Eagle Eye Warning: Beiren Technology's accounts receivable growth rate exceeds revenue growth rate

Sina Finance Listed Company Research Institute | Earnings Hawk-Eye Early Warning

On April 1, Beizhi Technology released its 2025 annual report, and the audit opinion is a standard unqualified audit opinion.

The report shows that the company’s operating revenue for the full year 2025 was RMB 2.11B, up 2.13% year over year; net profit attributable to the parent was RMB 172 million, up 1.3% year over year; net profit after deducting non-recurring items attributable to the parent was RMB 168 million, up 2.97% year over year; and basic earnings per share were RMB 1.06 per share.

Since the company went public in January 2024, it has carried out cash dividends twice, with total implemented cash dividends of RMB 188 million.

The listed company earnings hawk-eye early warning system conducts an intelligent quantitative analysis of Beizhi Technology’s 2025 annual report across four major dimensions: performance quality, profitability, capital pressure and safety, and operating efficiency.

I. Performance Quality

During the reporting period, the company’s revenue was RMB 2.11B, up 2.13%; net profit attributable to the parent was RMB 172 million, up 1.3%; and net cash flow from operating activities was RMB 145 million, up 0.35%.

From the overall performance perspective, it is necessary to focus on:

• The year-on-year growth rate of net profit attributable to the parent continues to decline. In the past three annual reports, the year-on-year changes in net profit attributable to the parent were 18.89%, 9.58%, and 1.3% respectively, and the downward trend continues.

• The year-on-year growth rate of net profit after deducting non-recurring items attributable to the parent continues to decline. In the past three annual reports, the year-on-year changes in net profit after deducting non-recurring items attributable to the parent were 21.29%, 9.96%, and 2.97% respectively, and the downward trend continues.

From the ratio of revenue, costs, and period expenses, it is necessary to focus on:

• Operating revenue and taxes and surcharges move in opposite directions. During the reporting period, operating revenue’s year-on-year change was 2.13%, while taxes and surcharges’ year-on-year change was -11.79%; operating revenue and taxes and surcharges moved in opposite directions.

In light of the quality of operating assets, it is necessary to focus on:

• The growth rate of notes receivable is higher than the growth rate of operating revenue. During the reporting period, notes receivable increased by 66.8% compared with the beginning of the period, while operating revenue increased by 2.13% year over year; the growth rate of notes receivable is higher than the growth rate of operating revenue.

• The growth rate of accounts receivable is higher than the growth rate of operating revenue. During the reporting period, accounts receivable increased by 40.34% compared with the beginning of the period, while operating revenue increased by 2.13% year over year; the growth rate of accounts receivable is higher than the growth rate of operating revenue.

In light of cash flow quality, it is necessary to focus on:

• The ratio of net cash flow from operating activities to net profit is below 1. During the reporting period, the ratio of net cash flow from operating activities to net profit was 0.842, below 1, indicating weaker earnings quality.

II. Profitability

During the reporting period, the company’s gross margin was 18.38%, up 3.31% year over year; net profit margin was 8.18%, down 0.81% year over year; and return on equity (weighted) was 10.77%, down 7.87% year over year.

Based on the company’s operating side and earnings, it is necessary to focus on:

• The net sales profit margin continues to decline. In the past three annual reports, the net sales profit margin was 8.33%, 8.25%, and 8.18% respectively, and the trend continues downward.

• Gross margin on sales continues to grow, while net sales profit margin continues to decline. In the past three annual reports, the gross margin on sales was 17.27%, 17.79%, and 18.38% respectively, showing continued growth; meanwhile, the net sales profit margin was 8.33%, 8.25%, and 8.18% respectively, showing continued decline.

In light of the company’s asset side and earnings, it is necessary to focus on:

• Return on equity continues to decline. In the past three annual reports, the weighted average return on equity was 25.26%, 11.69%, and 10.77% respectively, and the trend continues downward.

III. Capital Pressure and Safety

During the reporting period, the company’s asset-liability ratio was 65.03%, up 5.79% year over year; the current ratio was 1.39, and the quick ratio was 0.81; total debt was RMB 50.3088 million, of which short-term debt was RMB 50.3088 million—short-term debt accounted for 100% of total debt.

From the perspective of capital management and control, it is necessary to focus on:

• The ratio of interest income to cash and cash equivalents is less than 1.5%. During the reporting period, cash and cash equivalents were RMB 950 million, short-term debt was RMB 6.07M, and the average ratio of interest income to cash and cash equivalents was 0.71%, below 1.5%.

• Advance payments show significant changes. During the reporting period, advance payments were RMB 420 million, with a change rate of 72.08% compared with the beginning of the period.

• The growth rate of advance payments is higher than the growth rate of operating costs. During the reporting period, advance payments grew by 72.08% compared with the beginning of the period, while operating costs increased by 1.4% year over year; the growth rate of advance payments is higher than the growth rate of operating costs.

• The ratio of other receivables to current assets continues to grow. In the past three annual reports, the ratio of other receivables to current assets was 0.97%, 1.02%, and 1.13% respectively, showing continued growth.

• Accounts payable notes show significant changes. During the reporting period, notes payable were RMB 40 million, with a change rate of 194.96% compared with the beginning of the period.

From the perspective of capital coordination, it is necessary to focus on:

• Net cash flow from operating activities cannot meet the funding needs for capital expenditures; financing channels are tightening. During the reporting period, the sum of net cash flow from operating activities and net cash flow from investing activities was -RMB 9.33M, and net cash flow from financing activities was -RMB 90.41687 million; operating activities could not cover the investment-related funding needs, and financing channels are tightening.

IV. Operating Efficiency

During the reporting period, the company’s accounts receivable turnover ratio was 4.03, down 14.02% year over year; inventory turnover ratio was 1, up 1.22%; and total asset turnover ratio was 0.48, down 12.02% year over year.

From the perspective of long-term assets, it is necessary to focus on:

• Construction in progress shows significant changes. During the reporting period, construction in progress was RMB 210 million, up 462.05% compared with the beginning of the period.

From the perspective of the “three expenses” (selling, general & administrative, and R&D), it is necessary to focus on:

• The ratio of selling expenses to operating revenue continues to grow. In the past three annual reports, the ratio of selling expenses to operating revenue was 1.73%, 2.06%, and 2.09% respectively, showing continued growth.

Click Beizhi Technology’s Hawk-Eye early warning to view the latest details of the warnings and a visual preview of the financial report.

Introduction to Sina Finance’s listed company earnings hawk-eye early warning: The listed company earnings hawk-eye early warning is a professional, intelligent analytical system for listed company financial reports. Hawk-Eye early warning, by bringing together large numbers of authoritative financial experts such as accounting firms and listed companies, tracks and interprets the latest financial reports of listed companies across multiple dimensions—including company earnings growth, earnings quality, capital pressure and safety, and operating efficiency—and uses charts and text to highlight potential financial risk points. It provides professional, efficient, and convenient technical solutions for financial institutions, listed companies, regulatory authorities, and others to identify and issue early warnings for financial risks of listed companies.

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Editor: Xiao Lang Express News