JOYVIO FOOD(SZ:300268) Zheng Quan Zhi Xing·2025-08-27 22:56Core Viewpoint - *ST Jiawo (300268) reported disappointing financial results for the first half of 2025, with a significant decline in revenue and net profit compared to the previous year [1][3]. Financial Performance Summary - The total operating revenue for the first half of 2025 was 1.245 billion yuan, a decrease of 33.96% year-on-year [1]. - The net profit attributable to shareholders was -419 million yuan, reflecting a 6.51% decline compared to the previous year [1]. - In Q2 2025, the operating revenue was 567 million yuan, down 33.8% year-on-year, while the net profit attributable to shareholders was -238 million yuan, an increase of 22.0% from the previous quarter [1]. Key Financial Metrics - Gross margin was -6.08%, an improvement of 11.64% year-on-year, while net margin was -37.93%, a decrease of 58.41% year-on-year [1]. - Total sales, administrative, and financial expenses amounted to 407 million yuan, accounting for 32.69% of revenue, an increase of 24.67% year-on-year [1]. - The company's cash flow from operating activities showed a drastic decline, with a per-share operating cash flow of -3.54 yuan, a decrease of 461.33% year-on-year [1][4]. Changes in Financial Items - Inventory decreased by 75.95% due to the divestment of the salmon farming subsidiary and increased raw material procurement by another subsidiary [3]. - Operating income fell by 33.96% due to a decline in production and sales from the former Chilean subsidiary [3]. - Sales expenses dropped by 41.74% as a result of decreased sales during the reporting period [3]. Cash Flow Analysis - The net increase in cash and cash equivalents decreased by 379.81%, primarily due to reduced cash flow from operating activities [4]. - The net cash flow from investing activities decreased by 51.76%, influenced negatively by the disposal of subsidiaries [3]. Business Model and Historical Performance - The company's historical financial performance has been poor, with a median ROIC of -3.95% over the past decade and nine years of losses out of thirteen annual reports since its listing [5]. - The business model relies heavily on marketing-driven strategies, necessitating a thorough examination of the underlying drivers of performance [5]. Financial Health Indicators - The cash flow situation is concerning, with cash and cash equivalents covering only 58.89% of current liabilities [6]. - Financial expenses have reached 323.08% of the average operating cash flow over the past three years, indicating potential financial strain [6].