Zhejiang Wanma Co Ltd

Zhejiang Wanma maintains a debt-to-equity ratio of 0.33, indicating a relatively conservative capital structure. However, the company's operating cash flow is negative at -351.21 million CNY, and its net cash position is negative after subtracting total debt, signaling potential liquidity constraints. The current ratio of 1.44 suggests the company has sufficient short-term assets to cover its short-term liabilities, but the low cash and equivalents balance of 35.26 million CNY may limit its ability to meet unexpected liquidity needs.

The company's profitability metrics are below average for the industry. Return on equity (ROE) is 2.5%, and return on assets (ROA) is 0.96%, both of which are weak indicators of capital efficiency and asset utilization. These figures suggest that Zhejiang Wanma is underperforming relative to industry norms in generating returns for shareholders and leveraging its asset base.

Zhejiang Wanma's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification increases the company's exposure to regional economic fluctuations and sector-specific risks. The absence of segment or geographic breakdown in the financial data limits the ability to assess the resilience of different parts of the business.

Looking ahead, the company's growth trajectory appears modest. Analysts have assigned a mean price target of 20.00 CNY, with a mean recommendation of 2.00 (indicating a "Buy" rating). However, the absence of strong buy ratings and the low number of buy recommendations suggest limited analyst enthusiasm for near-term growth. Historical revenue data does not show a clear upward trend, and the company's capital expenditure of -211.25 million CNY indicates a reduction in investment in long-term growth projects.

The risk assessment highlights liquidity as a medium concern, with the company's negative operating cash flow and low cash reserves contributing to this rating. While dilution risk is currently low, the company's capital structure and financing activities should be monitored for any changes that could increase dilution potential. No recent filings or transcripts indicate significant corporate events or strategic shifts.

Zhejiang Wanma has not disclosed any recent major events, such as mergers, acquisitions, or regulatory actions, that would significantly impact its operations or financial position. The absence of recent corporate activity suggests a stable but potentially stagnant business environment.

Zhejiang Wanma Co Ltd (002276.SZ) has been formally classified within the Industrials economic sector, specifically under the Industrial Goods activity. This taxonomic update provides a clearer framework for understanding the company's operational focus, aligning its profile with peers in the industrial manufacturing space. Alongside this classification, the company’s risk assessment has been updated to reflect specific financial characteristics. Dilution risk is now categorized as low, suggesting a stable capital structure with minimal threat of share value erosion from new issuances. Conversely, liquidity risk has been assessed at a medium level. This indicates that while the company maintains operational stability, investors should monitor its ability to meet short-term obligations, a standard consideration for firms in the industrial goods sector. These updates establish a baseline for future analysis, as the company currently has no reported analyst coverage, index memberships, or disclosed top holders. The defined sector and risk metrics offer a foundational view for stakeholders evaluating Zhejiang Wanma’s position in the market.

Revenue grew 10.8% CAGR over four years, reaching 19.2 billion CNY in FY2026, demonstrating consistent top-line expansion.

Free cash flow surged 195.8% year-over-year to 266.7 million CNY in FY2026, indicating significantly improved cash generation.

Operating income increased 12.6% year-over-year to 420.5 million CNY in FY2026, showing stronger core operational profitability.

Analysts project 49.4% upside to a consensus price target of 20.0 CNY, reflecting positive market sentiment.

Long-term debt decreased to 1.75 billion CNY in FY2026 from 2.06 billion CNY in FY2023, suggesting deleveraging efforts.

The company faces high credit risk and medium liquidity risk, posing potential financial stability concerns.

Cash conversion ratio of -2.52 places the company in the bottom quartile of its peer cohort.

Revenue ¥19.24B, +8,3% YoY; Operating income +12,6% YoY.

• ▍Revenue ¥19.24B, +8,3% YoY
• ▍Operating income +12,6% YoY
• ▍Net income +1,7% YoY
• ▍Free cash flow +195,8% YoY
• ▍Net margin 1.8%

Revenue ¥17.76B, +17,5% YoY; Operating income −37,8% YoY.

• ▍Revenue ¥17.76B, +17,5% YoY
• ▍Operating income −37,8% YoY
• ▍Net income −38,6% YoY
• ▍Free cash flow −44,6% YoY
• ▍Net margin 1.9%

Revenue ¥15.12B, +3,0% YoY; Operating income +34,5% YoY.

• ▍Revenue ¥15.12B, +3,0% YoY
• ▍Operating income +34,5% YoY
• ▍Net income +35,2% YoY
• ▍Free cash flow −26,5% YoY
• ▍Net margin 3.7%

Revenue ¥14.67B, +14,9% YoY; Operating income +56,7% YoY.

• ▍Revenue ¥14.67B, +14,9% YoY
• ▍Operating income +56,7% YoY
• ▍Net income +51,4% YoY
• ▍Free cash flow +401,7% YoY
• ▍Net margin 2.8%

Revenue ¥12.77B; Operating income ¥284.8M.

• ▍Revenue ¥12.77B
• ▍Operating income ¥284.8M
• ▍Net margin 2.1%