Breaking Down Yantai Shuangta Food Co., Ltd. Financial Health: Key Insights for Investors

Investors evaluating Yantai Shuangta Food Co., Ltd. will want to weigh sharp recent top-line pressure - Q3 2025 revenue of CNY 468.70 million (down 33.66% year‑over‑year) and TTM revenue of CNY 2.27 billion (down 11.22%) - against mixed pockets of strength: cash and equivalents of CNY 1.13 billion, operating cash flow of CNY 325 million and ongoing capex of CNY 256 million that point to reinvestment for growth; profitability metrics show a TTM net profit margin of 2.91% and ROE of 2.60% with EPS of CNY 0.06 and a P/E of 102.06 while the market values the company at roughly CNY 6.85 billion (share price CNY 5.37 on Dec 11, 2025) versus CNY 6.43 billion (share price CNY 5.31 on Dec 12, 2025), enterprise value of CNY 7.20 billion, a P/S of 3.02, a debt‑to‑equity ratio of 67.0% and total debt of CNY 1.41 billion even as management repurchased 28,968,798 shares for CNY 156.98 million and approved an interim cash dividend of CNY 0.04 per share (yield 0.70%); with revenue per employee near CNY 2.87 million across 791 staff and a 45.27% drop in net profit attributable to shareholders through Q3 2025, the balance of liquidity, leverage, valuation and margin trends sets up a nuanced risk/reward picture worth a deeper read.

Yantai Shuangta Food Co., Ltd. (002481.SZ) - Revenue Analysis

• Q3 2025 revenue: CNY 468.70 million (down 33.66% YoY vs. Q3 2024)
• TTM revenue: CNY 2.27 billion (down 11.22% YoY)
• FY 2024 revenue: CNY 2.45 billion (down 0.32% YoY)
• Revenue per employee: ~CNY 2.87 million (791 employees)
• Price-to-sales (P/S): 3.02
• Market capitalization: CNY 6.85 billion; stock price CNY 5.37 (as of 2025-12-11)

• Revenue trajectory: sequential and YoY declines in 2025 have pulled TTM revenue below the FY2024 level, signaling weaker demand or channel disruptions.
• Valuation context: a P/S of 3.02 with CNY 6.85B market cap suggests the market prices in expectations for recovery or margin expansion despite falling sales.
• Productivity: revenue per employee (~CNY 2.87M) indicates moderate operational productivity relative to peers in the food sector; changes in headcount or automation would materially affect this metric.

Yantai Shuangta Food Co., Ltd. (002481.SZ) - Profitability Metrics

Key profitability indicators show a company with modest margins, low ROE, and weakening near-term earnings performance.

• Net profit margin (TTM): 2.91%
• Return on equity (ROE, TTM): 2.60%
• Gross profit margin (TTM): 12.83%
• EPS (TTM): CNY 0.06
• P/E ratio: 102.06
• Interim cash dividend (2025): CNY 0.04 per share - dividend yield 0.70%

• Q1 2025 net income: CNY 8.93 million
• Q1 2024 net income: CNY 41.63 million
• Year-to-date (first three quarters 2025) net profit attributable to shareholders declined by 45.27% vs same period 2024

For corporate context and strategic positioning, see: Mission Statement, Vision, & Core Values (2026) of Yantai Shuangta Food Co., Ltd.

Yantai Shuangta Food Co., Ltd. (002481.SZ) - Debt vs. Equity Structure

• Debt-to-equity ratio: 67.0% - indicates debt equals 0.67x of shareholders' equity.
• Enterprise value (EV): CNY 7.20 billion - captures total firm value including debt and minority interests.
• Market capitalization (12 Dec 2025): CNY 6.43 billion - equity market value based on share price.
• Shares outstanding: 1.20 billion; share price (12 Dec 2025): CNY 5.31.
• Trailing twelve months (TTM) net income: CNY 66.12 million; net profit margin: 2.91%.
• Share repurchase program (as of 30 Sep 2025): 28,968,798 shares repurchased (2.35% of total) for CNY 156.98 million.

• Leverage interpretation: a 67.0% debt-to-equity ratio signals material but not excessive leverage for a food manufacturer - debt cushions and interest obligations should be weighed against modest TTM net income (CNY 66.12M) and thin margin (2.91%).
• Market vs. enterprise value: EV (CNY 7.20B) exceeding market cap (CNY 6.43B) reflects net debt on the balance sheet; investors should assess debt maturity profile and interest coverage relative to operating cash flow.
• Share buyback implication: repurchasing 2.35% of shares for CNY 156.98M demonstrates capital-return activity that reduces equity base and can boost EPS, but investors must compare buyback funding sources (cash vs. debt) given existing leverage.

