Zheshang Securities Co Ltd

Zheshang Securities maintains a capital structure characterized by high leverage, with a debt-to-equity ratio of 2.5 and total liabilities of CNY 188.0 billion against total equity of CNY 36.8 billion. The firm holds CNY 50.3 million in cash and equivalents, which is negligible relative to its CNY 91.9 billion in long-term debt, resulting in a negative net cash position. Liquidity risk is assessed as medium, reflecting the tightness of its balance sheet despite a current market capitalization of CNY 44.0 billion.

Profitability metrics indicate modest returns, with a return on equity (ROE) of 6.56% and a return on assets (ROA) of 1.07%. The company reported net income of CNY 2.41 billion on revenue of CNY 9.06 billion, yielding a net margin of approximately 26.6%. Operating income stands at CNY 3.46 billion, suggesting significant operating leverage, though the high gross profit of CNY 8.84 billion indicates low direct cost of goods sold, typical for financial intermediaries.