Breaking Down Zhejiang Cayi Vacuum Container Co., Ltd. Financial Health: Key Insights for Investors

Investors itching to unpack Zhejiang Cayi Vacuum Container Co., Ltd. (301004.SZ) will find a company with sharp recent volatility-quarterly revenue plunged to CNY 429.71 million, down 47.68% from the prior quarter-yet a resilient trailing twelve-month top line of CNY 2.68 billion and 2024 annual revenue of CNY 2.84 billion (up 59.76% year-over-year); profitability remains notable with TTM net income of CNY 569.47 million and a net profit margin of 25.84%, EPS of CNY 3.84 and ROE of 32.66%, while balance sheet strength shows total debt of CNY 403.79 million against cash of CNY 1.06 billion (net cash ~CNY 655 million), a conservative debt-to-equity of 22.33% and an Altman Z-Score of 9.65-liquidity metrics include operating cash flow of CNY 891.40 million, free cash flow CNY 434.30 million and free cash flow per share of CNY 3.01; valuation sits at a trailing P/E of 14.51, forward P/E of 10.04 and EV/EBITDA of 10.81 with market cap CNY 8.05 billion, while growth forecasts project earnings growth of 27.3% p.a. and revenue growth of 23.9% p.a., making the crossroads of short-term revenue pressure, robust margins, strong cash generation and moderate leverage a compelling read for anyone assessing risk-adjusted upside-read on to dive into each metric and what it means for your investment view

Zhejiang Cayi Vacuum Container Co., Ltd. (301004.SZ) - Revenue Analysis

• Quarter ending 30 Sep 2025 revenue: CNY 429.71 million (down 47.68% vs prior quarter).
• Trailing twelve months (TTM) revenue: CNY 2.68 billion (YoY +5.86%).
• Full-year 2024 revenue: CNY 2.84 billion (up 59.76% vs 2023).
• Revenue per employee: CNY 627,453 (4,272 employees).
• Market capitalization: CNY 8.05 billion; Price-to-Sales (P/S): 3.00.
• Revenue per share (latest quarter): CNY 5.21.

• Quarter volatility: a near-48% sequential decline in Q3 suggests seasonality, one-off events, or demand shifts-compare Q3 product mix and order backlog.
• TTM vs FY: TTM at CNY 2.68B is slightly below 2024 annual of CNY 2.84B, indicating recent softness after a strong 2024.
• Operational productivity: revenue/employee (~CNY 627k) positions the company for labor-efficiency benchmarking vs peers in vacuum container and consumer appliance segments.
• Valuation context: P/S of 3.00 on CNY 8.05B market cap implies investor expectation of mid-single-digit growth and margin normalization; monitor sales trajectory to re-rate valuation.

Zhejiang Cayi Vacuum Container Co., Ltd. (301004.SZ) Profitability Metrics

• Net income (TTM): CNY 569.47 million - Net profit margin: 25.84%
• Operating income (TTM): CNY 620.82 million - Operating margin: 23.16%
• EBITDA (TTM): CNY 679.24 million - EBITDA margin: 25.34%
• Gross profit margin: 32.31%
• EPS (TTM): CNY 3.84
• Return on equity (ROE): 32.66%
• Return on assets (ROA): 15.45%

Zhejiang Cayi Vacuum Container Co., Ltd. (301004.SZ) - Debt vs. Equity Structure

• Debt-to-equity ratio: 22.33% - conservative leverage relative to equity.
• Total debt: CNY 403.79 million; Cash & cash equivalents: CNY 1.06 billion - net cash ≈ CNY 655 million.
• Interest coverage ratio: 27.78 - strong ability to service interest expense from operating earnings.
• Equity (book value): CNY 1.81 billion; Book value per share: CNY 12.52.
• Total assets: CNY 2.74 billion; Total liabilities: CNY 568.58 million.
• Current ratio: 2.89; Quick ratio: 2.16 - healthy short-term liquidity.

• Liquidity buffer: Cash covers debt by ~2.6x and provides flexibility for capex, dividends, or opportunistic M&A.
• Credit risk: Low - limited leverage, strong interest coverage, and high current/quick ratios reduce refinancing and short-term liquidity risk.
• Equity support: Book value of CNY 1.81 billion gives a solid capital base vs. liabilities of CNY 568.58 million.

Zhejiang Cayi Vacuum Container Co., Ltd. (301004.SZ) - Liquidity and Solvency

Key liquidity and solvency indicators for Zhejiang Cayi Vacuum Container Co., Ltd. show a solid operating cash profile, positive free cash flow generation, strong net cash per share and low bankruptcy risk metrics, while profitability and balance-sheet strength remain in an average range per the Piotroski score.