Yantai Shuangta Food Co., Ltd. (002481.SZ) - Liquidity and Solvency

• Cash & cash equivalents: CNY 1.13 billion - a strong liquid buffer.
• Total debt: CNY 1.41 billion - covered by cash and equivalents, supporting short-term solvency.
• Operating cash flow (OCF): CNY 325 million - materially higher than net income, indicating robust cash conversion from operations.
• Capital expenditures (CapEx): CNY 256 million - ongoing investment in capacity and maintenance.
• Free cash flow (FCF): negative after maintenance spending - reflects capital intensity despite positive operating cash generation.
• Operational discipline: continues to deliver positive earnings in a competitive market environment.

• Cash-to-debt coverage: cash and equivalents exceed total debt, providing a conservative liquidity cushion that reduces refinancing and short-term solvency risk.
• OCF vs. CapEx: with OCF of CNY 325 million against CapEx of CNY 256 million, operational cash generation covers gross investment, but maintenance and growth spending push reported free cash flow into negative territory.
• Implication for investors: the balance of strong liquidity and ongoing capital deployment suggests the company prioritizes capacity and growth while retaining a margin of safety through cash reserves.

Yantai Shuangta Food Co., Ltd. (002481.SZ) - Valuation Analysis

Key valuation metrics for Yantai Shuangta Food Co., Ltd. as of December 12, 2025 provide a snapshot of how the market prices its earnings, sales and overall enterprise value.

• P/E of 102.06 suggests the market is pricing in significant future earnings growth or pricing current earnings as exceptionally scarce; it also increases sensitivity to earnings volatility.
• P/S of 3.02 positions the stock above many low-margin food peers, implying investors pay a premium per unit of sales.
• Market cap (CNY 6.43B) vs. EV (CNY 7.20B) shows moderate net debt or other balance sheet items adding ≈CNY 0.77B to enterprise value.
• Stock price CNY 5.31 combined with the 7.47% one-year market cap gain signals positive sentiment but modest absolute appreciation.

For historical context on the company's strategy, ownership and business model, see: Yantai Shuangta Food Co., Ltd.: History, Ownership, Mission, How It Works & Makes Money

Yantai Shuangta Food Co., Ltd. (002481.SZ) - Risk Factors

• Significant year-over-year erosion in profitability: net profit attributable to shareholders declined by 45.27% in the first three quarters of 2025 vs. the same period in 2024.
• Elevated leverage: a debt-to-equity ratio of 67.0% indicates meaningful reliance on debt financing and greater sensitivity to interest-rate and refinancing risks.
• Liquidity pressure: reported negative free cash flow after capital expenditures, pointing to potential cash shortfalls for operations, debt service, and dividends if trends persist.
• Margin and return deterioration: continued declines in net profit margin and return on equity (ROE) threaten investor confidence and valuation multiples.
• Concentration risk: heavy dependence on the packaged foods market exposes the company to shifting consumer preferences, private-label competition, and retail channel pricing pressure.
• Capital intensity: food processing operations are capex-heavy; ongoing investment needs can constrain financial flexibility and exacerbate leverage or dilute returns if growth underperforms.

• Operational risks linked to supply chain and raw-material cost volatility can further compress margins when leverage is elevated.
• Competitive risk: private-label growth and larger branded rivals may intensify price and shelf-space competition.
• Funding risk: with negative FCF after capex and 67.0% debt-to-equity, refinancing or higher borrowing costs could materially raise financing expenses.
• Strategic risk: sustained profitability declines may force strategic trade-offs-cutting capex, selling assets, or equity issuance-each carrying execution risk.

Yantai Shuangta Food Co., Ltd. (002481.SZ) - Growth Opportunities

• Capital expenditure: CNY 256 million invested in production capacity expansion, signaling management's commitment to scaling output and capturing new demand.
• Liquidity buffer: Cash and cash equivalents of CNY 1.13 billion, providing financial flexibility to fund capex, acquisitions, or working-capital needs without immediate refinancing pressure.
• Shareholder returns: Board-approved interim cash dividend of CNY 0.04 per share for 2025, reflecting ongoing cash-generation and willingness to distribute value to shareholders.
• Market sentiment: Market capitalization up 7.47% over the past year, indicating incremental investor confidence in the company's strategy and outlook.
• Product focus: Strategic emphasis on plant-based proteins and specialty starches aligns with shifting consumer preferences across Asia toward plant-forward diets and clean-label ingredients.

• Operational leverage: If new capacity is brought online smoothly and demand for plant-based solutions accelerates, incremental volumes should dilute fixed costs and improve margins.
• R&D and product mix: Investing in specialty starch formulations and plant-protein ingredients can command higher margins than commodity starches, supporting long-term profitability.
• Distribution and partnerships: Strengthening downstream partnerships (foodservice, ingredient distributors, plant-based food brands) can accelerate adoption of higher-value products.
• Balance sheet optionality: CNY 1.13 billion in cash allows opportunistic M&A to acquire niche technology or scale footholds in adjacent markets without immediate equity raises.