We Think That There Are More Issues For JiangXi Tianxin Pharmaceutical (SHSE:603235) Than Just Sluggish Earnings
We Think That There Are More Issues For JiangXi Tianxin Pharmaceutical (SHSE:603235) Than Just Sluggish Earnings
JiangXi Tianxin Pharmaceutical Co., Ltd.'s (SHSE:603235) recent weak earnings report didn't cause a big stock movement. Our analysis suggests that along with soft profit numbers, investors should be aware of some other underlying weaknesses in the numbers.
江西天心藥業有限公司s(上海證券交易所代碼:603235)最近疲軟的收益報告並未導致股市大幅波動。我們的分析表明,除了疲軟的利潤數字外,投資者還應意識到這些數字中的其他一些潛在弱點。
Examining Cashflow Against JiangXi Tianxin Pharmaceutical's Earnings
根據江西天心藥業的收益檢查現金流
Many investors haven't heard of the accrual ratio from cashflow, but it is actually a useful measure of how well a company's profit is backed up by free cash flow (FCF) during a given period. The accrual ratio subtracts the FCF from the profit for a given period, and divides the result by the average operating assets of the company over that time. You could think of the accrual ratio from cashflow as the 'non-FCF profit ratio'.
許多投資者尚未聽說過現金流的應計比率,但它實際上是衡量公司在給定時期內自由現金流(FCF)在多大程度上支持利潤的有用指標。應計比率從給定時期的利潤中減去FCF,然後將結果除以該時間內公司的平均運營資產。你可以將現金流的應計比率視爲 “非FCF利潤率”。
That means a negative accrual ratio is a good thing, because it shows that the company is bringing in more free cash flow than its profit would suggest. While it's not a problem to have a positive accrual ratio, indicating a certain level of non-cash profits, a high accrual ratio is arguably a bad thing, because it indicates paper profits are not matched by cash flow. Notably, there is some academic evidence that suggests that a high accrual ratio is a bad sign for near-term profits, generally speaking.
這意味着負應計比率是一件好事,因爲它表明該公司帶來的自由現金流超出了其利潤所暗示的範圍。儘管應計比率爲正(表明非現金利潤達到一定水平)不是問題,但高應計比率可以說是一件壞事,因爲它表明紙質利潤與現金流不匹配。值得注意的是,有一些學術證據表明,總的來說,高應計比率對短期利潤來說是個壞兆頭。
For the year to March 2024, JiangXi Tianxin Pharmaceutical had an accrual ratio of 0.23. Therefore, we know that it's free cashflow was significantly lower than its statutory profit, which is hardly a good thing. To wit, it produced free cash flow of CN¥51m during the period, falling well short of its reported profit of CN¥514.8m. JiangXi Tianxin Pharmaceutical's free cash flow actually declined over the last year, but it may bounce back next year, since free cash flow is often more volatile than accounting profits.
截至2024年3月的一年中,江西天心藥業的應計比率爲0.23。因此,我們知道它的自由現金流大大低於其法定利潤,這並不是一件好事。換句話說,它在此期間產生的自由現金流爲5100萬元人民幣,遠低於其報告的5.148億元人民幣的利潤。江西天心藥業的自由現金流實際上在去年有所下降,但明年可能會反彈,因爲自由現金流通常比會計利潤更具波動性。
Note: we always recommend investors check balance sheet strength. Click here to be taken to our balance sheet analysis of JiangXi Tianxin Pharmaceutical.
注意:我們始終建議投資者檢查資產負債表的實力。點擊此處查看我們對江西天心藥業的資產負債表分析。
Our Take On JiangXi Tianxin Pharmaceutical's Profit Performance
我們對江西天心藥業盈利表現的看法
JiangXi Tianxin Pharmaceutical didn't convert much of its profit to free cash flow in the last year, which some investors may consider rather suboptimal. Because of this, we think that it may be that JiangXi Tianxin Pharmaceutical's statutory profits are better than its underlying earnings power. In further bad news, its earnings per share decreased in the last year. The goal of this article has been to assess how well we can rely on the statutory earnings to reflect the company's potential, but there is plenty more to consider. With this in mind, we wouldn't consider investing in a stock unless we had a thorough understanding of the risks. Be aware that JiangXi Tianxin Pharmaceutical is showing 3 warning signs in our investment analysis and 2 of those are significant...
去年,江西天心藥業沒有將其大部分利潤轉化爲自由現金流,一些投資者可能認爲這種情況相當不理想。因此,我們認爲可能是江西天心藥業的法定利潤好於其基礎盈利能力。另一個壞消息是,其每股收益在去年有所下降。本文的目標是評估我們在多大程度上可以依靠法定收益來反映公司的潛力,但還有很多需要考慮的地方。考慮到這一點,除非我們對風險有透徹的了解,否則我們不會考慮投資股票。請注意,江西天心藥業在我們的投資分析中顯示出3個警告信號,其中2個信號意義重大...
Today we've zoomed in on a single data point to better understand the nature of JiangXi Tianxin Pharmaceutical's profit. But there is always more to discover if you are capable of focussing your mind on minutiae. Some people consider a high return on equity to be a good sign of a quality business. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks that insiders are buying to be useful.
今天,我們放大了單一數據點,以更好地了解江西天心藥業利潤的性質。但是,如果你能夠將注意力集中在細節上,總會有更多的事情需要發現。有些人認爲高股本回報率是優質業務的好兆頭。雖然可能需要你進行一些研究,但你可能會發現這份免費收集的擁有高股本回報率的公司,或者這份內部人士正在購買的股票清單很有用。
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
對這篇文章有反饋嗎?對內容感到擔憂?直接聯繫我們。 或者,給編輯團隊 (at) simplywallst.com 發送電子郵件。
Simply Wall St的這篇文章本質上是籠統的。我們僅使用公正的方法根據歷史數據和分析師的預測提供評論,我們的文章無意作爲財務建議。它不構成買入或賣出任何股票的建議,也沒有考慮到您的目標或財務狀況。我們的目標是爲您提供由基本數據驅動的長期重點分析。請注意,我們的分析可能不考慮最新的價格敏感型公司公告或定性材料。簡而言之,華爾街沒有持有任何上述股票的頭寸。