Tiandi Science & Technology Co Ltd

Tiandi Science & Technology Co Ltd maintains a conservative capital structure with a debt-to-equity ratio of 0.08 and a current ratio of 1.39, indicating adequate short-term liquidity coverage. The company holds total assets of CNY 59.86 billion against total liabilities of CNY 34.25 billion, resulting in total equity of CNY 25.61 billion. Despite positive free cash flow of CNY 2.82 billion, operating cash flow is negative at CNY -0.49 billion, a discrepancy noted in the risk assessment where net cash is negative after subtracting total debt. The market capitalization stands at CNY 20.11 billion, trading at a price-to-book ratio of 0.79, suggesting the market values the company below its book value.

Profitability metrics show a return on equity of 13.15% and a return on assets of 5.62%, reflecting efficient use of capital to generate net income of CNY 2.45 billion. The company achieved a gross profit of CNY 7.32 billion on revenue of CNY 29.24 billion, yielding a gross margin of approximately 25%. Operating income reached CNY 4.66 billion, demonstrating strong operational leverage before interest and taxes. The low valuation multiples, including a P/E of 5.98 and EV/EBITDA of 3.75, indicate that the market may be pricing in significant risks or limited growth expectations relative to current earnings power.

Net income CAGR of 12.8% over four years demonstrates strong historical earnings growth momentum for the company.

Debt-to-equity ratio of 0.08 is well below the cohort median of 0.4, signaling a conservative leverage profile.

Analysts maintain a strong buy recommendation, suggesting positive sentiment regarding the company's future prospects.

Cash conversion ratio of -0.15 ranks in the bottom quartile, indicating poor ability to convert earnings to cash.

Free cash flow decreased 4.8% year-over-year, reflecting a contraction in available cash generation.

Revenue growth slowed to 4.4% year-over-year, suggesting a deceleration in top-line expansion momentum.

Medium liquidity risk flag indicates potential challenges in meeting short-term financial obligations or market trading.

Revenue ¥29.24B, −4,2% YoY; Operating income +16,7% YoY.

• ▍Revenue ¥29.24B, −4,2% YoY
• ▍Operating income +16,7% YoY
• ▍Net income −6,7% YoY
• ▍Free cash flow +5,0% YoY
• ▍Net margin 8.4%

Revenue ¥29.93B, +9,2% YoY; Operating income +21,3% YoY.

• ▍Revenue ¥29.93B, +9,2% YoY
• ▍Operating income +21,3% YoY
• ▍Net income +20,8% YoY
• ▍Free cash flow +36,2% YoY
• ▍Net margin 7.9%

Revenue ¥27.42B, +16,3% YoY; Operating income +37,8% YoY.

• ▍Revenue ¥27.42B, +16,3% YoY
• ▍Operating income +37,8% YoY
• ▍Net income +20,5% YoY
• ▍Free cash flow +14,4% YoY
• ▍Net margin 7.1%

Revenue ¥23.57B; Operating income ¥2.28B.

• ▍Revenue ¥23.57B
• ▍Operating income ¥2.28B
• ▍Net margin 6.9%