphasizes timely and reliable product delivery through professional fulfillment services, catering specifically to the needs of MRO suppliers and customers [3].

Core Viewpoint - ZKH Group Limited reported its third-quarter financial results for 2024, showing a slight increase in net revenues despite a decline in gross merchandise volume (GMV) and a focus on operational optimization to improve profitability metrics [1][3]. Financial Performance - Net revenues for Q3 2024 were RMB 2,280.7 million (US$ 325.0 million), a 0.7% increase from RMB 2,265.0 million in Q3 2023 [3][4]. - Gross profit increased by 5.1% to RMB 388.4 million (US$ 55.3 million), with a gross margin of 17.0%, up from 16.3% in the same period last year [7][8]. - The company reported a net loss of RMB 81.8 million (US$ 11.7 million), an improvement from a net loss of RMB 97.7 million in Q3 2023 [15][16]. Operational Highlights - The total GMV decreased by 7.2% to RMB 2,685.996 million, with the ZKH platform GMV down by 7.5% [2]. - The number of customers increased by 16.9% year-over-year, reaching 47,876 [2]. - The company generated net cash from operating activities of RMB 160.5 million in Q3 2024, compared to net cash used in the same period of the previous year [21]. Cost Management - Cost of revenues slightly decreased by 0.2% to RMB 1,892.3 million (US$ 269.7 million), indicating effective cost management strategies [6]. - Operating expenses increased by 0.6% to RMB 493.8 million (US$ 70.4 million), with a slight decrease in the percentage of operating expenses relative to net revenues [9]. Strategic Focus - The company emphasized ongoing optimization efforts to enhance business quality and reduce loss margins, with a notable improvement in gross margin and adjusted net loss margin [1][2]. - ZKH Group is committed to long-term growth and value creation for stakeholders, focusing on strengthening product capabilities and customer relationships [1][2].

Core Viewpoint - ZKH Group Limited, a leading MRO procurement service platform in China, is set to release its unaudited financial results for Q3 2024 on November 22, 2024, before U.S. market opening [1]. Group 1: Financial Results Announcement - The unaudited financial results for Q3 2024 will be announced on November 22, 2024 [1]. - An earnings conference call will be held on the same day at 7:00 A.M. U.S. Eastern Time to discuss the financial results [2]. - Access to the conference call will be available through various toll-free numbers for the U.S., international, and Mainland China [2][3]. Group 2: Company Overview - ZKH Group Limited is focused on the digital transformation of the MRO industry, aiming to reduce costs and improve efficiency [4]. - The company offers digitalized, one-stop MRO procurement solutions, providing customers with access to a wide selection of quality products at competitive prices [4]. - ZKH Group Limited enhances product delivery through professional fulfillment services, catering specifically to the needs of MRO suppliers and customers [4].

