WSBE(SH:600421) Zheng Quan Zhi Xing·2025-08-28 22:59Core Viewpoint - *ST Huaron (600421) reported mixed financial results for the first half of 2025, with revenue growth but continued net losses, indicating ongoing operational challenges [1] Financial Performance - Total revenue for the first half of 2025 reached 55.6423 million yuan, a year-on-year increase of 25.22% [1] - The net profit attributable to shareholders was -3.5477 million yuan, a decline of 6.25% compared to the previous year [1] - In Q2 2025, total revenue was 35.5971 million yuan, reflecting a significant year-on-year increase of 58.49% [1] - The net profit for Q2 2025 was -2.5116 million yuan, showing an improvement of 8.88% year-on-year [1] Key Financial Ratios - Gross margin decreased to 12.78%, down 20.49% year-on-year [1] - Net margin was -7.21%, a decline of 20.30% compared to the previous year [1] - Total expenses (selling, administrative, and financial) amounted to 8.5359 million yuan, accounting for 15.34% of revenue, a decrease of 20.66% year-on-year [1] Balance Sheet Highlights - Accounts receivable increased to 89.2599 million yuan, up 32.13% year-on-year, representing 76.18% of total revenue [1] - Cash and cash equivalents rose significantly to 20.8092 million yuan, a 451.15% increase [1] - Interest-bearing liabilities surged to 47.2095 million yuan, a dramatic increase of 269.98% [1] Historical Performance Insights - The company has a poor historical return on invested capital (ROIC), with a median of -3.68% over the past decade [1] - The worst year recorded a ROIC of -75.3% in 2018, indicating significant challenges in generating returns [1] - The company has reported losses in 10 out of 20 annual reports since its listing, suggesting a trend of underperformance [1]