FOR Latest Report

Financial Performance

Forrest's operating revenue totaled RMB250.4 million as of December 31, 2024, a YoY decrease of 18.08% from RMB305.9 million as of December 31, 2023. This change reflects a significant decline in the company's operating revenue, which may negatively impact its overall profitability.

Key Financial Data

1. Decline in Operating Revenue: Operating revenue in 2024 was RMB250.4 million, a YoY decrease of 18.08% from RMB305.9 million in 2023.

2. Change in Sales Cost: Sales cost decreased from RMB233 million to RMB195.4 million, indicating a reduction in costs.

3. Risk of Declining Gross Margin: Although sales cost has decreased, the decline in operating revenue is greater, which may lead to a decline in gross margin.

4. Weak Demand: The decline in operating revenue may be related to a decrease in market demand, weakened product competitiveness, adjustments in sales strategies, increased competition, and external economic uncertainties.

5. Overall Industry Performance: The overall industry in 2024 may face pressure from economic slowdowns, with a general decline in sales, reflecting a shrinking overall market demand.

Peer Comparison

1. Overall Industry Analysis: The overall industry in 2024 may face pressure from economic slowdowns, with operating revenue generally affected. Sales in the industry generally declined, reflecting a shrinking overall market demand.

2. Peer Evaluation Analysis: Forrest's operating revenue decline was significant, which may indicate poor performance in the industry, and its market competitiveness and product innovation capabilities need to be monitored.

Summary

Forrest faces a significant challenge in 2024 with a significant decline in operating revenue, reflecting both weak market demand and increased competition. Although the company is trying to reduce costs, the decrease in revenue may affect its overall profitability and market position.

Opportunities

1. Market Demand Recovery: According to the financial report, Forrest's profitability improved in the first quarter of 2025, which may indicate that market demand is recovering.

2. Land Resource Reserves: Forrest has good land resource reserves, which provides a foundation for future market demand growth.

3. Product Innovation Potential: If the company can effectively adjust its market strategy or launch new products, it may regain competitiveness and improve revenue levels.

Risks

1. Increased Competition: Competitors in the industry are fighting for market share through price cuts and promotional strategies, which may put more pressure on Forrest.

2. Economic Environment Uncertainty: Macroeconomic uncertainties may continue to affect consumer spending, which in turn affects the company's sales performance.

3. Declining Profitability: If operating revenue continues to decline, the company's overall profitability may face serious challenges.