Guangzhou Kdt Machinery Group Co Ltd

Guangzhou Kdt Machinery Group Co Ltd maintains a conservative capital structure with a debt-to-equity ratio of 0.28 and a current ratio of 1.58, indicating adequate short-term liquidity coverage. The company holds total assets of 4.30 billion CNY against total liabilities of 1.40 billion CNY, resulting in total equity of 2.90 billion CNY. Long-term debt stands at 807.23 million CNY, while cash and equivalents are reported at 409,940 CNY, leading to a negative net cash position after subtracting total debt. Operating cash flow is robust at 621.80 million CNY, significantly exceeding free cash flow of 124.71 million CNY due to capital expenditures of 108.36 million CNY.

Profitability metrics demonstrate strong operational efficiency, with a return on equity of 17.52% and a return on assets of 11.81%. The company generated net income of 430.58 million CNY on revenue of 2.43 billion CNY, yielding an operating income of 498.37 million CNY. Gross profit stands at 775.60 million CNY, reflecting a gross margin of approximately 31.9%. The valuation snapshot indicates a price-to-earnings ratio of 15.77 and an EV/EBITDA of 15.16, suggesting the market prices the company at a moderate multiple relative to its earnings power.

Revenue concentration and segment details are not explicitly provided in the available data, limiting the ability to assess specific product or geographic exposure. The company’s total revenue of 2.43 billion CNY serves as the primary aggregate metric for scale. Without segment breakdowns, the analysis relies on the consolidated financial performance to infer business stability and market position within the industrial machinery sector.

Growth trajectory analysis is constrained by the absence of historical period data in the input. The current financial snapshot provides a single-period view of performance, with no year-over-year or quarter-over-quarter trends available to evaluate revenue or net income momentum. Consequently, the assessment of growth relies solely on the current period’s absolute figures and valuation multiples rather than historical progression.

Risk assessment identifies medium liquidity risk and low dilution risk. A key flag notes that net cash is negative after subtracting total debt, highlighting a reliance on operating cash flow to service obligations. The low dilution risk is supported by the equality of basic and diluted shares outstanding at 428.45 million, indicating no significant convertible securities or options currently impacting share count. The medium liquidity rating warrants monitoring of cash flow generation relative to debt maturity schedules.

Recent observations from investor relations data show strong analyst sentiment, with a mean recommendation of 1.00 (strong buy) and a mean price target of 29.00 CNY. The high, low, and median price targets are all aligned at 29.00 CNY, with two strong-buy ratings and no hold or sell recommendations recorded. This uniformity in analyst estimates suggests a consensus view on the company’s valuation potential, although the narrow range of targets may reflect limited analyst coverage or recent data updates.

Analysts assign a strong buy rating with a target price of 29.0, implying 34.2% upside from the current market price.

Free cash flow surged 238.3% year-over-year to 124.7 million CNY in FY2026, demonstrating significant improvement in cash generation.

Cash conversion ratio of 1.22 is above the cohort median of 0.95, indicating efficient translation of earnings into cash.

Long-term debt increased to 807.2 million CNY in FY2026, rising steadily from 629.3 million CNY in FY2022.

The company faces a medium liquidity risk flag, suggesting potential challenges in meeting short-term financial obligations.

Four-year revenue CAGR is a negligible 0.6%, indicating a lack of meaningful long-term top-line expansion.

Revenue ¥2.43B, −9,8% YoY; Operating income −16,0% YoY.

• ▍Revenue ¥2.43B, −9,8% YoY
• ▍Operating income −16,0% YoY
• ▍Net income −16,8% YoY
• ▍Free cash flow +238,3% YoY
• ▍Net margin 17.7%

Revenue ¥2.69B, +0,4% YoY; Operating income −13,4% YoY.

• ▍Revenue ¥2.69B, +0,4% YoY
• ▍Operating income −13,4% YoY
• ▍Net income −12,3% YoY
• ▍Free cash flow +69,8% YoY
• ▍Net margin 19.2%

Revenue ¥2.68B, +26,1% YoY; Operating income +24,2% YoY.

• ▍Revenue ¥2.68B, +26,1% YoY
• ▍Operating income +24,2% YoY
• ▍Net income +29,8% YoY
• ▍Free cash flow −731,7% YoY
• ▍Net margin 22.0%

Revenue ¥2.13B, −10,3% YoY; Operating income −9,7% YoY.

• ▍Revenue ¥2.13B, −10,3% YoY
• ▍Operating income −9,7% YoY
• ▍Net income −12,6% YoY
• ▍Free cash flow +870,1% YoY
• ▍Net margin 21.4%

Revenue ¥2.37B; Operating income ¥610.8M.

• ▍Revenue ¥2.37B
• ▍Operating income ¥610.8M
• ▍Net margin 21.9%