XXF trades margins for growth in sputtering Chinese car market
车市放缓压力急升 喜相逢牺牲利润换增长

The company’s top-line revenue growth hides intensifying profitability pressure as it ramps up its thin-margin car selling business to supplement its higher-margin car leasing
喜相逢表面收入持续增长,但随着其加快拓展低毛利的汽车直接零售业务,以补充毛利率较高的汽车零售及融资业务,盈利压力正不断加剧

At first glance, the latest annual results from XXF Group Holdings Ltd. (2473.HK) seem to show the auto leasing company is faring surprisingly well despite operating in a rapidly stalling Chinese car market. But a closer look at the numbers suggests that it’s facing intensifying profitability pressure as it tries to keep its revenue engine running.

作者梁武仁,本文仅代表作者观点。

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