Ningbo Fuda Co Ltd

Ningbo Fuda Co Ltd maintains a conservative capital structure with a debt-to-equity ratio of 0.14, indicating low leverage relative to its equity base of 2,867,306,230 CNY. The company holds total assets of 4,051,902,610 CNY against total liabilities of 1,184,596,380 CNY, resulting in a current ratio of 1.56, which suggests adequate short-term liquidity to meet immediate obligations. However, the risk assessment flags medium liquidity risk and notes that net cash is negative after subtracting total debt, highlighting a reliance on operating cash flows to service long-term debt of 412,061,360 CNY. Free cash flow stands at -67,629,240 CNY, driven by capital expenditures of 67,626,470 CNY exceeding the surplus from operating cash flow of 367,436,880 CNY, suggesting ongoing investment in capacity or maintenance.

Profitability metrics indicate modest returns, with a return on equity (ROE) of 6.39% and a return on assets (ROA) of 4.53%. The company generated a net income of 183,357,920 CNY on revenues of 1,477,389,510 CNY, yielding a net margin of approximately 12.4%. Operating income was 209,860,070 CNY, reflecting an operating margin of roughly 14.2%. While the gross profit of 425,481,540 CNY demonstrates a gross margin of about 28.8%, the valuation multiples suggest the market prices in higher growth expectations or stability, with a price-to-earnings ratio of 43.19 and an EV/EBITDA of 39.70. The price-to-book ratio of 2.76 aligns with the tangible book value multiple, indicating no significant intangible asset premium.

Segment and geographic revenue mix data is not provided in the available structured analysis state, preventing a detailed assessment of revenue concentration risks or regional exposure. The company’s activity is broadly classified under Oil & Gas, but specific product lines or customer concentrations are not disclosed in the input data. Consequently, the analysis relies on aggregate financial performance rather than segment-specific trends.

Growth trajectory analysis is limited by the absence of historical period data in the input. The latest normalized period shows revenue of 1,477,389,510 CNY. However, an IR observation notes a last actual revenue value of 4,157,209,650 CNY from analyst estimates, which may reflect a different reporting period or annualized figure, creating a discrepancy that requires further clarification. Without multi-year historical data, year-over-year growth rates cannot be calculated, limiting the ability to assess momentum or cyclicality.

Risk factors include medium liquidity risk and low dilution risk. The key flag regarding negative net cash after debt subtraction underscores the importance of maintaining strong operating cash flows. The dilution risk is assessed as low, with basic and diluted shares outstanding both at 1,445,241,071, indicating no current options or convertible securities impacting share count. The company’s low debt-to-equity ratio mitigates credit risk, but the negative free cash flow poses a potential constraint on future flexibility if operating performance declines.

Recent events are sparse in the provided data. The IR observations highlight a discrepancy between the financial snapshot revenue and the analyst estimate for last actual revenue, which may indicate a timing difference in reporting or a significant variance in performance. No specific filing, news, or transcript observations are present to provide additional context on recent corporate actions or market sentiment.

Return on equity of 6.4% outperforms the 5.0% cohort median, indicating above-average capital efficiency for shareholders.

Debt-to-equity ratio of 0.14 is well below the 0.36 cohort median, reflecting a conservative and low-leverage capital structure.

Cash conversion ratio of 2.0 exceeds the 1.05 cohort median, suggesting strong ability to convert earnings into cash.

Net income declined at a 9.3% annual rate over four years, indicating a persistent long-term trend of shrinking profitability.

Revenue fell to 1.48 billion CNY in 2018, continuing a downward trajectory from 2.34 billion CNY in 2014.

Capex intensity of -4.6% is below the -1.8% cohort median, potentially indicating underinvestment in future growth drivers.

The company faces medium liquidity risk, which could constrain operational flexibility or increase financing costs in tight markets.

Revenue ¥299.2M; Operating income ¥75.4M.

• ▍Revenue ¥299.2M
• ▍Operating income ¥75.4M
• ▍Net margin 20.1%

Revenue ¥377.2M, −17,7% YoY; Operating income −94,9% YoY.

• ▍Revenue ¥377.2M, −17,7% YoY
• ▍Operating income −94,9% YoY
• ▍Net income −71,2% YoY
• ▍Net margin 3.8%

Revenue ¥356.7M, +4,4% YoY; Operating income +30,6% YoY.

• ▍Revenue ¥356.7M, +4,4% YoY
• ▍Operating income +30,6% YoY
• ▍Net income +26,5% YoY
• ▍Net margin 14.9%

Revenue ¥1.48B, −13,1% YoY; Operating income −23,3% YoY.

• ▍Revenue ¥1.48B, −13,1% YoY
• ▍Operating income −23,3% YoY
• ▍Net income −12,6% YoY
• ▍Free cash flow −1 378,1% YoY
• ▍Net margin 12.4%

Revenue ¥1.70B, −46,3% YoY; Operating income −0,8% YoY.

• ▍Revenue ¥1.70B, −46,3% YoY
• ▍Operating income −0,8% YoY
• ▍Net income −8,8% YoY
• ▍Free cash flow +117,7% YoY
• ▍Net margin 12.3%

Revenue ¥2.34B; Operating income ¥609.0M.

• ▍Revenue ¥2.34B
• ▍Operating income ¥609.0M
• ▍Net margin 15.4%