Based on information compiled by Flush, a total of 25 A-share companies had released their performance forecasts for the third quarter as of September 3rd. Among these, 10 companies anticipate growth, one company expects to turn a profit after prior losses, and six companies have indicated that their operations face multiple risks with significant uncertainty. The remaining companies are projecting losses.
According to Zhan Junhao, a partner at Fuzhou Gongsunce Public Relations Consulting Co., Ltd., performance forecasts serve as a crucial channel for listed companies to signal their operational health to the market. He noted that high-quality enterprises can effectively alleviate market concerns and aid in valuation recovery by proactively disclosing stable and high-growth earnings expectations. He further emphasized that listed companies should integrate performance forecast disclosures into their routine compliance and risk management systems. This includes strictly adhering to disclosure deadlines, standardizing the content of these disclosures, fulfilling due diligence obligations, and upholding fairness to protect investor rights, mitigate regulatory and legal risks, and maintain the integrity of the capital market's information disclosure framework.
Looking at the data in detail, most companies have only offered a general overview of their performance for the first three quarters, such as a potential net loss or growth. However, ten of the 25 firms have provided a specific range for net profit attributable to shareholders for the January-September period. Among them, LUXSHARE ICT forecasts the highest absolute net profit figure.
In its announcement, LUXSHARE ICT states that, looking ahead to the first three quarters of 2026, the company will continue its established strategic plan. It will deepen customer collaboration across its three core business segments—consumer electronics, communications and data centers, and automotive electronics—while accelerating the implementation of key projects to maintain stable overall operations. In response to external factors like exchange rate volatility, fluctuating raw material prices, and ongoing investments in new business lines, the company will leverage its global production footprint, vertical integration capabilities, and precision manufacturing platform to enhance operational efficiency and supply chain coordination, thereby strengthening its operational resilience. Specifically, the consumer electronics business is benefiting from AI-driven terminal innovation trends and improved ODM/JDM capabilities. The communications and data center business is focusing on key areas such as high-speed electrical connections, optical connections, thermal management, and power management to advance project implementation, with growth momentum building alongside the acceleration of AI infrastructure construction. The automotive electronics segment is growing its business scale and customer base steadily thanks to its global presence and the ongoing synergy from the Leoni integration. The company projects that its net profit attributable to shareholders will increase by 15% to 25% year-on-year, reaching approximately RMB 13.2 billion to RMB 14.4 billion.
Apart from LUXSHARE ICT, other companies expecting year-on-year net profit growth for the first three quarters have cited rising demand and price fluctuations as the primary reasons for their improved performance.
However, some market analysts caution that the quality of performance forecast disclosures directly affects investors' access to information and their investment decisions. The compliance aspects of earnings estimation and information release are also under close scrutiny. Wang Zhibin, a securities litigation lawyer at Shanghai Minglun Law Firm, told reporters that to avoid information disclosure risks and improve compliance systems, listed companies must strictly enforce internal audit controls, standardize the content of their disclosures, and adhere to fairness principles when releasing third-quarter forecasts. This ensures lawful, compliant, cautious, and transparent communication. He stressed that a company's board of directors and finance department should rigorously perform their preliminary review duties. They need to carefully assess the first three quarters' operating data to accurately determine whether mandatory disclosure requirements are triggered, ensuring nothing is omitted or delayed. For voluntary disclosures, a prudent approach should be maintained, avoiding overly optimistic or artificially favorable presentations of performance.
Wang Zhibin added that listed companies should also establish mechanisms for forecast correction and error rectification. Given market fluctuations or unexpected events that could cause deviations in earnings estimates, a dynamic review process is necessary. If a forecast shows a significant deviation, a timely revised announcement must be issued. However, any such correction should remain within reasonable bounds to guard against risks like false disclosures, misleading statements, and material omissions, which are all forms of non-compliant disclosure.