JIEQIANG EQUIPMENT(SZ:300875) Jin Rong Jie·2025-06-26 09:46Core Viewpoint - The military equipment sector has seen significant stock price increases, particularly for Jieqiang Equipment, which specializes in nuclear and biochemical safety equipment. However, recent developments regarding legal issues involving the company's actual controller have raised concerns about its future performance [1][3]. Company Developments - Jieqiang Equipment's stock price surged over 100% from June 11 to June 23, 2025, but has since experienced a slight decline, closing at 44.57 yuan per share on June 26, with a market capitalization of 4.45 billion yuan [1]. - On June 25, the company announced that its actual controller, Pan Feng, was detained for suspected job-related crimes, specifically for alleged unit bribery. This follows a year of investigation since his initial inquiry in June 2024 [3]. - The company is facing potential losses from a 158 million yuan project that may not be realized due to the ongoing legal issues, leading to an asset impairment loss of approximately 43.82 million yuan [3][5]. Financial Performance - Jieqiang Equipment has reported cumulative losses exceeding 360 million yuan from 2022 to 2024, primarily due to underperformance from multiple acquisitions that resulted in significant goodwill impairments [4]. - The company's financial metrics for 2024 show a net profit loss of 278 million yuan, a 309.78% decrease year-on-year, and total revenue of 138 million yuan, reflecting a 52.81% decline compared to the previous year [5]. Leadership Changes - Following the investigation of Pan Feng, Jieqiang Equipment appointed his son, Pan Qijun, as the new chairman and general manager in July 2024. Pan Qijun has held various roles within the company and other related firms [6].