SDIC Capital Co Ltd

SDIC Capital maintains a capital structure characterized by high leverage, with a debt-to-equity ratio of 2.27 and long-term debt of 128.7 billion CNY against total equity of 56.7 billion CNY. The firm holds 155.2 million CNY in cash and equivalents, resulting in a negative net cash position after subtracting total debt. Liquidity is assessed as medium, supported by a current ratio of 1.25, indicating adequate short-term coverage of liabilities. Operating cash flow stands at 14.9 billion CNY, while free cash flow is 1.3 billion CNY, reflecting significant capital expenditure of 441.6 million CNY.

Profitability metrics indicate modest returns, with a return on equity (ROE) of 5.33% and a return on assets (ROA) of 0.92%. The company reports a net income of 3.28 billion CNY on revenue of 15.49 billion CNY, yielding a net margin of approximately 21.2%. Gross profit is 10.9 billion CNY, and operating income is 4.68 billion CNY, demonstrating a clear operating leverage. Without cohort median data for direct comparison, these returns must be evaluated against general financial sector benchmarks, where ROE of 5.33% suggests conservative capital efficiency relative to high-growth peers.

Segment and geographic revenue breakdowns are not provided in the available data, preventing analysis of revenue concentration or regional exposure. The company’s revenue mix is therefore opaque, limiting the ability to assess diversification risks or specific market dependencies.

Growth trajectory analysis is constrained by the absence of historical period data in the input. The latest actual revenue reported by analysts is 13.54 billion CNY, which differs from the financial snapshot revenue of 15.49 billion CNY, potentially indicating different reporting periods or adjustments. Without multi-year trend data, the direction and sustainability of revenue growth cannot be quantified.

Risk assessment highlights medium liquidity risk and low dilution risk. A key flag notes that net cash is negative after subtracting total debt, emphasizing the company’s reliance on debt financing. The dilution risk is low, with basic and diluted shares outstanding identical at 6.39 billion shares, indicating no significant options or convertible securities impacting share count.

Recent observations include analyst estimates for actual EPS of 0.49 CNY and actual revenue of 13.54 billion CNY. No specific filing, news, or transcript events are detailed in the input data, limiting the context for recent corporate actions or market sentiment shifts.

Free cash flow surged 498.2% year-over-year to CNY 1.3 billion, demonstrating a dramatic improvement in cash generation.

Net income grew 21.7% year-over-year to CNY 3.28 billion, reversing previous declines and showing strong earnings momentum.

Cash conversion ratio of 4.92 is best-in-class compared to the cohort median of 1.2, highlighting efficient cash management.

Analyst consensus implies 22.5% upside to a target price of CNY 8.00, suggesting undervaluation relative to current market price.

Debt-to-equity ratio of 2.27 is in the bottom quartile versus the cohort median of 0.35, signaling excessive leverage risk.

High credit risk flag indicates significant potential for loan losses or counterparty defaults impacting future financial stability.

Return on equity of 5.33% trails the cohort median of 8.1%, indicating inefficient use of shareholder capital.

Long-term debt increased to CNY 128.7 billion in FY2026, rising steadily from CNY 100.8 billion in FY2022.

Revenue ¥15.49B, −13,1% YoY; Operating income +15,5% YoY.

• ▍Revenue ¥15.49B, −13,1% YoY
• ▍Operating income +15,5% YoY
• ▍Net income +21,7% YoY
• ▍Free cash flow +498,2% YoY
• ▍Net margin 21.2%

Revenue ¥17.81B, −7,2% YoY; Operating income +14,0% YoY.

• ▍Revenue ¥17.81B, −7,2% YoY
• ▍Operating income +14,0% YoY
• ▍Net income +14,3% YoY
• ▍Free cash flow +831,1% YoY
• ▍Net margin 15.1%

Revenue ¥19.20B, +6,9% YoY; Operating income −12,8% YoY.

• ▍Revenue ¥19.20B, +6,9% YoY
• ▍Operating income −12,8% YoY
• ▍Net income −19,9% YoY
• ▍Free cash flow +107,8% YoY
• ▍Net margin 12.3%

Revenue ¥17.97B, −9,8% YoY; Operating income −39,6% YoY.

• ▍Revenue ¥17.97B, −9,8% YoY
• ▍Operating income −39,6% YoY
• ▍Net income −38,6% YoY
• ▍Free cash flow −115,9% YoY
• ▍Net margin 16.4%

Revenue ¥19.91B; Operating income ¥6.75B.

• ▍Revenue ¥19.91B
• ▍Operating income ¥6.75B
• ▍Net margin 24.1%