SSI(SZ:002742) Zheng Quan Zhi Xing·2025-08-27 23:31Core Viewpoint - *ST San Sheng (002742) reported a significant decline in financial performance for the first half of 2025, with total revenue dropping by 33.89% year-on-year and a net profit loss of 1.31 billion yuan, a decrease of 97.02% compared to the previous year [1] Financial Performance Summary - Total revenue for the first half of 2025 was 486 million yuan, down from 736 million yuan in 2024, reflecting a 33.89% decrease [1] - The net profit attributable to shareholders was -1.31 billion yuan, compared to -66.48 million yuan in the same period last year, marking a 97.02% decline [1] - The gross margin decreased to 20.4%, down 13.97% year-on-year, while the net margin fell to -26.98%, a drop of 212.6% [1] - Total expenses (selling, administrative, and financial) reached 203 million yuan, accounting for 41.76% of total revenue, an increase of 56.69% year-on-year [1] - Earnings per share were -0.3 yuan, a decrease of 97.01% from the previous year [1] Cash Flow and Debt Analysis - The company’s cash flow situation is concerning, with cash and cash equivalents to current liabilities ratio at only 3.32% and a negative average operating cash flow to current liabilities ratio over the past three years [4] - The interest-bearing debt ratio has reached 41.44%, indicating a high level of financial leverage [4] - Historical data shows that the company has experienced negative operating cash flow for the past three years, raising concerns about its financial sustainability [4] Investment Return Evaluation - The company's historical return on invested capital (ROIC) has been generally low, with a median ROIC of 7.3% since its listing, and a particularly poor ROIC of -37.06% in 2024 [3] - The company has reported losses in four out of nine annual reports since its IPO, suggesting a lack of consistent profitability [3]