Investment Rating - The report assigns an "Overweight" rating to ZKH (首次覆盖) [1] Core Views - ZKH's scale advantage is driving profit improvement, and the share buyback plan demonstrates confidence in future development [1] - ZKH's platform operations remain stable, with the Gongbangbang platform showing strong growth [2] - Revenue is growing rapidly, with marginal improvement in profit levels [2] - The company has completed multiple rounds of financing, attracting well-known institutions such as Zhongding Capital and Genesis Capital [2] - The share buyback plan reflects management's confidence in the company's long-term development [2] Financial Performance - In Q2 2024, ZKH achieved revenue of 2.25 billion yuan, a year-on-year increase of 8.5% [2] - Non-GAAP adjusted net profit was -35 million yuan, a reduction in loss of 95 million yuan compared to the same period last year [2] - Gross margin was 17.0%, up 0.8 percentage points year-on-year [2] - The ZKH platform's GMV was 2.48 billion yuan, up 4.4% year-on-year, with revenue of 1.893 billion yuan, up 7.8% year-on-year, and a gross margin of 15.5%, up 1.81 percentage points year-on-year [2] - The Gongbangbang platform's GMV was 270 million yuan, up 17.8% year-on-year, with revenue of 270 million yuan, up 17.3% year-on-year, and a gross margin of 5.6%, down 0.29 percentage points year-on-year [2] Revenue and Profit Forecast - Forecasted revenue for 2024-2026E is 9.77 billion yuan, 10.82 billion yuan, and 11.76 billion yuan, respectively [3] - Forecasted net profit attributable to the parent company for 2024-2026E is 86 million yuan, 402 million yuan, and 724 million yuan, respectively [3] - The corresponding P/E ratios are 47.9X, 10.3X, and 5.7X, respectively [3] Valuation Metrics - ROE is expected to improve from -9.5% in 2023A to 16.4% in 2026E [4] - Gross margin is forecasted to increase from 17% in 2023A to 20% in 2026E [5] - Revenue growth rate is projected to be 12% in 2024E, 11% in 2025E, and 9% in 2026E [5] - Net profit growth rate is expected to be 128% in 2024E, 366% in 2025E, and 80% in 2026E [5] Share Buyback Plan - ZKH announced a share buyback plan on June 14, 2024, intending to repurchase up to $50 million worth of ADS within the next 12 months [2]

Core Viewpoint - ZKH Group Limited reported solid financial performance in Q2 2024, with significant growth in gross merchandise volume (GMV) and net revenues, driven by an increase in customer numbers and strong demand in the maintenance, repair, and operations (MRO) market [1][2][3]. Financial Performance - **Gross Merchandise Volume (GMV)**: Increased by 5.6% year-over-year to RMB 2,754.6 million [2]. - **Net Revenues**: Rose by 8.5% year-over-year to RMB 2,250.0 million (US$309.6 million) [3][4]. - **Gross Profit**: Increased by 14.3% to RMB 383.0 million, with a gross margin of 17.0%, up from 16.2% [6][7]. - **Operating Loss**: Narrowed to RMB 71.2 million from RMB 123.1 million in the same period last year, improving the operating loss margin to 3.2% from 5.9% [11][13]. - **Net Loss**: Reduced by 48.8% to RMB 66.3 million, with a net loss margin of 2.9% compared to 6.2% in Q2 2023 [13][14]. Customer Growth - **Number of Customers**: Increased by 25.1% year-over-year to 48,766, with notable growth in both ZKH and GBB platforms [2][3]. - **ZKH Platform Customers**: Grew by 18.9% to 34,360 [2]. - **GBB Platform Customers**: Increased by 43.0% to 14,406 [2]. Business Model Performance - **Product Sales (1P)**: Increased by 9.5% to RMB 2,185.4 million [2][4]. - **Marketplace (3P)**: Decreased by 7.3% to RMB 569.2 million, reflecting a lower proportion of GMV generated by the marketplace model [2][4]. Operational Efficiency - **Operating Expenses**: Decreased by 0.9% to RMB 454.2 million, with operating expenses as a percentage of net revenues improving to 20.2% from 22.1% [8][9]. - **Fulfillment Expenses**: Decreased by 7.1% to RMB 99.1 million, contributing to improved operational efficiency [8]. - **Sales and Marketing Expenses**: Decreased by 6.5% to RMB 157.7 million [9]. Future Outlook - The company aims to continue investing in supply chain capabilities and digitalization to enhance customer engagement and service offerings, positioning itself to capitalize on growth opportunities in the MRO market [1][2].

SHANGHAI, June 13, 2024 /PRNewswire/ -- ZKH Group Limited (NYSE: ZKH), a leading maintenance, repair and operations ("MRO") procurement service platform in China, announced that its board of directors has authorized a share repurchase program under which the Company may repurchase up to US$50 million of its American Depositary Shares over the next 12 months, ending on June 13, 2025.The share repurchases may be effected from time to time on the open market at prevailing market prices, in privately negotiated ...