Breaking Down Jiangsu General Science Technology Co., Ltd. Financial Health: Key Insights for Investors

Investors watching Jiangsu General Science Technology Co., Ltd. will want to parse a mix of striking growth and rising leverage: 2024 revenue surged to CNY 6.96 billion, up 37.39% from 2023 and the TTM revenue reached CNY 7.64 billion as of March 31, 2025, while net income jumped to CNY 373.88 million in 2024 (a 72.81% increase) even as total liabilities climbed to CNY 9.41 billion-numbers that matter when you factor in a market cap of CNY 7.09 billion, a price-to-sales of 0.97, an EV/EBITDA of 13.61 and a TTM P/E of 67.90 versus a forward P/E of 7.73; for a closer look at revenue drivers, profitability margins (7.05% operating margin, TTM ROE 5.54%), liquidity (current ratio 1.5, quick ratio 1.2) and the risks and opportunities tied to automation, capacity expansion and brand portfolio, read on to see the detailed metrics and what they mean for shareholders

Jiangsu General Science Technology Co., Ltd. (601500.SS) - Revenue Analysis

• 2024 revenue: CNY 6.96 billion (up 37.39% vs. 2023: CNY 5.06 billion).
• TTM revenue (as of 2025-03-31): CNY 7.64 billion, indicating continued momentum beyond FY2024.
• Q1 2025 revenue: CNY 2.12 billion, +47% year-on-year, signaling accelerating quarterly performance.

• Valuation context: EV/Revenue of 1.57 and P/S of 0.97 (both as of 2025-07-05) imply the market prices the firm's revenue growth relatively modestly versus enterprise value, with P/S below 1.0 suggesting an attractive sales-based valuation.
• Momentum indicators: TTM revenue (CNY 7.64B) exceeding FY2024 (CNY 6.96B) and Q1 2025 strong YoY growth (+47%) point to scalable demand and potential operational leverage.
• Market signal: Market cap of CNY 7.09B (2025-09-29) vs. trailing revenue implies investor confidence but requires mapping to profitability and cash flow to assess sustainability.

Jiangsu General Science Technology Co., Ltd. (601500.SS) - Profitability Metrics

Key profitability indicators for Jiangsu General Science Technology Co., Ltd. through 2024 and trailing twelve months (TTM) to March 31, 2025, show marked improvement in net income, sustained operating growth, and disciplined cost management.

• Net income (2024): CNY 373.88 million - up 72.81% vs. 2023 (CNY 216.35 million).
• Net income (TTM to 2025-03-31): CNY 323.76 million, demonstrating continued strong profitability into 2025.
• Operating income (Q1 2025): CNY 314.5 million, with a 5-year compound annual growth rate (CAGR) of 30%.
• Operating margin (TTM as of 2025-03-31): 7.05%.
• Return on assets (TTM as of 2025-03-31): 2.02%.
• Return on equity (TTM as of 2025-03-31): 5.54%.

Further company context and background can be found here: Jiangsu General Science Technology Co., Ltd.: History, Ownership, Mission, How It Works & Makes Money

Jiangsu General Science Technology Co., Ltd. (601500.SS) - Debt vs. Equity Structure

• Total liabilities rose from CNY 5.73 billion in 2023 to CNY 9.41 billion in 2024, signaling a substantial increase in nominal debt levels.
• Debt-to-equity ratio: 89.62% (latest quarter) - a moderate leverage position that implies the company carries nearly as much debt as equity.
• Enterprise value (EV): CNY 12.25 billion as of July 5, 2025 - captures the firm's total value including debt obligations.
• Market capitalization: CNY 7.09 billion as of September 29, 2025 - represents the equity market value.
• Price-to-book (P/B) ratio: 1.23 as of July 5, 2025 - the market values the company's equity modestly above its book value.
• EV/EBITDA: 13.61 as of July 5, 2025 - indicates how the market prices the company's enterprise value relative to operating cash earnings.

• Relative leverage: The jump in liabilities (+64.2% year-over-year) increased financial obligations, pushing the company toward a near 1:1 debt-to-equity profile.
• Valuation context: EV (CNY 12.25B) exceeding market cap (CNY 7.09B) reflects the weight of debt in the firm's capital structure - equity investors face diluted enterprise risk due to leverage.
• Market sentiment: P/B of 1.23 suggests modest investor premium over book value; combined with EV/EBITDA of 13.61, the market prices growth/earnings potential conservatively.
• Key investor consideration: Watch interest coverage and cash flow generation relative to the increased CNY 9.41B liabilities to assess sustainability of leverage.

Jiangsu General Science Technology Co., Ltd. (601500.SS) - Liquidity and Solvency

Recent quarter metrics provide a snapshot of Jiangsu General Science Technology Co., Ltd. (601500.SS) liquidity and solvency position, showing generally adequate short-term coverage and moderate leverage service capacity.

