Breaking Down Zhejiang Supor Co., Ltd. Financial Health: Key Insights for Investors

Zhejiang Supor Co., Ltd. presents a mixed but compelling picture for investors: in H1 2025 operating revenue reached 11.48 billion yuan (up 4.68% year-over-year) with TTM revenue of 22.81 billion yuan, annual 2024 revenue at 22.43 billion yuan (+5.27% vs. 2023) and revenue per employee near 2.02 million yuan, while profitability showed strain-Q3 2025 net profit attributable to shareholders fell 13.42% year-over-year to 426 million yuan and basic EPS dropped 13.43% to 0.535 yuan even as margins remained material (Q3 2025 net margin ~7.86%) and returns stayed strong (ROE 38.80%, ROA 11.97%, ROIC 23.80%); the balance sheet signals conservative leverage with a debt-to-equity ratio of 0.13 and an interest coverage of 154.86, total assets were 12.64 billion yuan (down 4.75% year-over-year) and shareholders' equity fell 13.77% to 5.54 billion yuan, liquidity held up with a current ratio of 1.51, quick ratio 1.15, cash and equivalents of 2.028 billion yuan and Q3 operating cash flow up 16.57% to 1.35 billion yuan, while valuation sits at a trailing P/E of 17.32, forward P/E 16.19, P/S 1.74 and P/B 6.77 with market capitalization around 39.64 billion yuan (Nov 19, 2025) and enterprise value near 34.28 billion yuan-risks include declining margins, asset and equity contraction and quarterly revenue softness, yet growth catalysts such as a planned acquisition of 75% of Wuhan Supor Cookware for 386.8 million yuan and analyst forecasts of ~7.1% annual EPS growth and ~4.7% revenue growth over three years suggest avenues for upside; read on for the full analysis and detailed breakdown of these figures and what they mean for investors

Zhejiang Supor Co., Ltd. (002032.SZ) - Revenue Analysis

• Operating revenue (1H 2025): 11.48 billion yuan - +4.68% vs. 1H 2024.
• TTM revenue (as of 2025-09-30): 22.81 billion yuan - +1.62% YoY.
• Annual revenue (2024): 22.43 billion yuan - +5.27% vs. 2023.
• Revenue per employee: ~2.02 million yuan (11,298 employees).
• Price-to-sales (P/S): 1.74.
• Market capitalization (2025-11-19): 39.64 billion yuan.

• Growth profile: low single-digit revenue growth indicates maturity in core categories; incremental gains likely from product upgrades and channel optimization.
• Scale efficiency: revenue per employee (~2.02M CNY) suggests reasonable operational productivity for household-appliance manufacturing and retail distribution.
• Valuation context: P/S of 1.74 positions the stock at a moderate premium to sales - investors should weigh margin trends and ROIC to assess fairness of this multiple.
• Market-cap support: 39.64 billion CNY market cap vs. ~22.8 billion TTM revenue implies expectations of stable margins and cash flow generation rather than high growth.

Zhejiang Supor Co., Ltd. (002032.SZ) - Profitability Metrics

Key profitability indicators for Q3 2025 show mixed performance: topline profitability ratios weakened year-over-year while capital returns remain notably strong.

• Net profit attributable to shareholders: ¥426 million in Q3 2025, down 13.42% vs Q3 2024.
• Net profit margin: 7.86% in Q3 2025, vs 9.07% in Q3 2024.
• Basic EPS: ¥0.535 for Q3 2025, a 13.43% decline YoY.
• ROE: 38.80% - a high return on equity indicating strong profitability relative to shareholder capital.
• ROA: 11.97% - efficient use of assets to generate profit.
• ROIC: 23.80% - effective deployment of invested capital.

Numerical comparison (Q3 2024 vs Q3 2025):

Investor takeaways:

• Margin compression (from 9.07% to 7.86%) suggests pricing pressure or cost increases affecting core profitability.
• EPS decline mirrors net profit reduction, highlighting short-term earnings pressure.
• Elevated ROE, ROA and ROIC indicate high capital efficiency and strong returns on both assets and invested capital despite lower absolute profits.
• Monitor subsequent quarters for margin recovery, cost control measures, and whether high capital returns are sustainable.

Exploring Zhejiang Supor Co., Ltd. Investor Profile: Who's Buying and Why?

Zhejiang Supor Co., Ltd. (002032.SZ) - Debt vs. Equity Structure

• Debt-to-equity ratio: 0.13 - indicates minimal reliance on debt financing.
• Interest coverage ratio: 154.86 - demonstrates a very strong ability to cover interest expenses from operating earnings.
• Total assets (as of Sept 30, 2025): ¥12.64 billion - down 4.75% vs. prior year-end.
• Shareholders' equity: ¥5.54 billion - down 13.77% vs. prior year-end.
• Enterprise value: ¥34.28 billion.
• Market capitalization (Dec 11, 2025): ¥37.73 billion.

• Low leverage (D/E 0.13) reduces solvency risk and interest-rate sensitivity for Zhejiang Supor.
• Very high interest coverage (154.86) implies interest expense is negligible relative to operating profit.
• Declining equity (-13.77%) warrants monitoring: could reflect dividends, share buybacks, asset revaluations, or net losses.
• Enterprise value vs. market cap alignment: EV (¥34.28B) vs. market cap (¥37.73B) suggests net cash or modest adjustments in valuation components.

Zhejiang Supor Co., Ltd. (002032.SZ) - Liquidity and Solvency

Key short-term liquidity and solvency indicators for Zhejiang Supor Co., Ltd. (002032.SZ) point to a healthy position to meet near-term obligations while generating positive cashflows to support operations and investment.

