Strong Balance Sheet / Low LeverageVery high equity ratio and minimal debt provide durable financial flexibility, enabling the company to fund operations, capex or strategic initiatives without heavy interest burden. Low leverage also supports resilience in downturns and underpins contract-manufacturing credibility.
Contract Manufacturing And Diversified Revenue StreamsA dual model of proprietary brands plus contract manufacturing creates stable, multi-channel revenue. Scale manufacturing capability and distributor/retailer partnerships lower unit costs and reduce customer concentration, supporting steady demand and long-term margin potential.
Improving Gross Profit MarginA notable gross margin improvement indicates better cost control or a favorable product mix, which is a structural lever for restoring profitability. Sustained higher gross margins improve the chance of recovering operating profits if SG&A is managed consistently.