SOYEA(SZ:000909) Zheng Quan Zhi Xing·2025-08-23 22:58Core Viewpoint - ST Shuyuan (000909) reported a significant decline in financial performance for the first half of 2025, with a net profit drop of 167.54% and total revenue decreasing by 16.14% compared to the previous year [1] Financial Performance Summary - Total revenue for the first half of 2025 was 146 million yuan, down from 174 million yuan in 2024, representing a decrease of 16.14% [1] - The net profit attributable to shareholders was -48.05 million yuan, a decline of 167.54% from a profit of 71.14 million yuan in the same period last year [1] - The gross margin fell to 39.53%, down 26.41% year-on-year, while the net margin turned negative at -31.45%, a decrease of 174.34% [1] - Operating expenses, including sales, management, and financial costs, totaled 50.49 million yuan, accounting for 34.56% of revenue, down 14.59% year-on-year [1] - Earnings per share dropped to -0.11 yuan, a decline of 169.23% from 0.16 yuan in the previous year [1] Cash Flow and Asset Management - The net cash flow from operating activities decreased by 93.91%, attributed to a reduction in cash received related to operating activities [4] - The net cash flow from investing activities saw a decline of 157.06%, also due to decreased cash received from investment-related activities [4] - The net cash flow from financing activities increased by 106.93%, as payments related to financing activities decreased [5] - The total cash and cash equivalents saw a net decrease of 80.41%, primarily due to reduced cash flow from operating activities [5] Asset and Liability Changes - The value of right-of-use assets decreased by 43.32% due to depreciation [3] - Contract liabilities increased by 77.02% as a result of pre-received housing payments [3] - Long-term borrowings were reclassified to current liabilities, resulting in a 100% change [3] - The company’s cash reserves dropped by 59.08%, from 422 million yuan to 173 million yuan [1] Investment and Return Metrics - The return on invested capital (ROIC) over the past decade has been weak, with a median of 4.12% and a particularly poor ROIC of -8.06% in 2023 [8] - The company has reported losses in four out of the 25 annual reports since its listing, indicating a history of underperformance [8] Recommendations for Monitoring - Attention is advised on the company's cash flow situation, with a cash to current liabilities ratio of only 16.36% [8] - The debt situation is concerning, with an interest-bearing asset liability ratio reaching 32.16% [8] - Inventory levels are high, with inventory to revenue ratio at 122.6% [8]