SCIENTIFIC ENERGY, INC., a diversified company with operations in food & beverage delivery, IT services, and graphite product trading, has released its Q3 2023 Form 10-Q report. The report highlights significant financial growth and strategic business expansions, particularly through its new subsidiary, Graphite Energy, Inc.
Financial Highlights
- Revenue: $31.18 million, reflecting a significant increase of 65.06% compared to the same period in 2023, driven by the newly incorporated subsidiary, Graphite Energy, Inc.
- Gross Profit: $10.04 million, an increase of 22.43% from the previous year, indicating improved profitability despite higher costs.
- Operating Income: $0.80 million, a decrease of 18.46% from the prior year, primarily due to increased operating expenses.
- Net Income: $0.76 million, a decrease of 21.74% compared to the same period last year, impacted by higher interest expenses.
- Net Income Per Share: $0.004, consistent with the previous year, reflecting stable earnings per share despite fluctuations in net income.
Business Highlights
- Revenue Segments: The company operates primarily through its subsidiary, Macao E-Media Development Company Limited (MED), which focuses on food & beverage and delivery services, IT supporting services, and graphite product trading. The food & beverage and delivery segment generated $20,628,636 in revenue, IT supporting services contributed $401,675, and the graphite product segment added $10,151,299.
- Geographical Performance: The company operates in Macao and Hong Kong, with significant activities in mainland China through its subsidiary Zhuhai Aomi E-commerce Company Limited. The acquisition of Citysearch Technology (HK) Company Limited expanded operations in Hong Kong, focusing on group dining services.
- New Product Launches: The company launched a new subsidiary, Graphite Energy, Inc., to enter the graphite production and sales market. This includes establishing a production line for graphite refined powder products in Madagascar.
- New Production Launches: Graphite Energy, Inc. is setting up a production line for graphite refined powder products in Madagascar, ensuring a stable supply of graphite ore through an agreement with Madagascar Graphite Limited.
- Future Outlook: The company plans to continue expanding its operations in the food & beverage delivery sector and graphite production. It aims to leverage its platform to enhance efficiency and scale benefits while exploring new market opportunities.
SEC Filing: