**Title: "TechPrecision's Financial Struggles: A Tidal Wave of Rising Costs and Market Challenges"**

Financial Performance Review

TechPrecision (stock code: TPCS) recorded an operating income of US$7.622,000 in total for the year ending December 31, 2024, a decrease of 0.11% from US$7.650,000 in the same period of 2023. Despite the slight decline in operating income, the negative value indicates ongoing challenges in the company's operations.

Key Financial Data

1. Increased Sales Costs: Sales costs increased to US$6.631,000 in 2024 from US$6.489,000 in 2023, up 2.94%, squeezing gross profit.

2. Worsened Net Profit: The net profit in 2024 was US$-799,000, although it improved from US$-865,500 in 2023, still showing the company's ongoing operating difficulties.

3. Reduced Marketing Expenses: Marketing, sales, and general management expenses were US$1.687,000 in 2024, down 21.78% from US$2.157,000 in 2023, but failed to effectively boost operating income.

4. Weak Market Demand: Changes in the overall market environment affected the company's sales performance, leading to a failure to achieve growth in operating income.

Peer Comparison

1. Industry-wide Analysis: In the current economic environment, many technology companies face the double pressure of slowing sales and rising costs, affecting the overall industry's operating income, putting the company at a disadvantage in competition.

2. Peer Evaluation Analysis: Compared with other companies in the industry, TechPrecision's operating income performance is poor, showing relatively weak market competitiveness and insufficient customer demand. Other companies in the industry may resist economic uncertainty through innovation and market expansion, while tpcs failed to effectively address these challenges.

Conclusion

The analysis shows that TechPrecision's operating income slightly decreased mainly due to the increase in sales costs and weak market demand. Meanwhile, although the net loss has decreased, the overall operating environment remains bleak. The company has achieved some success in reducing marketing expenses, but failed to effectively translate it into growth in operating income.

Opportunities

1. Through optimizing product mix and improving production efficiency, techprecision has the opportunity to improve overall performance.

2. Finding new markets and customers, especially outside of electronic consumer goods, may bring new sources of revenue for the company.

3. Investing in technological innovation and product upgrades may help the company regain its competitive edge.

Risks

1. Continued weak market demand may lead to further revenue decline, affecting the company's survival.

2. Intense competition may further squeeze gross margins, affecting net profit.

3. Dependence on cyclical customer orders in CDMO business may face uncertainty, leading to increased revenue volatility.