• Current ratio: 1.5 - adequate short-term liquidity to cover current liabilities.
• Quick ratio: 1.2 - sufficient ability to meet short-term obligations without relying on inventory.
• Cash ratio: 0.8 - moderate cash buffer against current liabilities.
• Net working capital: CNY 1.2 billion - healthy operational buffer.
• Interest coverage ratio: 4.5 - ability to meet interest expenses from operating earnings.
• Debt service coverage ratio: 2.0 - capacity to service debt from operating cash flow.

For context on the company's broader profile, see Jiangsu General Science Technology Co., Ltd.: History, Ownership, Mission, How It Works & Makes Money.

Jiangsu General Science Technology Co., Ltd. (601500.SS) - Valuation Analysis

• TTM P/E: 67.90 (as of Dec 12, 2025) - signals high investor expectations or temporarily depressed trailing earnings.
• Forward P/E: 7.73 (as of Dec 12, 2025) - implies the market expects substantial earnings improvement over the next 12 months.
• EV/EBITDA: 13.61 (as of Jul 05, 2025) - valuation relative to operating cash profits.
• Price/Sales: 0.97 (as of Jul 05, 2025) - below 1.0, indicating the market values the company at roughly one year of sales.
• Price/Book: 1.23 (as of Jul 05, 2025) - market values equity modestly above book value.
• Enterprise Value: CNY 12.25 billion (as of Jul 05, 2025) - total firm value including net debt.

• Relative tension between TTM P/E (67.90) and forward P/E (7.73) suggests analysts expect substantial EPS growth or one-time adjustments between trailing and forward periods.
• EV/EBITDA of 13.61 versus EV of CNY 12.25bn provides a context for estimating EBITDA - implied trailing EBITDA ≈ CNY 900-1,000 million (EV / EV/EBITDA ≈ 12.25bn / 13.61 ≈ CNY 0.90bn).
• Price/Sales near 1.0 and P/B ~1.23 signal the market is not valuing large intangible premiums; growth expectations are primarily earnings-driven rather than revenue multiple expansion.

Jiangsu General Science Technology Co., Ltd. (601500.SS) - Risk Factors

• Sharp increase in total liabilities: total liabilities rose from CNY 5.73 billion in 2023 to CNY 9.41 billion in 2024, an increase of CNY 3.68 billion (≈64.3%), signaling higher funding needs and repayment pressure.
• Leverage level: debt-to-equity ratio at 89.62% as of the latest quarter, indicating nearly 0.9 CNY of debt for every 1 CNY of equity and moderate financial leverage that can amplify earnings volatility.
• Enterprise value composition: enterprise value of CNY 12.25 billion (as of July 5, 2025) incorporates the elevated debt load and impacts takeover or restructuring scenarios.

• Refinancing and interest-rate risk: elevated liabilities raise the company's exposure to higher financing costs and potential covenant constraints if market conditions worsen.
• Profitability sensitivity: a relatively high EV/EBITDA (13.61) means declines in EBITDA could materially increase leverage on an EV basis and compress market valuation.
• Liquidity and working capital pressure: the jump in liabilities may reflect short-term obligations or supplier/contract financing that could impair operational flexibility.
• Equity downside: P/B at 1.23 leaves limited margin for asset write-downs before equity value is questioned by the market.
• Market valuation vs. revenue: P/S of 0.97 signals subdued investor expectations - any sales declines or margin erosion could trigger larger share-price moves.

Jiangsu General Science Technology Co., Ltd. (601500.SS) - Growth Opportunities

Jiangsu General Science Technology Co., Ltd. (601500.SS) has executed targeted operational and strategic initiatives that materially improve margins, output and market positioning. Key quantified initiatives and their investor-relevant implications are summarized below.

• Automation & AI-driven robotics: implemented across production and quality control, yielding a 20% reduction in labor costs and higher throughput.
• Advanced tire manufacturing techniques: integration delivered a 15% increase in production efficiency on core lines.
• Capacity expansion at overseas bases: Thai base output >30,000 semi-steel tires/day; Cambodian base output >20,000 tires/day, supporting greater revenue scale and market share in ASEAN.
• Cybersecurity investment: CNY 15,000,000 committed to protect sensitive data and OT, lowering operational-risk exposure and supporting uninterrupted production.
• Diverse product portfolio and brands: steel radial, semi-steel radial, bias, and cycle tires marketed under CELIMO, GOODTRIP, TBBTRIES, CHITUMA, and TOWIN to address multiple segments.

• Estimated annualized cost savings from automation: CNY 20,000,000 (based on 20% labor cost reduction from an assumed CNY 100M baseline).
• Throughput uplift: a combined Thai/Cambodia daily output >50,000 semi-steel tires implies monthly capacity >1.5 million units (50,000 × 30), enabling volume-driven margin improvements.
• Risk mitigation: CNY 15M cybersecurity spend reduces potential downtime and breach-related costs which can exceed multiples of capex in industrial environments.

For background on company origins, ownership and business model see: Jiangsu General Science Technology Co., Ltd.: History, Ownership, Mission, How It Works & Makes Money