KHB(SZ:002022) Zheng Quan Zhi Xing·2025-09-07 08:17Core Viewpoint - The company, Shanghai Kehua Bio-engineering Co., Ltd., has received a stable credit rating from United Credit Ratings, despite reporting significant losses in its recent semi-annual report due to industry challenges and policy changes [2][3]. Group 1: Credit Rating - United Credit Ratings assigned an individual credit rating of a+ and a long-term credit rating of A+ to the company, with a stable outlook [2]. - The ratings for the company's issued bonds are also A+, with the ratings valid for the duration of the bonds [2]. Group 2: Financial Performance - The company reported a significant decline in revenue and gross profit, with a year-on-year decrease of 209.76% as per the semi-annual report disclosed on August 27, 2025 [2][3]. - Contributing factors to the losses include intensified industry competition due to ongoing policy reforms, leading to decreased demand for certain testing projects and a drop in product prices [3]. - The company has maintained its R&D expense ratio at the same level as the previous year and has increased marketing investments to expand its domestic and international market presence [3]. Group 3: Asset Management - The company has made provisions for impairment risks on accounts receivable, inventory, and fixed assets, which negatively impacted profits [3]. - As of June 30, 2025, the company had cash reserves of 818 million, providing a high coverage level for the "Kehua Convertible Bond" balance, indicating that the recent losses are not expected to significantly affect the long-term credit rating [3].