mailyard(SH:600107) Zheng Quan Zhi Xing·2025-08-30 23:26Core Insights - ST Er Ya reported a narrowing loss in its 2025 mid-year financial results, with total revenue of 129 million yuan, a year-on-year decrease of 36.93% [1] - The company's net profit attributable to shareholders was -21.86 million yuan, showing a year-on-year improvement of 20.46% [1] Financial Performance - Total revenue for Q2 2025 was 54.89 million yuan, down 26.83% year-on-year [1] - Q2 net profit attributable to shareholders was -13.59 million yuan, an increase of 2.43% year-on-year [1] - Gross margin stood at 36.38%, a decrease of 1.47% year-on-year, while net margin was -17.74%, down 31.81% year-on-year [1] - Total expenses (selling, administrative, and financial) amounted to 61.99 million yuan, accounting for 48.02% of revenue, an increase of 7.9% year-on-year [1] Balance Sheet Metrics - Cash and cash equivalents decreased by 57.11% to 43.90 million yuan [1] - Accounts receivable fell by 19.13% to 44.88 million yuan [1] - Interest-bearing liabilities decreased by 15.15% to 135 million yuan [1] - Book value per share was 1.31 yuan, down 11.73% year-on-year [1] Cash Flow Analysis - Operating cash flow per share was -0.00 yuan, showing a significant improvement of 98.23% year-on-year [1] - Earnings per share was -0.06 yuan, an increase of 25.00% year-on-year [1] Business Evaluation - The company's historical return on invested capital (ROIC) has been weak, with a median of 2.29% over the past decade and a low of -12.8% in 2022 [3] - The business model relies heavily on marketing-driven performance, necessitating a deeper analysis of the underlying drivers [3] Financial Health Indicators - The cash flow situation is concerning, with cash and cash equivalents to current liabilities ratio at 71.28% and average operating cash flow over the past three years being -18.07% of current liabilities [3] - Financial expenses have been consistently negative over the past three years, indicating potential financial strain [3]