• Current ratio: 1.51 - adequate short-term liquidity to cover current liabilities.
• Quick ratio: 1.15 - sufficient liquid assets to meet immediate obligations without relying on inventory conversion.
• Operating cash flow (Q3 2025): ¥1.35 billion - up 16.57% YoY, indicating stronger cash generation from core operations.
• Free cash flow: Positive - supports ongoing operations and potential capital expenditures or strategic investments.
• Cash and cash equivalents (as of 30 Jun 2025): ¥2.028 billion.
• Cash flow to debt ratio: Not specified, but overall liquidity is supported by positive operating and free cash flows.

• Implications for creditors and investors: liquidity ratios above 1.0 reduce short-term default risk; positive operating and free cash flow provide flexibility for capex, dividends or deleveraging.
• Risks to monitor: any material increase in short-term liabilities, inventory obsolescence affecting quick ratio, or deterioration in operating cash flow trends could pressure solvency metrics.

Related reading: Exploring Zhejiang Supor Co., Ltd. Investor Profile: Who's Buying and Why?

Zhejiang Supor Co., Ltd. (002032.SZ) - Valuation Analysis

Key valuation metrics for Zhejiang Supor Co., Ltd. as of market data referenced (market cap dated 2025-12-11) present a profile of a mid-premium consumer discretionary manufacturer with stable earnings and healthy cash generation relative to price.

• Trailing P/E: 17.32 - implies investors pay ~17.3× last 12 months' earnings.
• Forward P/E: 16.19 - discounts expected near-term earnings growth versus trailing.
• P/B: 6.77 - signals a significant premium to book value, common for strong brand-driven manufacturers.
• EV/EBITDA: 13.46 - indicates enterprise value ~13.5× operating cash profits before D&A, interest and taxes.
• EV/FCF: 13.32 - shows valuation relative to free cash flow is roughly on par with EV/EBITDA, suggesting cash conversion consistency.
• PEG: Not available - limits direct growth-adjusted P/E comparison.
• Market capitalization: ¥37.73 billion (as of 2025-12-11).

Practical vantage points for investors:

• If comparing to domestic appliance peers, evaluate whether higher P/B is supported by superior ROE, brand moat, or recurring revenue streams.
• With EV/EBITDA ~13.5 and EV/FCF ~13.3, assess operational efficiency and FCF sustainability (capex trends, working capital) to justify these multiples.
• Absence of PEG requires separate growth analysis - review revenue CAGR, margin expansion prospects, and management guidance to infer growth-adjusted value.
• Cross-check valuation against balance sheet quality, dividend policy, and shareholder returns to decide on relative attractiveness at ¥37.73 billion market cap.

Further corporate context and long-term strategic positioning can be reviewed here: Mission Statement, Vision, & Core Values (2026) of Zhejiang Supor Co., Ltd.

Zhejiang Supor Co., Ltd. (002032.SZ) - Risk Factors

• Profitability pressure: Net profit margin fell from 9.07% in Q3 2024 to 7.86% in Q3 2025, a deterioration of 1.21 percentage points.
• Revenue contraction: Operating revenue declined 2.30% year-over-year in Q3 2025, signaling top-line softness.
• Net profit decline: Net profit decreased 13.42% in Q3 2025 versus Q3 2024, indicating operational or demand challenges.
• Earnings per share impact: Basic EPS declined 13.43% year-over-year in Q3 2025, which can weigh on investor sentiment and valuation multiples.
• Capital base erosion: Total assets decreased 4.75% and shareholders' equity fell 13.77% as of September 30, 2025, reducing balance-sheet buffers.
• Low leverage: A debt-to-equity ratio of 0.13 reflects conservative financial leverage but may constrain capacity for debt-funded expansion or opportunistic investments.

• Operational risks: Margin compression and falling net profit suggest cost pressure, pricing challenges, or adverse product mix shifts.
• Balance-sheet risk: A 13.77% drop in equity reduces the firm's cushion against shocks and may constrain credit terms or investor confidence.
• Growth trade-off: Low leverage (0.13) limits financial risk but may also restrict the company's ability to pursue M&A or capex-driven growth without dilutive equity issuance.
• Market sensitivity: Declining revenue and EPS in Q3 2025 indicate vulnerability to weaker consumer demand or increased competition in the small-appliances segment.
• Investor reaction risk: Double-digit declines in net profit and EPS YoY can heighten stock volatility and pressure valuation multiples.

Zhejiang Supor Co., Ltd. (002032.SZ) - Growth Opportunities

• Planned acquisition: 75% of Wuhan Supor Cookware for ¥386.8 million - expands manufacturing footprint and product portfolio in core cookware and kitchen appliance segments.
• Analyst consensus: earnings CAGR of 7.1% and revenue CAGR of 4.7% over the next three years - implies steady topline expansion with margin support.
• Expected ROE: 37.6% in three years - indicates potential for significantly improved shareholder returns assuming execution and leverage are controlled.
• Market valuation (as of 2025-11-19): market capitalization ¥39.64 billion; enterprise value ¥34.28 billion - metrics consistent with a company valued for growth and cash generation.
• Cash flow profile: ongoing operating cash generation supports the acquisition, working capital needs, and potential reinvestment in product development and distribution.

• Integration levers: cross-selling across channels, scale-driven procurement savings, and expanded OEM/ODM capacity from Wuhan Supor assets.
• Margin catalysts: mix shift toward higher-margin appliances and premium cookware, cost synergies from combined operations, and distribution optimization.
• Risks to monitor: integration execution, commodity/inflation pressures, and demand volatility in discretionary consumer goods.