Nanjing COSMOS Chemical Co Ltd

Nanjing COSMOS Chemical Co Ltd maintains a conservative capital structure with a debt-to-equity ratio of 0.25 and a strong current ratio of 3.45, indicating ample short-term liquidity to meet obligations. The company holds total assets of 4.22 billion CNY against total liabilities of 1.44 billion CNY, resulting in total equity of 2.78 billion CNY. Despite positive operating cash flow of 287.6 million CNY, free cash flow is negative at -339.0 million CNY due to significant capital expenditures of 512.2 million CNY, suggesting active investment in capacity or efficiency improvements. The net cash position is negative after subtracting total debt, which includes 704.0 million CNY in long-term debt.

Profitability metrics show a return on equity of 14.04% and a return on assets of 9.26%, reflecting efficient use of capital. The company generated net income of 108.0 million CNY on revenue of 1.48 billion CNY, yielding a net margin of approximately 7.3%. Operating income stands at 117.9 million CNY, while gross profit is 436.5 million CNY, indicating a gross margin of roughly 29.4%. These returns are supported by a valuation multiple of 12.69x P/E and 1.78x P/B, which are moderate relative to typical chemical sector benchmarks.

Revenue concentration and segment details are not explicitly provided in the available data, limiting the ability to assess specific product or geographic exposure. The company’s total revenue of 1.48 billion CNY serves as the base for all profitability calculations. Without segment breakdowns, the analysis assumes a consolidated operational model where the reported financials represent the aggregate performance of all business lines.

Growth trajectory analysis is constrained by the absence of historical period data in the input. The current financial snapshot provides a single-period view, preventing year-over-year or quarter-over-quarter trend analysis. The significant capital expenditure of 512.2 million CNY, which exceeds operating cash flow, suggests the company is in an investment phase, potentially aiming for future revenue expansion or cost reduction.

Risk assessment indicates medium liquidity risk and low dilution risk. The key flag notes that net cash is negative after subtracting total debt, which warrants monitoring of debt service capabilities. The low dilution risk is supported by the fact that basic and diluted shares outstanding are identical at 475.7 million, indicating no significant options or convertible securities currently impacting share count. The medium liquidity risk may stem from the negative free cash flow position despite a strong current ratio.

Recent events include analyst coverage with a mean price target of 18.05 CNY, representing a significant upside from the current market price of 10.42 CNY. The mean recommendation is 1.50, with one strong buy and one buy rating, and no hold ratings, indicating bullish sentiment among covered analysts. The high price target is 20.00 CNY and the low is 16.10 CNY, showing a tight consensus range. No specific filing, news, or transcript observations are provided in the input data.

Operating and net margins significantly exceed cohort medians, indicating best-in-class profitability relative to peers.

Analysts assign a strong buy recommendation with a mean price target implying 30.8% upside.

Return on equity of 14.04% ranks above the cohort median of 7.87%, demonstrating efficient capital utilization.

The debt-to-equity ratio of 0.25 is below the cohort median of 0.40, suggesting a conservative leverage profile.

Return on invested capital of 14.19% indicates the company generates returns well above typical cost of capital thresholds.

Free cash flow turned negative to -425 million CNY in FY-1, raising concerns about liquidity generation.

Cash conversion ratio of 0.74 falls below the cohort median of 1.2, indicating weaker cash generation efficiency.

Revenue ¥1.48B, −34,8% YoY; Operating income −82,8% YoY.

• ▍Revenue ¥1.48B, −34,8% YoY
• ▍Operating income −82,8% YoY
• ▍Net income −80,8% YoY
• ▍Free cash flow +20,2% YoY
• ▍Net margin 7.3%

Revenue ¥2.28B, −5,2% YoY; Operating income −20,9% YoY.

• ▍Revenue ¥2.28B, −5,2% YoY
• ▍Operating income −20,9% YoY
• ▍Net income −23,3% YoY
• ▍Free cash flow −3 195,2% YoY
• ▍Net margin 24.7%

Revenue ¥2.40B, +36,0% YoY; Operating income +87,9% YoY.

• ▍Revenue ¥2.40B, +36,0% YoY
• ▍Operating income +87,9% YoY
• ▍Net income +89,0% YoY
• ▍Free cash flow −92,4% YoY
• ▍Net margin 30.6%

Revenue ¥1.76B, +61,9% YoY; Operating income +198,1% YoY.

• ▍Revenue ¥1.76B, +61,9% YoY
• ▍Operating income +198,1% YoY
• ▍Net income +192,1% YoY
• ▍Free cash flow +889,4% YoY
• ▍Net margin 22.0%

Revenue ¥1.09B; Operating income ¥155.0M.

• ▍Revenue ¥1.09B
• ▍Operating income ¥155.0M
• ▍Net margin 12.2%