Andon Health Co Ltd

Andon Health maintains a strong liquidity position with a current ratio of 2.65, indicating the company can cover its short-term obligations more than two times over. However, the company reported negative operating cash flow of CNY -166.8 million in the latest period, which contrasts with its positive free cash flow of CNY 1.89 billion, suggesting capital expenditures were significantly lower than operating cash outflows. The debt-to-equity ratio of 0.26 reflects a conservative capital structure, with long-term debt of CNY 5.68 billion compared to total equity of CNY 21.83 billion. Profitability metrics show a return on equity (ROE) of 10.38% and a return on assets (ROA) of 7.73%, both exceeding the industry median for medical equipment and supplies firms. The company’s net income of CNY 2.27 billion on revenue of CNY 1.37 billion indicates a net margin of 16.65%, which is robust compared to peers. Gross profit of CNY 842.2 million on revenue of CNY 1.37 billion implies a gross margin of 61.67%, suggesting efficient cost management in production and sourcing. Geographic and segment exposure is not explicitly detailed in the latest financials, but the company operates primarily in China, with a focus on domestic medical equipment and supply distribution. Revenue concentration data is not available in the provided dataset, but the absence of disclosed international operations suggests a high degree of domestic exposure. The company’s growth trajectory appears stable, with a net income of CNY 2.27 billion and free cash flow of CNY 1.89 billion in the latest period. While no forward-looking revenue guidance is provided, the capital expenditure of CNY -264.3 million indicates a focus on maintaining rather than expanding physical infrastructure. Risk factors include a medium liquidity risk due to negative net cash after subtracting total debt, as well as a low dilution risk based on the absence of share buybacks or new issuance in the latest period. The company’s ESG score of 23.71 and a D+ grade suggest significant room for improvement in environmental and social governance practices. Recent events include the publication of the latest financial results, which highlight strong profitability and liquidity despite negative operating cash flow. No material regulatory or legal events were disclosed in the provided data, but the company’s ESG controversies score of 100 indicates no recent major controversies.