Regulatory Overview Legal and Operation Risks CXJ Group Co., Limited ( ECXJ , us , the Company or we ) is a United States holding company primarily operating in China through its PRC WFOE subsidiary CXJ (Shenzhen) Technology Co., Ltd. ( SZ CXJ ). In order to operate its business in PRC and to comply with PRC laws and regulations that prohibit or restrict foreign ownership of companies that prov…
The business is unprofitable at the operating level (-490.50% margin). The thesis depends entirely on whether and when it reaches sustainable profitability.
Revenue declined 80.2% YoY. Margins deteriorated 398.5pp alongside, both lines moving the wrong way.
ROIC dropped from -113.95% to -750.54%, capital efficiency is deteriorating. Negative free cash flow of -$419K. The business is consuming cash, not generating it.
Profitability & Returns
Revenue (TTM)
$481K
▼ -80.2% YoY
Net Income (TTM)
-$2M
▼ -6.9% YoY
Op. Margin
-474.21%
▼ -398.5pp YoY
ROIC
-5680.19%
▼ -636.6pp YoY
Cash Flow & Balance Sheet
FCF (FY)
-$419K
▲ +29.4% YoY
Op. Cash Flow (FY)
-$419K
▲ +29.1% YoY
Net Debt
-$111K
Net Cash Position
Cash & Equiv.
$145K
5Y CAGR: -10.6%
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