China Dali Financials Show Fever Camera Demand Fall
Zhejiang Dali, one of China's original thermal technology developers had excellent growth of 169% in H1 2020 with booming overseas fever camera sales but now reports fever camera demand has slowed significantly.
In this post, we examine Zhejiang Dali's Q3 2020 financial disclosures and what this means for Dali going forward, including:
- Sales and profit growth continuing but slowing down
- Fever camera demand becoming "normalized", says company spokesperson
- Gross margins still increasing, says Dali
- Turning to focus on consumer, industry market after slowdown
- Negative market reaction to Q3 2020 performance
Growth ********* *** *********** ******** **** ** ****
****'* ** **** ******* **** **** 2.45% *** ** ~*** ******* *** (~$21 ******* ***). ******* **** **.**% to ~** ******* *** (~$*.* ******* USD).
** *** ********* ** *** ****, Dali ****** **** ***%+ ******, ************ to ***%+ ****** ** ** *** now ****** ******* ** **, ** the ***** ***** *****:
****'* ***** ******* ** **** **** half **** ** **** ** ** 2020 ******** ** **** ***-***** ** the ********** ****** **** ****. **** drop ** *** ** ********* ****** for ***** ******* *** **** ******** when************************* ***** ** **** *******.
**** ******** ***** ****** ****** ** H1 **** ** ******* **** ** 4x. ***** ****'* ******* **** ***** grown ** **, *** ****** *** lost *****. ***** **** ******** **** experience ********* ****** ****** **** ** to **, *** ******** ** ******* from ** ** ** **** *** much **** ********** **** ** ******** years. **** ******** **** ** ****** fewer ***** ** *** ****** ********** products, ****** **** ****** ***** *******.
No ******** / ******** ********* *** **
**** *** *** ******* * ***** / ******** ** ************* / ******** breakdown *** *** ** ******, ** we ** *** **** *** **** growth ** ***** ****** ** ******** vs ******* *****.
************, **** ~*% ** ****'* ******** has **** ********, *** ** ** 2020, *** ******** ***** **** ** ~40% ** ***** *****. ** ** unclear ** **** *** **** **** increase ** ******** ***** ********** ** in *** **** ** ******** ***** camera ***** **** ******* ** *****. Dali's **** ****** **** **** *** annual *********** *** **** ******* * finer ************ *********.
Fever ****** ****** "**********," ********* ** ******* ************
***** ****** ****** *********** **** ** * ****** *****, **** * **** ************ ** response ** ** ******** ******** ** an ****** *****:
******** ********** ******** ** *** *******'* main ******** **** ******* * *** stage **normalized ********** from emergency procurement in the first half of the year. [emphasis added]
**** ******** ******* ***** ***** ****** demand ******** ** ** **** **** those ***** ** ***** ******** *********, including*********, *** **** **** ******** ****** decreasing *** ******** ********** ******** ** Q3 ***** * **** ** **.
Following ********, ****'* ***** ***** ** ******** *** ******** ********
** *** **** ** * ***** camera ****** ********, **** ** *** focusing ** *** ******** *** ******** products *** **** ********** ****** ** those ******* *** "******* *** *******'* ********* ***** ******":
***** *** ****** **** ** *** year, ****** *** ******** ******** *** industrial *********** *********** ******** *** ******* growth, **** ********** ******** ** *** demand *** "*** **************". *** ****** for ********** ****** *** *********** *** rapidly *********. *** ******** ********, *** demand *** ********* ** ** **********. These *** *** ******* *** *******'* continued ***** ******.
** ******** ********* ******* ***** ****'* ability ** ******** ** **** ** "******** ********** ******** ***** *** ****** adjustment *****" (*.*. ****** *********). *******, **** has ********** *** ****** **** ** sustained ** ***** ********** ******* ******* as *****-** ******* ********** ************ *** in ******* ******* ********.
Dali ***** **** ~*% ******** ********* ** **** ********** *******
*** ****** ********* ********** ** ****'* Q3 **** ********* ******* ***** **** were ******** ** ******* **. ** the ***** **** *** ** ******* after *** *******, ****'* ***** *** down ~*%. *** ***** ***, *** stock *** ****** * ***** ** ~14% ******** ** ****** *** ** 2020 ******* **** ********.
*****, ****'* ***** *** ***** ~***% since *** ********* ** ****, ******* in **** ****, ****** ** *** incredible ********* *********** ***** *****-** *******.
*******
****'* ******* *** ********** **** ******* from *****, **** *** ********* ***** the ***** ****** ************. ** ** possible **** *** '****** ****' ********* sales **** ****** ****** *** ***** going **** *** ****** *** **** negative *** ***** ****** *****.
*** **** ******** ***** ****** ** the **** ***** ***** **** * spitting ***** ** ************* ***** ******...