NSWRC(SH:600165) Zheng Quan Zhi Xing·2025-07-02 16:25Core Viewpoint - Ningxia Zhongke Biotechnology Co., Ltd. is facing significant financial distress, with a total debt of 2.236 billion yuan, including overdue debts of 1.81 billion yuan and litigation-related debts of 1.84 billion yuan, leading to a severe impact on its ability to continue operations [1][5]. Debt and Financial Situation - As of the announcement date, the company's total debt stands at 2.236 billion yuan, with overdue debts totaling 1.81 billion yuan and litigation-related debts amounting to 1.84 billion yuan [1][5]. - Most of the company's bank accounts, except for those of its subsidiaries, are frozen, indicating a critical liquidity crisis [1][5]. - The company lacks sufficient funds and liquid assets to meet its debt obligations, raising concerns about its ability to continue as a going concern and potential bankruptcy [1][5]. Litigation Status - The company and its subsidiaries have been involved in multiple lawsuits over the past 12 months, with various stages including concluded, executed, and pending cases [2]. - The total amount involved in the current litigation is approximately 8.7 million yuan, along with associated litigation and preservation costs [2]. - The company is currently a defendant in several lawsuits related to loan agreements, equity transfer disputes, sales contracts, construction contracts, and securities fraud claims [2][5]. Specific Case Details - A specific lawsuit has been filed by Yantai Jiuqi Construction Engineering Installation Co., Ltd. against the company and Shandong Guiyuan Biotechnology Co., Ltd. for unpaid construction fees totaling 3.699 million yuan [2][3]. - The lawsuit is based on a construction contract where the plaintiff claims that the defendants have delayed payment for completed work [3]. Impact on Future Profitability - Due to the ongoing litigation and the current financial situation, it is difficult to accurately assess the impact on the company's current and future profitability [4][5].