Fuyao Glass Industry Group Names New Chairman Cao Hui, Shares Dip After Strong Earnings
Fuyao Glass Industry Group Co. Ltd. has seen a change in leadership, with Cao Dewang's son, Cao Hui, taking over as the new chairman. Despite the company's strong financial performance and focus on innovation, shares slipped following the earnings announcement on Yahoo Finance.
The company's cash and cash equivalents stood at a healthy 21.86 billion yuan as of end-September, comfortably surpassing short-term liabilities. Fuyao Glass logged impressive growth in the third quarter, with revenues up 18.9% and net profits increasing by 14%. The company's focus on high-value products has driven its average selling price up by nearly 7% year on year. Over the nine months, revenues jumped 17.6% and net profit surged 28.9%. Net operating cash flow for the first three quarters leapt by 57% year on year to 9.89 billion yuan.
Cao Hui, the new chairman, has been with the company since 1989 and previously served as group president and vice chairman. His father, Cao Dewang, remains with the company as honorary chairman and a director. Despite the positive financial results and the new leadership, shares opened lower and fell more than 5% the following day after the earnings announcement on Yahoo.
Fuyao Glass Industry Group Co. Ltd. continues to focus on product innovation and international expansion under its new leadership. Despite the recent share price drop, the company's strong financial performance and cash position indicate a robust outlook. The reasons behind the share price movement remain unclear, as no relevant information was found regarding investor decisions following Cao Hui's takeover on Yahoo.
