Core Viewpoint - Qingshuiyuan (300437) reported a narrowing loss in its 2025 interim financial results, with total revenue declining significantly while net profit showed improvement compared to the previous year [1] Financial Performance Summary - Total revenue for the first half of 2025 was 417 million yuan, a decrease of 26.25% year-on-year [1] - The net profit attributable to shareholders was -25.76 million yuan, an improvement of 41.73% year-on-year [1] - In Q2 2025, total revenue was 212 million yuan, down 23.98% year-on-year, while net profit was -20.59 million yuan, up 56.76% year-on-year [1] - Gross margin was 9.24%, a decrease of 2.91% year-on-year, while net margin was -6.06%, an increase of 19.97% year-on-year [1] - Total operating expenses (selling, administrative, and financial) amounted to 39.65 million yuan, accounting for 9.52% of revenue, an increase of 30.89% year-on-year [1] - Earnings per share were -0.10 yuan, an increase of 40.67% year-on-year [1] Revenue and Cost Analysis - The decline in revenue of 26.25% was attributed to a decrease in sales of water treatment agents and their derivatives [3] - Operating costs also decreased by 26.02%, correlating with the drop in sales volume [4] Cash Flow and Financial Health - The net cash flow from operating activities decreased by 180.07%, primarily due to reduced sales revenue [4] - The net increase in cash and cash equivalents dropped by 3182.43%, reflecting lower cash inflows from sales [4] - The company's cash assets are considered healthy, with a cash to current liabilities ratio of 77.39% [5]