HANGZHOU ZHONGHENG(SZ:002364) Zheng Quan Zhi Xing·2025-08-21 22:31Core Viewpoint - Zhongheng Electric (002364) reported mixed financial results for the first half of 2025, with revenue growth but a significant decline in net profit, indicating potential challenges in profitability and cash flow management [1][2]. Financial Performance - Total revenue for the first half of 2025 reached 891 million yuan, a year-on-year increase of 14.27% [1]. - Net profit attributable to shareholders was 47.48 million yuan, down 30.19% compared to the previous year [1]. - In Q2 2025, total revenue was 503 million yuan, reflecting a 16.87% year-on-year increase, while net profit dropped 52.3% to 27.19 million yuan [1]. - Gross margin decreased to 23.35%, down 7.36% year-on-year, and net margin fell to 5.35%, a decline of 33.9% [1]. - Total operating expenses (selling, administrative, and financial) amounted to 101 million yuan, accounting for 11.29% of revenue, an increase of 2.01% year-on-year [1]. Cash Flow and Debt - Operating cash flow per share was -0.1 yuan, a significant decrease of 148.83% year-on-year, indicating cash flow challenges [1][2]. - The company’s cash and cash equivalents increased by 20.93% to 461 million yuan [1]. - Interest-bearing debt rose by 57.4% to 161 million yuan, suggesting increased leverage [1]. Investment and Market Position - The company’s return on invested capital (ROIC) was reported at 4.12%, with a historical median of 2.76%, indicating weak capital returns [2]. - Analysts expect the company's performance for 2025 to reach 206 million yuan, with an average earnings per share of 0.37 yuan [3]. Shareholder Activity - Notable funds holding Zhongheng Electric shares include Morgan Stanley Digital Economy Mixed A, which has recently entered the top ten shareholders with 9.82 million shares [4]. - The largest fund, Morgan Stanley Digital Economy Mixed A, has a current scale of 2.386 billion yuan and has seen a 96.63% increase over the past year [4].