YTO Express Group Co Ltd

YTO Express Group Co Ltd maintains a capital structure with a debt-to-equity ratio of 0.16, indicating a relatively low reliance on debt financing. The company's liquidity position is assessed as medium, with a current ratio of 1.19, suggesting it has sufficient short-term assets to cover its short-term liabilities, but with limited excess. The price-to-book ratio of 2.18 and the price-to-tangible-book ratio of 2.18 indicate that the company's market value is trading at a premium to its book value.

In terms of profitability, YTO Express Group Co Ltd reports a return on equity (ROE) of 3.52% and a return on assets (ROA) of 2.39%, both of which are below the industry median for courier and logistics firms. The company's net income of CNY 1.04 billion and operating income of CNY 1.31 billion reflect a gross profit margin of 9.65%, which is in line with industry norms. However, the company's price-to-earnings (P/E) ratio of 61.97 is significantly higher than the industry median, suggesting that the market is pricing in higher future earnings expectations.

The company's revenue is primarily concentrated in its domestic operations, with no material international revenue disclosed in the latest financials. This concentration may expose the company to regulatory and economic risks specific to China, particularly in the logistics and transportation sector.

Looking ahead, the company's revenue is projected to grow at a modest pace, with analysts forecasting a mean price target of CNY 22.94 and a median price target of CNY 25.60. The company's capital expenditure of CNY -2.7 billion in the latest period suggests a reduction in investment, which may impact long-term growth. The company's operating cash flow of CNY 2.31 billion indicates a strong ability to generate cash from operations, which supports its liquidity position.

The risk assessment for YTO Express Group Co Ltd highlights a medium liquidity risk and a low dilution risk. The company's net cash position is negative after subtracting total debt, which could limit its flexibility in responding to market changes. The company's capital structure and liquidity position are further supported by a low debt-to-equity ratio and a strong equity base.

Recent events, including analyst estimates and price targets, suggest a generally positive outlook for the company, with a mean recommendation of 2.07 (1=strong buy, 5=strong sell). The company has received 3 strong-buy ratings, 8 buy ratings, and 2 hold ratings, indicating a consensus of cautious optimism among analysts.

Revenue grew 13.6% CAGR over four years, demonstrating strong top-line expansion momentum for the logistics provider.

Net income CAGR of 19.7% significantly outpaced revenue growth, indicating improving operational efficiency and profitability.

Operating margin of 7.7% exceeds the cohort median of 4.8%, highlighting superior cost management capabilities.

Analysts project 13.1% upside to a mean price target of 22.94, reflecting positive market sentiment.

Debt-to-equity ratio of 0.16 is well below the cohort median of 0.36, suggesting a conservative capital structure.

Return on equity of 3.5% trails the cohort median of 4.4%, suggesting suboptimal capital efficiency.

Long-term debt increased to 6.18 billion CNY in FY2025, reflecting rising leverage amidst negative cash flows.

Medium liquidity and credit risk flags indicate potential vulnerabilities in financial stability and debt servicing.

Revenue ¥21.12B, +7,4% YoY; Operating income +34,0% YoY.

• ▍Revenue ¥21.12B, +7,4% YoY
• ▍Operating income +34,0% YoY
• ▍Net income +33,6% YoY
• ▍Net margin 6.8%

Revenue ¥18.27B, +8,7% YoY; Operating income +37,8% YoY.

• ▍Revenue ¥18.27B, +8,7% YoY
• ▍Operating income +37,8% YoY
• ▍Net income +11,0% YoY
• ▍Net margin 5.7%

Revenue ¥18.82B, +9,8% YoY; Operating income −10,6% YoY.

• ▍Revenue ¥18.82B, +9,8% YoY
• ▍Operating income −10,6% YoY
• ▍Net income −6,8% YoY
• ▍Net margin 5.2%

Revenue ¥19.66B; Operating income ¥1.39B.

• ▍Revenue ¥19.66B
• ▍Operating income ¥1.39B
• ▍Net margin 5.5%

Revenue ¥17.06B; Operating income ¥1.06B.

• ▍Revenue ¥17.06B
• ▍Operating income ¥1.06B
• ▍Net margin 5.0%

Revenue ¥16.80B; Operating income ¥900.0M.

• ▍Revenue ¥16.80B
• ▍Operating income ¥900.0M
• ▍Net margin 5.6%

Revenue ¥17.14B; Operating income ¥1.31B.

• ▍Revenue ¥17.14B
• ▍Operating income ¥1.31B
• ▍Net margin 6.1%

Revenue ¥75.28B, +9,1% YoY; Operating income +11,0% YoY.

• ▍Revenue ¥75.28B, +9,1% YoY
• ▍Operating income +11,0% YoY
• ▍Net income +7,7% YoY
• ▍Free cash flow −76,0% YoY
• ▍Net margin 5.7%

Revenue ¥69.03B, +19,7% YoY; Operating income +0,3% YoY.

• ▍Revenue ¥69.03B, +19,7% YoY
• ▍Operating income +0,3% YoY
• ▍Net income +7,8% YoY
• ▍Free cash flow −2 103,0% YoY
• ▍Net margin 5.8%

Revenue ¥57.68B, +7,7% YoY; Operating income −6,2% YoY.

• ▍Revenue ¥57.68B, +7,7% YoY
• ▍Operating income −6,2% YoY
• ▍Net income −5,0% YoY
• ▍Free cash flow −84,6% YoY
• ▍Net margin 6.5%

Revenue ¥53.54B, +18,6% YoY; Operating income +78,9% YoY.

• ▍Revenue ¥53.54B, +18,6% YoY
• ▍Operating income +78,9% YoY
• ▍Net income +86,3% YoY
• ▍Free cash flow +125,0% YoY
• ▍Net margin 7.3%

Revenue ¥45.15B; Operating income ¥2.85B.

• ▍Revenue ¥45.15B
• ▍Operating income ¥2.85B
• ▍Net margin 4.7%