Gehua Cable (stock code: 600037) is a company operating in the cable TV industry, mainly engaged in the development, management and maintenance of Beijing radio and television network, as well as providing radio and television program transmission, network information services, video-on-demand services, as well as Internet access services based on cable television networks, Internet data transmission value-added services, and so on. In recent years, the company has actively promoted the transformation of cable television, from analog to digital, from one-way to two-way, from standard definition to high definition, and from watching TV to using TV. The company continues to strengthen technological innovation, expand network coverage, enrich program content, improve service level and user experience, and achieve stable and healthy development.

According to Gehua Cable's 2023 mid-term report, the total assets at the end of the period were 159 billion yuan, down from 1620 billion yuan at the beginning of the period. The total balance at the end of the period was 3.027 billion yuan, which was also lower than that of 3.056 billion yuan at the beginning of the period. This shows that the size of the company's assets and liabilities has shrunk to some extent. At the same time, the company's asset-liability ratio rose from 18.92% at the beginning of the period to 19.01% at the end of the period, although the increase is small, but it indicates that the debt pressure of the company has increased.

In terms of profitability, the company's gross profit margin increased from 8.91% in the same period last year to 13.77% in the current reporting period, indicating that the profitability of the company's main business has improved. However, the net interest rate dropped from 4.65% in the same period last year to-9.77% in the current reporting period, and the net profit decreased from 501 million yuan in the same period last year to-107 million yuan in the current reporting period, indicating a decline in the company's overall profitability, mainly due to a large year-on-year decline in the fair value of Guigang network shares held by the company.

The company's return on equity (ROE) fell from 0.4% at the beginning of the period to-0.82% at the end of the period, indicating that the company's return on equity has declined and may be less attractive to investors. The end-of-period balance of goodwill is 1.3 million yuan, which is the same as the beginning balance, indicating that the company did not carry out large-scale mergers and acquisitions during the reporting period.

Generally speaking, Gehua Cable actively promotes business transformation and strives to improve service level and user experience in the face of industry challenges, but due to a large year-on-year decline in the fair value of Guiguang network shares held by Gehua Cable, this has led to a decline in the company's overall profitability. In the future, the company needs to further optimize its business structure and improve its profitability to cope with the challenges brought by industry competition and market changes.

For investors, they can follow the progress of Gehua Cable's business transformation and the recovery of profitability in order to make more accurate investment decisions.

This article only represents the judgment made by the analyst himself or the analyst on the basis of AI analysis, and can not be used as any investment index, nor does it constitute any investment advice. The original intention of this paper is to help investors analyze and judge the capital market data in the most intuitive and fast way and from the most professional perspective.