ZYGF(SZ:300018) Zheng Quan Zhi Xing·2025-08-27 11:53Financial Performance - Company reported total revenue of 237 million, an increase of 17.56% year-on-year [1] - Net profit attributable to shareholders reached 58.41 million, up 78.63% year-on-year [1] - In Q2, total revenue was 138 million, a year-on-year increase of 14.49%, with net profit of 32.18 million, up 35.63% year-on-year [1] - Gross margin improved by 8.65% to 51.44%, while net margin increased by 47.73% to 24.63% [1] - Total selling, administrative, and financial expenses amounted to 33.41 million, accounting for 14.09% of revenue, a decrease of 13.52% year-on-year [1] - Earnings per share rose to 0.12, an increase of 71.43% year-on-year [1] Cash Flow and Investment Activities - Net cash flow from investment activities decreased by 104.9% due to increased purchases of bank wealth management products and large deposits [2] - Operating cash flow increased by 39.16% as sales grew, leading to higher cash receipts compared to the previous year [4] Inventory and Financial Assets - Inventory increased by 26.55% due to higher contract volumes requiring more stock [4] - Trading financial assets decreased by 34.71% as some bank wealth management products matured and were converted into large deposits [4] - Debt investment rose by 55.5% due to purchases of large bank deposits [4] Profitability and Return Metrics - Last year's Return on Invested Capital (ROIC) was 5.42%, indicating average capital returns [4] - Historical data shows a median ROIC of 5.12% over the past decade, with a notably poor ROIC of -34.39% in 2018 [4] Business Model and Market Position - Company relies on research and marketing for performance, with a focus on smart grid products used in various power infrastructure projects [5] - Company products are utilized in all 17 nuclear power plants currently under construction or operation in China [5]