Guangxi Hechi Chemical Co Ltd

Guangxi Hechi Chemical Co Ltd has a debt-to-equity ratio of 2.08, indicating a capital structure that is heavily leveraged. The company's liquidity position is assessed as medium, with a current ratio of 0.62, suggesting that it may struggle to meet short-term obligations without additional financing. The negative operating cash flow of -3.12 million CNY and capital expenditure of -7.89 million CNY further highlight the company's liquidity constraints.

In terms of profitability, the company's return on equity is 5.43%, and return on assets is 1.34%. These figures are below the industry median for Agricultural Chemicals, indicating that the company is underperforming relative to its peers in terms of capital efficiency and asset utilization. The net income of 3.80 million CNY is modest, and the operating income of 4.87 million CNY suggests that the company is not generating strong margins.

The company'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 regulatory changes. The absence of segment-specific revenue data makes it difficult to assess the performance of different product lines or geographic regions.

The company's growth trajectory is uncertain, with the most recent actual revenue of 609.68 million CNY and a net loss per share of -0.43 CNY. The negative earnings per share indicate that the company is not currently profitable on a per-share basis. The lack of disclosed revenue growth rates or future guidance makes it challenging to project the company's future performance.

The company's risk profile includes a medium liquidity risk and a low dilution risk. The negative net cash position after subtracting total debt is a key flag, indicating that the company may need to raise additional capital to fund operations. The low dilution risk suggests that the company is not expected to issue a significant number of new shares in the near term.

Recent events include the disclosure of a negative operating cash flow and capital expenditure, which may signal financial stress. The company's financial statements also show a high level of long-term debt, which could become a burden if interest rates rise or if the company's revenue does not grow. The absence of recent filings or transcripts limits the ability to assess the company's strategic direction and management's response to financial challenges.

Guangxi Chisage Fine Chemi has been formally classified within the Agricultural Chemicals activity and the Basic Materials economic sector, marking a significant structural update to its corporate profile. This taxonomy shift provides a clearer framework for understanding the company's operational focus, anchoring its business identity in the production of essential chemical inputs for agriculture. Alongside this sectoral definition, the company’s risk assessment has been initialized with specific metrics. Dilution risk is now rated as low, suggesting that the current capital structure presents minimal threat of share value erosion through new issuance. This stability in equity structure is a positive indicator for existing shareholders, implying that management is not aggressively diluting ownership to fund operations or acquisitions. Conversely, liquidity risk has been assessed at a medium level. This rating highlights a moderate concern regarding the company's ability to meet short-term financial obligations without significant cost or delay. While not critical, this medium risk level warrants attention from investors monitoring the firm's cash flow management and working capital efficiency within the Basic Materials sector. The combination of a low dilution risk and a medium liquidity risk, set against the backdrop of its Agricultural Chemicals classification, offers a nuanced view of Guangxi Chisage Fine Chemi's current standing. The absence of analyst coverage or index membership further underscores the need for investors to rely on these fundamental risk and taxonomy signals to gauge the company's financial health and sector positioning.

The company generated positive free cash flow of 17.9 million CNY in 2009, indicating improved operational cash generation.

Return on equity of 5.4% outperforms the cohort median of 5.2%, demonstrating efficient use of shareholder capital.

Long-term debt decreased significantly to 46.5 million CNY in 2009, reducing leverage compared to previous years.

Dilution risk is assessed as low, providing some protection to existing shareholders against equity value erosion.

The company carries a high credit risk flag, indicating significant potential for default or financial distress.

Debt-to-equity ratio of 2.08 is in the bottom quartile of the cohort, reflecting excessive leverage compared to peers.

Cash conversion of -0.82 ranks in the bottom quartile of the cohort, indicating poor cash generation efficiency.

Revenue ¥50.2M, +12,1% YoY; Operating income −131,2% YoY.

• ▍Revenue ¥50.2M, +12,1% YoY
• ▍Operating income −131,2% YoY
• ▍Net income −3 813,6% YoY
• ▍Net margin -2.8%

Revenue ¥37.2M, −8,8% YoY; Operating income +6,2% YoY.

• ▍Revenue ¥37.2M, −8,8% YoY
• ▍Operating income +6,2% YoY
• ▍Net income −30,0% YoY
• ▍Net margin 2.6%

Revenue ¥40.0M, −39,8% YoY; Operating income −41,5% YoY.

• ▍Revenue ¥40.0M, −39,8% YoY
• ▍Operating income −41,5% YoY
• ▍Net income −34,8% YoY
• ▍Net margin 6.2%

Revenue ¥48.6M, +26,8% YoY; Operating income −95,1% YoY.

• ▍Revenue ¥48.6M, +26,8% YoY
• ▍Operating income −95,1% YoY
• ▍Net income −94,7% YoY
• ▍Net margin 8.4%

Revenue ¥40.8M; Operating income ¥1.5M.

• ▍Revenue ¥40.8M
• ▍Operating income ¥1.5M
• ▍Net margin 3.3%

Revenue ¥44.8M; Operating income ¥4.6M.

• ▍Revenue ¥44.8M
• ▍Operating income ¥4.6M
• ▍Net margin -0.1%

Revenue ¥66.4M; Operating income ¥4.9M.

• ▍Revenue ¥66.4M
• ▍Operating income ¥4.9M
• ▍Net margin 5.7%

Revenue ¥38.4M; Operating income ¥86.2M.

• ▍Revenue ¥38.4M
• ▍Operating income ¥86.2M
• ▍Net margin 199.8%

Revenue ¥179.7M, −15,1% YoY; Operating income −92,3% YoY.

• ▍Revenue ¥179.7M, −15,1% YoY
• ▍Operating income −92,3% YoY
• ▍Net income −91,8% YoY
• ▍Free cash flow −77,7% YoY
• ▍Net margin 3.6%

Revenue ¥211.5M, +12,8% YoY; Operating income +819,4% YoY.

• ▍Revenue ¥211.5M, +12,8% YoY
• ▍Operating income +819,4% YoY
• ▍Net income +785,6% YoY
• ▍Free cash flow +992,0% YoY
• ▍Net margin 37.5%

Revenue ¥187.5M, +16,7% YoY; Operating income +87,5% YoY.

• ▍Revenue ¥187.5M, +16,7% YoY
• ▍Operating income +87,5% YoY
• ▍Net income +88,5% YoY
• ▍Free cash flow +92,6% YoY
• ▍Net margin -6.2%

Revenue ¥160.6M, −1,0% YoY; Operating income −892,5% YoY.

• ▍Revenue ¥160.6M, −1,0% YoY
• ▍Operating income −892,5% YoY
• ▍Net income −1 102,5% YoY
• ▍Free cash flow −778,5% YoY
• ▍Net margin -62.5%