Breaking Down Sunresin New Materials Co.,Ltd Financial Health: Key Insights for Investors

If you're weighing Sunresin New Materials Co., Ltd. (300487.SZ) as a potential investment, the numbers demand a close read: Q1 2025 revenue stood at 576.79 million yuan (down 8.58% YoY) against a full-year 2024 revenue of 2.55 billion yuan (up 2.62% YoY) and TTM revenue of 2.60 billion yuan (down 7.43% YoY); profitability looks robust with 2024 net income of 794 million yuan (up 10.1%), a net profit margin of 31.14%, gross margin of 50.79% and operating margin of 37.00%, while RoE for the TTM is a notable 21.11% and EPS (TTM) is 1.65 yuan (P/E ~31.92-37.29 depending on trailing/forward), liquidity and solvency metrics show a net cash position (cash 2.26 billion vs. total debt 469 million), a current ratio of 2.95, quick ratio 2.15 and operating cash flow (TTM) of 1.01 billion with capex of 179 million (coverage >4x); valuation signals include a P/S around 10-10.77, P/B 6.36, EV/EBITDA 23.53 and a PEG of 0.79, while balance sheet strength is reflected in total assets of 8.66 billion, liabilities of 1.04 billion (debt-to-equity 0.12, equity ratio 88%), market cap movements from 27.95 billion to 30.08 billion yuan (up 8.04% YTD as of Dec 17, 2025), and growth levers-from a 45% increase in overseas sales and R&D-intensive patent positions to a 35.77 million yuan lithium extraction contract and revenues in adjacent sectors-set against risks including regulatory exposure, competition from DuPont and Lanxess, raw-material volatility, currency swings and supply-chain sensitivities that investors should scrutinize further

Sunresin New Materials Co.,Ltd (300487.SZ) Revenue Analysis

Key revenue trends and metrics for Sunresin New Materials Co.,Ltd reflecting recent quarters, fiscal 2024 results, TTM figures, per-employee productivity and valuation multiples.

• Q1 2025 revenue: 576.79 million yuan (year-on-year change: -8.58%).
• Fiscal year 2024 total revenue: 2.55 billion yuan (year-on-year change: +2.62%).
• Trailing twelve months (TTM) revenue: 2.60 billion yuan (YoY change: -7.43%).
• Revenue from base operations in 2024 (excluding DLE System Unit): 2.46 billion yuan (+24.7% YoY).
• Revenue per employee: ~1.64 million yuan (1,579 employees).
• Market capitalization: 27.95 billion yuan; P/S ratio: 10.77.

• Interpretation pointers:
  • The notable divergence between overall FY2024 growth (+2.62%) and TTM decline (-7.43%) highlights recent softness after a stronger base-year performance.
  • Excluding the DLE System Unit, base operations grew strongly (+24.7% in 2024), indicating core business resilience.
  • High P/S (10.77) implies elevated market expectations vs. current revenue run-rate; coupled with a revenue/employee of ~1.64M yuan this informs relative operational scale.

Related company context: Mission Statement, Vision, & Core Values (2026) of Sunresin New Materials Co.,Ltd.

Sunresin New Materials Co.,Ltd (300487.SZ) - Profitability Metrics

• Net income (2024): 794 million yuan (10.1% YoY increase)
• Net profit margin (2024): 31.14%
• Gross profit margin (2024): 50.79%
• Operating margin (2024): 37.00%
• ROE (TTM): 21.11%
• EPS (TTM): 1.65 yuan; P/E: 37.29

• High gross margin (50.79%) suggests effective cost structure and/or pricing power in core resin and separation-material products.
• Operating margin (37.00%) indicates operational efficiency and scalability of production/processes.
• ROE of 21.11% reflects solid capital allocation and returns to shareholders.
• P/E of 37.29 (implied price ≈ 61.53 yuan) signals a growth premium; investors should weigh expected growth versus valuation.

Sunresin New Materials Co.,Ltd (300487.SZ) - Debt vs. Equity Structure

• Market capitalization: 25.41 billion yuan
• Enterprise value (EV): 24.61 billion yuan
• Total debt: 469 million yuan
• Cash and equivalents: 2.26 billion yuan
• Net cash position: ~1.79 billion yuan (cash minus debt)

• Balance-sheet strength: net cash and high equity ratio reduce refinancing risk.
• Profitability cushion: interest coverage near 21x indicates low debt service pressure.
• Strategic flexibility: cash resources enable capex, M&A or shareholder returns without immediate external financing.

Sunresin New Materials Co.,Ltd (300487.SZ) - Liquidity and Solvency

Key liquidity and solvency metrics for Sunresin New Materials Co.,Ltd (300487.SZ) point to robust short-term liquidity and a capital structure skewed toward equity financing. Below are the primary figures and their immediate implications.

