Dianguang Explosion-proof Technology Co Ltd

Dianguang Explosion-proof Technology Co Ltd maintains a conservative capital structure with a debt-to-equity ratio of 0.38 and a current ratio of 1.55, indicating adequate short-term liquidity coverage. However, the company holds significant long-term debt of 610,816,850 CNY against total equity of 1,627,909,070 CNY, resulting in a negative net cash position after subtracting total debt from cash reserves. The balance sheet shows total assets of 2,987,511,470 CNY and total liabilities of 1,359,602,390 CNY, reflecting a stable but leveraged financial base.

Profitability metrics reveal thin margins relative to the market valuation. The company reports a return on equity of 4.2% and a return on assets of 2.29%, which are modest returns given the high valuation multiples. Operating income stands at 83,127,870 CNY on revenue of 1,169,158,780 CNY, yielding an operating margin of approximately 7.1%, while net income is 67,073,740 CNY. The gross profit of 438,393,730 CNY suggests a gross margin of roughly 37.5%, indicating that while top-line generation is robust, operating expenses significantly compress bottom-line results.

Revenue grew 5.2% year-over-year, demonstrating top-line expansion despite broader economic headwinds.

Net income surged 33.9% year-over-year, indicating significant improvement in bottom-line profitability.

Operating margin of 7.8% exceeds the cohort median of 7.5%, showing superior operational efficiency.

Net margin of 6.0% outperforms the cohort median of 5.3%, reflecting strong cost control.

Debt-to-equity ratio of 0.38 is below the cohort median of 0.4, suggesting a conservative leverage profile.

The company faces high credit risk, potentially impacting its ability to service existing debt obligations.

Return on equity of 4.2% lags the cohort median of 7.9%, indicating inefficient capital utilization.

Cash conversion ratio of 0.84 is below the cohort median of 1.2, highlighting poor cash flow quality.

Revenue ¥247.5M, −9,3% YoY; Operating income +22,4% YoY.

• ▍Revenue ¥247.5M, −9,3% YoY
• ▍Operating income +22,4% YoY
• ▍Net income +5,9% YoY
• ▍Net margin 8.8%

Revenue ¥320.2M, −13,6% YoY; Operating income −82,1% YoY.

• ▍Revenue ¥320.2M, −13,6% YoY
• ▍Operating income −82,1% YoY
• ▍Net income −103,7% YoY
• ▍Net margin -0.3%

Revenue ¥286.1M, +9,4% YoY; Operating income +1,9% YoY.

• ▍Revenue ¥286.1M, +9,4% YoY
• ▍Operating income +1,9% YoY
• ▍Net income +11,5% YoY
• ▍Net margin 7.4%

Revenue ¥289.9M, −4,9% YoY; Operating income +10,4% YoY.

• ▍Revenue ¥289.9M, −4,9% YoY
• ▍Operating income +10,4% YoY
• ▍Net income +1,6% YoY
• ▍Net margin 9.1%

Revenue ¥370.6M; Operating income ¥40.2M.

• ▍Revenue ¥370.6M
• ▍Operating income ¥40.2M
• ▍Net margin 7.3%

Revenue ¥261.5M; Operating income ¥21.4M.

• ▍Revenue ¥261.5M
• ▍Operating income ¥21.4M
• ▍Net margin 7.2%

Revenue ¥1.17B, −1,7% YoY; Operating income −27,9% YoY.

• ▍Revenue ¥1.17B, −1,7% YoY
• ▍Operating income −27,9% YoY
• ▍Net income −29,0% YoY
• ▍Free cash flow +101,7% YoY
• ▍Net margin 5.7%

Revenue ¥1.19B, −13,4% YoY; Operating income −15,2% YoY.

• ▍Revenue ¥1.19B, −13,4% YoY
• ▍Operating income −15,2% YoY
• ▍Net income −21,1% YoY
• ▍Free cash flow −1 958,4% YoY
• ▍Net margin 7.9%

Revenue ¥1.37B, +11,7% YoY; Operating income +44,7% YoY.

• ▍Revenue ¥1.37B, +11,7% YoY
• ▍Operating income +44,7% YoY
• ▍Net income +33,1% YoY
• ▍Free cash flow +46,6% YoY
• ▍Net margin 8.7%

Revenue ¥919.2M; Operating income ¥90.4M.

• ▍Revenue ¥919.2M
• ▍Operating income ¥90.4M
• ▍Net margin 9.3%