RDAC Latest Report

Financial Analysis of Rising Dragon

Based on the 2024 financial data of Rising Dragon (stock code: RDAC), the company's operating revenue was -235283 yuan, indicating that the company faced operational difficulties with operating expenses exceeding revenue, resulting in a loss. The pre-tax profit and net profit were both 307763 yuan, indicating that the company did not achieve profitability. Current assets were RMB 455679, total liabilities were RMB 1891250, and the asset-liability ratio was 3.22%, showing a relatively stable financial structure but with a high proportion of current liabilities, which may affect short-term solvency. The net cash flow from operating activities was -326033 yuan, further reflecting the cash flow pressure of the company.

Key Financial Data

1. The operating revenue in 2024 was -235283 yuan, indicating that the company suffered a loss in that year.

2. Operating expenses were RMB 235283, exceeding operating revenue, resulting in negative operating revenue.

3. The pre-tax profit and net profit were both RMB 307763, indicating that the company did not achieve profitability.

4. Current assets were RMB 455679, total liabilities were RMB 1891250, and the asset-liability ratio was 3.22%.

5. The net cash flow from operating activities was -326033 yuan, indicating poor cash flow.

Industry Comparison

1. Industry-wide analysis: In 2024, Rising Dragon occupied over 40% of the market share in the Chinese OEM advanced driving assistance market, showing its competitiveness in a rapidly developing industry. However, if other companies in the industry generally achieve profitability and revenue growth, Rising Dragon's negative operating revenue would appear more fragile.

2. Peer evaluation analysis: Rising Dragon's operating revenue was negative, compared to other companies in the industry such as Hikvision, which had an operating revenue of RMB41.21 billion in the first half of 2024, up 10% YoY, indicating that Rising Dragon's financial situation was fragile and its future business strategy and market environment needed attention.

Conclusion

Through the financial analysis of Rising Dragon, it can be seen that the company faced significant operational pressure in 2024, with negative operating revenue and negative net cash flow reflecting the need for the company to re-examine its business strategy and cost control measures. Meanwhile, in comparison with other companies in the industry, Rising Dragon's performance was not ideal, requiring investors' attention.

Opportunities

1. Holding a large market share in the Chinese OEM advanced driving assistance market may provide a foundation for future revenue growth.

2. The industry's rapid development may help improve the company's performance with the rise in market demand.

3. If effective cost control and cash flow improvement can be achieved, the company has the potential to gradually restore profitability.

Risks

1. Negative operating revenue and poor cash flow may put the company under greater financial pressure.

2. Intensified competition in the industry, especially from Huawei, Baidu, etc., may affect market share and profitability.

3. High debt levels may affect the company's financing ability and increase operational risks.