Shenzhen Ecobeauty Co Ltd

The company's capital structure is highly leveraged, with a debt-to-equity ratio of 7.16, indicating a significant reliance on debt financing. Its liquidity position is weak, as evidenced by a current ratio of 0.78, suggesting that the company may struggle to meet short-term obligations without external financing. The price-to-book ratio of 12.89 is elevated, which may reflect market optimism or a lack of tangible asset backing for the equity value.

Profitability is severely underperforming, with a net loss of 74,292,560 CNY and a negative return on equity of -41.45%. The operating loss of 95,381,180 CNY is particularly concerning, as it indicates that the company is not generating sufficient revenue to cover its operating costs. The return on assets of -2.38% further underscores the inefficiency in asset utilization to generate profit.

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 downturns and regulatory changes. The absence of segment-specific revenue data limits the ability to assess the performance of individual business lines.

The company's growth trajectory is negative, with a reported revenue of 67,065,030 CNY, which is significantly lower than the analyst estimate of 345,410,350 CNY. This discrepancy suggests potential issues with revenue recognition or operational performance. The negative operating cash flow of 19,122,430 CNY indicates that the company is not generating sufficient cash from operations to sustain its activities.

The risk assessment highlights a medium liquidity risk and a low dilution risk. The company's net cash position is negative after subtracting total debt, which could necessitate further financing or asset sales to maintain operations. The low dilution risk is attributed to the absence of recent share issuance or convertible instruments.

Recent events include a significant operating loss and a negative net income, which may have impacted investor sentiment. The company's financial performance has not met analyst expectations, raising concerns about its operational efficiency and strategic direction.

Shenzhen Ecobeauty Co Ltd (000010.SZ) has undergone a significant update to its corporate taxonomy, now formally classified under the "Industrial & Commercial Services" activity within the broader "Industrials" economic sector. This reclassification represents a medium-severity change in the company's profile, shifting the understanding of its operational focus from an undefined state to a specific industrial service context. Alongside the sectoral redefinition, the company's risk assessment framework has been populated with new data points. The dilution risk is now assessed as "low," indicating a stable capital structure with minimal threat of share value erosion from new issuances. This assessment provides a clearer baseline for evaluating the company's equity stability. Conversely, the liquidity risk has been established at a "medium" level. This designation suggests that while the company maintains operational fluidity, there are moderate constraints or considerations regarding its ability to meet short-term obligations or trade volume expectations. This medium severity rating highlights an area of ongoing monitoring for investors. These updates collectively refine the investment thesis for Shenzhen Ecobeauty, moving it from a data-sparse entity to one with defined sectoral and risk characteristics. With only one analyst currently covering the stock and no reported top holders or index memberships, these foundational metrics are critical for establishing a baseline for future financial analysis and valuation.

Revenue surged 178% year-over-year to 842 million CNY, demonstrating significant top-line growth momentum in the latest fiscal period.

Net income improved 103.5% year-over-year, turning profitable with 17.6 million CNY, marking a sharp recovery from prior losses.

Free cash flow turned positive at 48.1 million CNY, reversing a severe negative trend and improving liquidity generation capabilities.

Operating income grew 108.9% year-over-year to 59 million CNY, indicating a substantial improvement in core operational profitability.

Capex to revenue ratio sits in the top quartile of peers, suggesting efficient capital deployment relative to industry standards.

High credit risk is flagged, compounded by a debt-to-equity ratio of 7.16, which is in the bottom quartile of peers.

Net margin of -1.11% and operating margin of -1.42% remain negative, lagging significantly behind positive industry medians.

Long-term debt stands at 1.28 billion CNY, creating substantial leverage pressure despite recent improvements in cash flow generation.

Cash conversion ratio of 0.26 is below the peer median of 0.66, indicating weaker efficiency in converting earnings to cash.

Revenue ¥105.6M, +12,9% YoY; Operating income +7 180,5% YoY.

• ▍Revenue ¥105.6M, +12,9% YoY
• ▍Operating income +7 180,5% YoY
• ▍Net income +567,1% YoY
• ▍Net margin 25.6%

Revenue ¥209.5M, −57,1% YoY; Operating income −75,1% YoY.

• ▍Revenue ¥209.5M, −57,1% YoY
• ▍Operating income −75,1% YoY
• ▍Net income −103,5% YoY
• ▍Net margin -1.3%

Revenue ¥194.5M, −16,8% YoY; Operating income −21,5% YoY.

• ▍Revenue ¥194.5M, −16,8% YoY
• ▍Operating income −21,5% YoY
• ▍Net income −57,6% YoY
• ▍Net margin 8.6%

Revenue ¥136.7M, +103,8% YoY; Operating income +44,6% YoY.

• ▍Revenue ¥136.7M, +103,8% YoY
• ▍Operating income +44,6% YoY
• ▍Net income +42,3% YoY
• ▍Net margin -31.4%

Revenue ¥634.2M, −24,7% YoY; Operating income −135,8% YoY.

• ▍Revenue ¥634.2M, −24,7% YoY
• ▍Operating income −135,8% YoY
• ▍Net income −296,1% YoY
• ▍Free cash flow −145,8% YoY
• ▍Net margin -5.4%