Zhaojin Mining Industry Co Ltd

Zhaojin Mining maintains a capital structure characterized by significant leverage, with long-term debt of CNY 18.77 billion against total equity of CNY 24.70 billion, resulting in a debt-to-equity ratio of 0.76. The balance sheet shows total assets of CNY 57.28 billion and total liabilities of CNY 32.59 billion. Liquidity is assessed as medium, supported by a current ratio of 1.14. Operating cash flow stands at CNY 6.44 billion, while free cash flow is CNY 2.54 billion after capital expenditures of CNY 2.96 billion. The company holds negative net cash after subtracting total debt, indicating reliance on debt financing for operations and growth.

Profitability metrics show a return on equity (ROE) of 14.63% and a return on assets (ROA) of 6.31%. The company generated net income of CNY 3.61 billion on revenue of CNY 18.06 billion, yielding a net margin of approximately 20%. Gross profit was CNY 7.57 billion, and operating income was CNY 6.05 billion. These returns reflect the company's ability to generate profit from its asset base, though specific comparisons to cohort medians are not provided in the input data.

Revenue concentration and segment details are not explicitly broken down in the provided financial snapshot, but the company's primary activity is identified as Metals & Mining. Geographic exposure and specific segment revenue mixes are absent from the current data set, limiting detailed analysis of diversification risks. The company's operations are centered on mineral resources, with no additional segment disclosures available.

Growth trajectory analysis is constrained by the absence of historical period data in the input. The latest normalized period shows revenue of CNY 18.06 billion and net income of CNY 3.61 billion. Without multi-year historical data, year-over-year growth rates and trend analysis cannot be computed. The current valuation multiples include a P/E of 18.65, P/B of 2.73, and EV/EBITDA of 14.24.

Risk assessment indicates medium liquidity risk and low dilution risk. A key flag notes that net cash is negative after subtracting total debt, highlighting leverage exposure. The current ratio of 1.14 suggests adequate short-term liquidity but limited buffer. Dilution risk is low, with basic and diluted shares outstanding both at 3.54 billion, indicating no significant convertible securities or options impacting share count.

Recent observations include analyst estimates with a mean price target of CNY 38.61 and a median of CNY 38.85, compared to the current market price of CNY 19.03. The mean recommendation is 1.64, with 4 strong buys and 7 buys, and no holds. This suggests strong analyst confidence in the company's future performance. No specific filing, news, or transcript observations are provided in the input data.

Net income surged 149.1% year-over-year to CNY 3.6 billion in FY2026, demonstrating exceptional earnings acceleration.

Analysts project 74.9% upside to a mean price target of CNY 38.61, reflecting strong market confidence.

Free cash flow turned positive at CNY 2.5 billion in FY2026, a 211.2% increase from the prior year.

Debt-to-equity ratio of 0.76 places the company in the bottom quartile of its peer cohort.

Long-term debt increased to CNY 18.8 billion in FY2026, maintaining a high absolute leverage burden.

The company faces medium liquidity risk, which could constrain operational flexibility during market stress.

Medium credit risk flags suggest potential challenges in maintaining favorable borrowing costs or access to capital.

Revenue ¥18.06B, +56,3% YoY; Operating income +119,0% YoY.

• ▍Revenue ¥18.06B, +56,3% YoY
• ▍Operating income +119,0% YoY
• ▍Net income +149,1% YoY
• ▍Free cash flow +211,2% YoY
• ▍Net margin 20.0%

Revenue ¥11.55B, +37,1% YoY; Operating income +59,4% YoY.

• ▍Revenue ¥11.55B, +37,1% YoY
• ▍Operating income +59,4% YoY
• ▍Net income +111,3% YoY
• ▍Free cash flow +373,7% YoY
• ▍Net margin 12.6%

Revenue ¥8.42B, +6,8% YoY; Operating income +36,0% YoY.

• ▍Revenue ¥8.42B, +6,8% YoY
• ▍Operating income +36,0% YoY
• ▍Net income +70,8% YoY
• ▍Free cash flow +24,9% YoY
• ▍Net margin 8.1%

Revenue ¥7.89B, +15,0% YoY; Operating income +43,3% YoY.

• ▍Revenue ¥7.89B, +15,0% YoY
• ▍Operating income +43,3% YoY
• ▍Net income +1 092,8% YoY
• ▍Free cash flow +77,1% YoY
• ▍Net margin 5.1%

Revenue ¥6.86B; Operating income ¥889.5M.

• ▍Revenue ¥6.86B
• ▍Operating income ¥889.5M
• ▍Net margin 0.5%