• Operating cash flow (TTM): CNY 891.40 million
• Capital expenditures (TTM): CNY 457.10 million
• Free cash flow (TTM): CNY 434.30 million
• Free cash flow per share: CNY 3.01
• Net cash per share: CNY 4.54
• Altman Z-Score: 9.65 (low bankruptcy risk)
• Piotroski F-Score: 5 (average financial strength)

For historical context, ownership structure and how the business operates, see: Zhejiang Cayi Vacuum Container Co., Ltd.: History, Ownership, Mission, How It Works & Makes Money

Zhejiang Cayi Vacuum Container Co., Ltd. (301004.SZ) - Valuation Analysis

• Earnings perspective: Trailing P/E of 14.51 versus a forward P/E of 10.04 indicates expected earnings growth or analyst revisions that lower the price multiple - the forward multiple suggests a more attractive earnings valuation going forward.
• Balance-sheet premium: P/B at 4.45 and P/TBV at 4.73 show the stock trades at a significant premium to both reported and tangible equity, signaling investor willingness to pay for intangibles, brand, or expected return on equity far above book value.
• Debt and enterprise sizing: Market cap of CNY 8.05 billion against an EV of CNY 7.39 billion implies net cash or limited net debt on the balance sheet; EV provides a more complete take on takeover cost than market cap alone.
• Cash-flow and profitability multiples: EV/EBITDA of 10.81 and EV/EBIT of 11.90 are in line with mid-market industrials-neither deeply cheap nor expensive-while EV/FCF at 17.02 signals higher valuation when measured against free cash generation.
• Growth-multiple gap: Absence of a PEG ratio prevents a direct quick-link between P/E and growth; investors should compare forward P/E to projected EPS CAGR to infer implicit growth expectations.

Zhejiang Cayi Vacuum Container Co., Ltd. (301004.SZ) - Risk Factors

Zhejiang Cayi Vacuum Container Co., Ltd. (301004.SZ) faces several identifiable risks that investors should weigh alongside its financial metrics and market position. Below are the principal risk drivers, quantified where possible to aid assessment.

• Exposure to raw material price volatility - key inputs (stainless steel, plastics, insulating materials) have driven production cost pressure: estimated raw material cost increase of ~12% YoY in the most recent period, compressing gross margins if not fully passed to consumers.
• Market saturation in consumer housewares - mature domestic markets and slowing per-capita replacement cycles increase risk of demand plateauing and slower top-line growth.
• Dependence on exports - approximately 45% of sales derive from international markets, creating sensitivity to currency moves, tariffs, shipping disruptions, and geopolitical tensions in major destinations.
• Competitive intensity - direct competition from established local brands and global houseware players can compress pricing power and force higher marketing and distribution spend.
• Low equity volatility (beta = 0.02) - the company's low beta indicates limited share-price sensitivity to market swings, suggesting stability but also constrained upside in bull markets.
• Dividend policy trade-offs - a dividend payout ratio of 54.68% delivers investor income but leaves less retained capital for capex, R&D, or M&A to drive longer-term expansion.

Investors should consider scenario sensitivities: modest raw-material cost shocks (±10-15%) materially affect margins; a 5-10% decline in export volumes would reduce revenue visibility; sustained dividend payout above 50% constrains reinvestment capacity. For broader corporate background, see Zhejiang Cayi Vacuum Container Co., Ltd.: History, Ownership, Mission, How It Works & Makes Money.

Zhejiang Cayi Vacuum Container Co., Ltd. (301004.SZ) - Growth Opportunities

• Forecasted revenue CAGR: 23.9% per annum (next 3 years).
• Forecasted earnings growth: 27.3% per annum; EPS expected to grow ~27% p.a.
• Return on equity projected to reach ~28.7% in three years, indicating improving capital efficiency.
• Substantial capital expenditures planned to expand production capacity and modernize operations.
• Strong operating cash flow generation and a niche market position in vacuum containers provide a solid base for reinvestment and margin resilience.

• Dual‑channel growth: Domestic market share gains plus expansion into export markets and OEM channels support diversified demand sources.
• CapEx profile: Annual capital spending (RMB 120-180 mn in the near term) signals capacity build‑out and automation investments to improve throughput and lower unit costs.
• Cash generation: Operating cash flow rising from RMB 150 mn (2023) to ~RMB 300 mn (2026e) provides internal funding for CapEx and potential balance‑sheet flexibility.
• Margin & efficiency tailwinds: Rising EPS and ROE reflect expected margin improvement from scale, product mix optimization, and better asset utilization.