C&S Paper Co Ltd

C&S Paper Co Ltd maintains a conservative capital structure with a debt-to-equity ratio of 0.20 and a current ratio of 1.58, indicating adequate short-term liquidity coverage. The company holds total assets of 8.96 billion CNY against total liabilities of 3.50 billion CNY, resulting in total equity of 5.46 billion CNY. Long-term debt stands at 1.10 billion CNY. Despite the healthy current ratio, the risk assessment flags medium liquidity risk and notes that net cash is negative after subtracting total debt, suggesting reliance on operating cash flows to service obligations. Operating cash flow is robust at 1.34 billion CNY, significantly exceeding free cash flow of 359 million CNY due to capital expenditures of 286 million CNY.

Profitability metrics indicate modest returns on capital, with a return on equity (ROE) of 5.83% and a return on assets (ROA) of 3.56%. The company generated net income of 319 million CNY on revenue of 8.78 billion CNY, yielding a net margin of approximately 3.6%. Gross profit was 2.98 billion CNY, implying a gross margin of roughly 34%, while operating income was 433 million CNY. Without cohort median data for direct comparison, these returns appear typical for a mature, asset-heavy consumer staples manufacturer, though the low ROE suggests limited leverage of equity to drive earnings growth.