**Title:** "Navigating Challenges: HOFT's Financial Landscape Reveals Opportunities Amidst Market Headwinds"

Financial Report Performance

Huoke Furniture (HOFT) recorded a total operating revenue of RMB104,460,000 on February 2, 2025. Although there is no data on the total operating revenue in 2024, by analyzing other financial indicators, the trend of the company's operating revenue can be inferred. It is worth noting that the gross profit was RMB24,330,000, with a gross margin of 23.25%. In addition, the company's marketing and management expenses were high at RMB26,107,000, while the net cash flow from operating activities was RMB-23,016,000, indicating that the company faces pressure in negative cash flow in its daily operations. These factors may affect the company's future revenue growth.

Key Financial Data

1. The total operating revenue was RMB104,460,000, indicating the company's basic situation in sales.

2. The gross profit was RMB24,330,000, with a gross margin of 23.25%, showing the company's ability to control costs.

3. The marketing, sales, and general management expenses were RMB26,107,000, which may put pressure on net profit.

4. The net cash flow from operating activities was RMB-23,016,000, indicating the company's challenge in negative cash flow in its daily operations.

5. The total operating revenue in 2024 decreased by about 12.91% compared to 2023, reflecting the severe market environment.

Peer Comparison

1. Industry-wide analysis: The furniture industry has experienced market demand fluctuations in the past year, with varying degrees of changes in overall operating revenue. If the industry's overall sales decline, Huoke Furniture's operating revenue may also be affected. According to the forecast in 2025, the overall growth rate of the furniture industry may be negative, with a significant impact from the sluggish real estate market.

2. Peer evaluation analysis: Compared with other peers (such as IKEA, Ashley Furniture, etc.), Huoke Furniture's operating revenue performance may be lower than the industry average, indicating its lack of market competitiveness. The operating revenue in 2024 was US$293 million, down 12.91% year-on-year, showing the company's market challenges.

Conclusion

Huoke Furniture's operating revenue performance in February 2025 shows a certain stability, but without comparative data, it is difficult to accurately judge the year-on-year change. The high marketing and management expenses and the current negative cash flow may constrain the company's future growth. The changes in the overall industry environment also have potential impacts on the company's operating revenue.

Opportunities

1. With the consumption stimulus of national policies, the furniture industry may see a rebound in sales data in certain months, providing potential sales opportunities for the company.

2. The growing demand for high-quality furniture and environmental protection policies may drive the sales of related products, providing market expansion opportunities for Huoke Furniture.

3. If the company can adjust its marketing strategy to cope with market changes, it may improve its market competitiveness.

Risks

1. Negative operating cash flow may lead to liquidity risks for the company in the future, affecting its daily operations.

2. High marketing and management expenses may continue to squeeze the company's net profit margin, affecting its financial health.

3. The overall downward trend of the industry may further pressure Huoke Furniture's market position, leading to a lack of revenue growth.