The firm generates around 50% of its total revenue from producing Apple's components.
Image credit: Unsplash/ David Švihovec
Lens Technology (300433:SZ) reported its 3Q 2020 earnings on Monday, surpassing expectations for the period.
In the first three quarters of 2020, the company generated CNY 26.08 billion in revenue, increasing by 26.6% from a year ago. The net profit attributable to the parent company skyrocketed by 210% to CNY 3.43 billion, exceeding the market consensus forecast compiled by Wind. Besides, Lens's 3Q results presented a historical high quarter revenue and profit of CNY 10.52 and CNY 1.52 billion, topping at 13.9% and 20.2% year-on-year, respectively.
China International Capital Corporation analysts believe the strong performance was due to Apple raising the new iPhone 12 series inventory. The research body also increased the target prices to CNY 45 per share as they believe Lens Technology will benefit from the strong performance of Apple's new lineup in the future.
Founded in 2006, Lens Technology manufactures protective glasses for phones, tablets, Apple Watches, vehicles and other devices. The company's products are selected by bluechip clients such as Apple, Samsung, Tesla and other famous brands.
By the end of Tuesday, the company's stock price slightly slipped by 0.38% to CNY 34.33 apiece.