TIANSHAN BIO(SZ:300313) Zheng Quan Zhi Xing·2025-08-27 22:56Core Viewpoint - *ST Tianshan reported a decline in total revenue and an increase in net loss, indicating challenges in operational performance despite improvements in profitability metrics such as gross margin and net margin [1]. Financial Performance Summary - Total revenue for the first half of 2025 was 41.612 million yuan, a decrease of 12.02% compared to 2024 [1]. - The net profit attributable to shareholders was -7.7966 million yuan, showing an increase of 71.99% year-on-year [1]. - The gross margin improved significantly to 18.35%, with a year-on-year increase of 3113.55% [1]. - The net margin was -18.1%, reflecting a year-on-year increase of 68.83% [1]. - Total expenses (selling, administrative, and financial) amounted to 15.6191 million yuan, accounting for 37.54% of revenue, which is an increase of 8.35% year-on-year [1]. Cash Flow and Debt Analysis - Cash and cash equivalents decreased by 22.43% due to operational losses leading to reduced cash [3]. - The net cash flow from operating activities saw a significant decline of 243.5%, attributed to differences in inventory stocking and sales timing compared to the previous year [8]. - The company’s interest-bearing debt decreased by 3.37% to 80.9768 million yuan [1]. Operational Challenges - The decrease in total revenue was primarily due to a reduction in the scale of live livestock sales [4][5]. - Sales expenses decreased by 38.45% as the company controlled its expenditure [6]. - The company faced challenges with accounts receivable, which increased by 49.05% to 16.4998 million yuan [1]. Investment and R&D - R&D expenditures increased by 41.1%, driven by higher personnel and project rewards [8]. - The company has a historical median Return on Invested Capital (ROIC) of -7.32%, indicating poor investment returns over the past decade [11].