Himile Mechanical Science and Technology Shandong Co Ltd

The company maintains a strong liquidity position, with a current ratio of 6.17, indicating a robust ability to meet short-term obligations. However, its net cash position is negative after subtracting total debt, signaling potential liquidity risk. The debt-to-equity ratio is low at 0.01, suggesting a conservative capital structure with minimal leverage. The company's return on equity (ROE) is 5.85%, and return on assets (ROA) is 5.04%, both of which are in line with industry norms for capital-intensive industrial machinery firms.

Profitability metrics show a gross profit margin of 33.46% and an operating margin of 27.17%, both of which are strong for the industrial machinery sector. The company's net income of 560.27 million CNY represents a healthy margin of 23.62% of total revenue. These figures suggest efficient cost management and pricing power in its core markets.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification increases exposure to regional economic fluctuations and regulatory changes. The absence of segment-specific revenue breakdowns limits visibility into the company's operational resilience.

Looking ahead, the company is expected to maintain a stable growth trajectory, with no significant revenue growth or decline projected in the next fiscal year. Capital expenditures are negative at -136.41 million CNY, indicating asset sales or reductions in capital spending. This could signal a strategic shift or a response to market conditions.

The company faces moderate liquidity risk due to its negative net cash position, despite a low debt-to-equity ratio. Dilution risk is assessed as low, with no near-term pressure from share issuance or convertible debt. However, the risk assessment notes that the company's liquidity could be strained if operating cash flows decline significantly.

Recent filings and transcripts do not indicate any material events or strategic shifts in the past quarter. Analysts have provided a mean price target of 90.58 CNY, with a median of 97.50 CNY, suggesting a generally positive outlook. The mean recommendation of 1.86 (on a 1-5 scale) indicates a consensus of "buy" or "strong buy" from analysts.

Shandong Himile Mechanical (002595.SZ) has been formally classified within the Industrials economic sector and the Industrial Goods activity category, marking a significant structural update to its corporate profile. This new taxonomy classification provides a clearer framework for understanding the company's operational focus, aligning it with peers in the broader industrial manufacturing landscape. Alongside this sectoral definition, the company’s risk assessment profile has been established with specific metrics. Dilution risk is now rated as low, indicating a stable capital structure with minimal threat of share value erosion from new issuances. This assessment offers investors greater confidence in the preservation of existing equity value. Conversely, liquidity risk has been assessed at a medium level. This designation suggests that while the company maintains operational viability, there may be moderate constraints or variability in its short-term cash flow management or access to liquid assets. Investors should monitor this metric to gauge the firm's ability to meet immediate financial obligations. These updates collectively enhance the transparency of Shandong Himile Mechanical’s financial and operational standing. By defining its sector and quantifying key risks such as dilution and liquidity, stakeholders now have a more robust basis for evaluating the company’s long-term stability and investment potential within the industrial goods market.

Revenue grew 25.7% year-over-year to CNY 11.1 billion in FY2026, demonstrating strong top-line expansion momentum.

Analysts project 53.6% upside to a mean price target of CNY 90.58, reflecting strong market confidence.

Net income CAGR of 22.8% over four years highlights consistent and robust earnings growth trajectory.

Debt-to-equity ratio of 0.01 is well below the 0.20 cohort median, signaling a conservative capital structure.

Cash conversion ratio of 0.61 trails the 0.95 industry median, suggesting weaker cash generation relative to peers.

Medium liquidity risk flags potential challenges in meeting short-term obligations or trading volume constraints.

Revenue ¥11.08B, +25,7% YoY; Operating income +19,3% YoY.

• ▍Revenue ¥11.08B, +25,7% YoY
• ▍Operating income +19,3% YoY
• ▍Net income +19,0% YoY
• ▍Free cash flow +30,7% YoY
• ▍Net margin 21.6%

Revenue ¥8.81B, +23,0% YoY; Operating income +24,4% YoY.

• ▍Revenue ¥8.81B, +23,0% YoY
• ▍Operating income +24,4% YoY
• ▍Net income +24,8% YoY
• ▍Free cash flow −11,1% YoY
• ▍Net margin 22.8%

Revenue ¥7.17B, +7,9% YoY; Operating income +36,4% YoY.

• ▍Revenue ¥7.17B, +7,9% YoY
• ▍Operating income +36,4% YoY
• ▍Net income +34,3% YoY
• ▍Free cash flow +59,9% YoY
• ▍Net margin 22.5%

Revenue ¥6.64B, +10,6% YoY; Operating income +13,2% YoY.

• ▍Revenue ¥6.64B, +10,6% YoY
• ▍Operating income +13,2% YoY
• ▍Net income +13,9% YoY
• ▍Free cash flow +3,0% YoY
• ▍Net margin 18.1%

Revenue ¥6.01B; Operating income ¥1.19B.

• ▍Revenue ¥6.01B
• ▍Operating income ¥1.19B
• ▍Net margin 17.5%