• Current ratio: 2.95 - indicates good short-term financial health and ability to cover current liabilities.
• Quick ratio: 2.15 - suggests sufficient liquid assets (excluding inventory) to meet immediate obligations.
• Cash ratio: 2.14 - denotes very strong cash and cash-equivalents coverage of current liabilities.
• Net working capital: ¥1.2 billion - provides a buffer for operational needs and short-term commitments.
• Solvency ratio: 0.88 - a high proportion of assets financed by equity, reducing reliance on debt.

• High cash-coverage ratios (cash and quick ratios above 2) reduce short-term liquidity risk and provide flexibility for operating needs or opportunistic investments.
• Operating cash flow substantially exceeds capex (coverage >4x), indicating internally funded growth and lower need for external financing to support investment.
• Net working capital of ¥1.2 billion supports day-to-day operations and buffers seasonal or cyclical fluctuations in receivables and inventory.
• Solvency ratio of 0.88 implies conservative leverage; creditors have a lower claim on assets relative to equity holders, which can affect return on equity but reduces default risk.

For broader context on the company's background and how it generates revenue, see: Sunresin New Materials Co.,Ltd: History, Ownership, Mission, How It Works & Makes Money

Sunresin New Materials Co.,Ltd (300487.SZ) Valuation Analysis

• High P/E and EV/EBITDA indicate investors are paying for earnings growth and durable margins; forward P/E decline suggests expected earnings acceleration.
• P/B of 6.36 and P/S of 10.29 denote a premium growth multiple - implies limited margin for valuation disappointment.
• PEG at 0.79 is a favorable indicator when paired with consistent growth forecasts, suggesting price may be justified or attractive relative to projected growth.
• Market cap up 8.04% over 12 months reflects modest investor confidence; monitor trading liquidity and sector trends for re-rating potential.

Sunresin New Materials Co.,Ltd (300487.SZ) - Risk Factors

• Highly regulated end markets: Sunresin supplies ion-exchange resins and related products used in pharmaceuticals, bioprocessing, power, and environmental protection, sectors governed by stringent Chinese and international standards (e.g., GMP for pharma, ISO for environmental systems). Non-compliance can trigger recalls, fines, or market access restrictions.
• Intense competition: The company competes with global incumbents (DuPont, Lanxess) and aggressive domestic players. Maintaining R&D intensity and product differentiation is required to defend pricing and market share.
• Raw material price volatility: Key feedstocks (petrochemical-derived ion-exchange monomers, specialty polymers) represent a material portion of COGS; swings in petrochemical markets can erode margins if not passed through.
• Foreign exchange exposure: Significant export sales expose earnings to RMB/USD and other cross-border currency moves; sudden currency moves can compress reported profits.
• Supply chain vulnerabilities: Disruptions in monomer or catalyst supply, or logistic bottlenecks, can force production slowdowns or higher spot purchase costs.
• Concentration risk in China: Heavy sales concentration in the Chinese market creates sensitivity to domestic economic cycles, regional policy shifts (e.g., environmental regulations), and local procurement preferences.

• Balance sheet sensitivity: Monitor leverage and liquidity-if working capital tied to receivables or inventory rises during supply dislocations, net debt and interest expense can spike. Typical working capital cycles in specialty chemicals can be 60-120 days; an extension materially strains cash flow.
• Mitigants management can deploy: diversified supplier base, FX hedging, pass-through clauses in contracts, targeted R&D to higher-margin specialty resins, and geographic revenue diversification to reduce China concentration.
• Key metrics for investors to watch quarterly: gross margin, EBITDA margin, inventory days, receivable days, export % of revenue, capex on compliance/R&D, and any disclosed contingency reserves related to regulatory actions.

Sunresin New Materials Co.,Ltd (300487.SZ) - Growth Opportunities

• Major project win: 35.77 million yuan bid awarded for expansion and renovation of Lop Nur Salt Lake old brine lithium extraction - strengthens technical know-how and market share in salt-lake lithium extraction.
• Life sciences momentum: 2024 revenue recorded at 5.68 billion yuan, underpinning scale and recurring demand for biomedical separation products.
• Water treatment scale: 2024 revenue of 6.88 billion yuan, reflecting strong industrial and municipal demand for adsorption-based purification.
• New energy exposure: 99 million yuan revenue from salt-lake lithium extraction systems in 2024, establishing a foothold in battery supply-chain technologies.
• International expansion: Overseas sales increased by 45% in 2024, demonstrating successful market penetration and diversification of revenue streams.
• R&D and IP edge: Significant investment in R&D and a portfolio of patents in adsorption and separation technologies support differentiation and barrier-to-entry advantages.

• Scale synergies: Cross-selling adsorption resin platforms across life sciences and water treatment can raise asset utilization and margins.
• Commercializing lithium-extraction tech: Converting pilot/engineering projects (like Lop Nur) into repeatable systems could materially increase new-energy revenues beyond the current 99 million base.
• Accelerated international rollout: A 45% jump in overseas sales suggests further upside from targeted localization, regulatory approvals, and channel partnerships.
• R&D-to-product pipeline: Patents in adsorption/separation enable entry into adjacent niches (battery recycling, specialty purification) with limited direct competition.