Yuean New Materials reports 2024 revenue up 13.4% amid strong powder demand
May 12, 2025
Yuean New Materials, a leading supplier of MIM powders, feedstock, soft magnetic materials and carbonyl iron powders, based in China’s Jiangxi Province, has released its end-of-year results for 2024 and its figures for the first quarter of 2025.
In 2024, the company achieved revenue of 418 million yuan, a year-on-year increase of 13.4%. Net profit for the year was 70.29 million yuan, a year-on-year decrease of 12%, with net profit after deducting non-recurring items being 66.53 million yuan, a year-on-year decrease of 8.95%.
The company stated that the main reason for its revenue growth was the increased use of Metal Injection Molding technology in sectors such as consumer electronics and automobiles, replacing some traditional forging, casting, and similar processes to produce precision parts. This was said to have driven the company’s related powder product revenue growth and the increase in demand for downstream application products in electronic components.
Revenue from the company’s soft magnetic powder product line was 153 million yuan, an increase of 19.1% year over year. Gross profit margin was 42%, a decrease of 5.4 percentage points year over year. The company said the main reason was that the fundraising and investment projects were converted into fixed assets, while production capacity was still growing, and the operating costs, such as depreciation, increased.
The revenue of the carbonyl iron powder product line was 122 million yuan, up 6.4% year-on-year, and the gross profit margin was 44.8%, down 4.9 percentage points year-on-year. The decline in gross profit margin was mainly due to the increase in raw material prices and production costs.
Regarding the total volume and development trend of the carbonyl iron powder industry, Yuean New Materials said in an interview with institutional investors in April this year that the global annual demand for carbonyl iron powder is about 30,000 tons, with a compound growth rate of about 20% in the past five years. If the price remains relatively stable, the annual increase in the existing market is expected to be about 10%-15%.
First quarter 2025
As of the end of Q1, the company’s total operating income was 96.22 million yuan, a year-on-year increase of 9.2%. Its net profit attributable to the parent company was 16.83 million yuan, a year-on-year increase of 0.3%.
The company’s gross profit margin for the period was 35.7%, an increase of 1.95% year-on-year. However, the net profit margin was 17.38%, marking a decrease of 7.2% year-on-year, the sales expenses, management expenses, and financial expenses accounted for 9.9% of the revenue, an increase of 1.6% year-on-year.
