Share count
63Mpeak FY2025
← All companies ← ZIM Manual ZKH → ← WOR Building Products
ZJK, ZJK Industrial Co. Ltd.
Building Products capital-intensive
ZJK Industrial Co. Ltd. is a company incorporated outside the mainland China.
The implementation rules define the term "de facto management body" as the body that exercises full and substantial control over and overall management of the business, production, personnel, accounts and properties of an enterprise.
The business
What it sells, where the money comes from, the kind of company it is.
Revenue · FY2025
$56M
+48.4% YoY · 31% 3-yr CAGR
Vital signs · TTM, with 4-yr average
Revenue $56M 4-yr avg $37M
The business in brief
read the 10-K →What this business is and what moves its needle, from its own SEC filings.
- What it is
- Revenue is Third Party Sales (64%) and Related Party Sales (36%).
- What moves the needle
- Gross margin has run about 36% and operating margin about 17% through the cycle, a solid spread between what it charges and what the product costs to make. The operating margin has swung widely — from 4.3% to 25% — on a steadier 36% gross margin, so what moves it sits below the gross line, in operating spend and one-off charges more than in the cost of the product itself. Inventory runs near 19% of sales, so how fast it turns back into cash — and the risk of writing it down when demand softens — sits alongside the margin. On its own account, the filing leans hardest on customer concentration, set against the numbers in what the filing emphasizes, below.
- Is it a good business?
- Return on capital has run high across the record (median 24%, above 15% in 2 of 3 years). Whether these returns reflect real pricing power or an accounting artifact is the judgment the 10-K is for.
Every line is arithmetic on the company's filings, shown in full in the sections below.
Where the money comes from
read the 20-F →Third Party Sales is 64% of revenue, with Related Party Sales the other meaningful line at 36%.
Revenue by product line, FY2025
- Third Party Sales64%$36M
- Related Party Sales36%$20M
By geographyChina58%Taiwan29%Singapore10%Others2%Americas1%
From the segment footnote of the company's own 20-F. Shares are of total revenue; the profit bar shows each segment's share of segment operating profit, before unallocated corporate costs.
The record
Ten years of arithmetic, read across the cycle.
The record, 2022–2025
realized figures from each filing · older years to the left| 2022’22 | 2023’23 | 2024’24 | 2025’25 | TTMTTMDec 2025 | |
|---|---|---|---|---|---|
| Income statement | |||||
| $25M | $29M | $38M | $56M | $56M | RevenueRevenue |
| 36% | 38% | 36% | 44% | 44% | Gross marginGross mgn |
| $6M | $6M | $2M | $9M | $9M | Operating incomeOp. inc. |
| 25.3% | 21.6% | 4.3% | 16.9% | 16.9% | Operating marginOp. mgn |
| $7M | $8M | $4M | $10M | $10M | Net incomeNet inc. |
| 13% | 14% | 26% | 27% | 27% | Effective tax rateTax rate |
| Cash flow & returns | |||||
| $815K | $4M | $5M | $7M | $7M | Operating cash flowOp. cash |
| $387K | $504K | $561K | $762K | $762K | DepreciationDeprec. |
| ($7M) | ($4M) | $1M | ($4M) | ($4M) | Working capital & otherWC & other |
| — | 29% | 7% | 24% | 24% | ROICROIC |
| — | 35% | 12% | 23% | 23% | Return on equityROE |
| — | 35% | 12% | 23% | 23% | Retained to equityRetained/eq |
| Balance sheet | |||||
| — | $3M | $15M | $17M | $17M | Cash & investmentsCash+inv |
| — | $10M | $10M | $16M | $16M | ReceivablesReceiv. |
| — | $5M | $7M | $12M | $12M | InventoryInvent. |
| — | $11M | $15M | $18M | $18M | Accounts payablePayables |
| — | $4M | $3M | $10M | $10M | Operating working capitalOper. WC |
| — | $29M | $43M | $60M | $60M | Current assetsCur. assets |
| — | $16M | $24M | $32M | $32M | Current liabilitiesCur. liab. |
| — | 1.8× | 1.8× | 1.9× | 1.9× | Current ratioCurr. ratio |
| — | $38M | $55M | $80M | $80M | Total assetsAssets |
| — | ($3M) | ($15M) | ($17M) | ($17M) | Net debt / (cash)Net debt |
| 50.6× | 57.6× | 108.4× | 398.8× | 398.8× | Interest coverageInt. cov. |
| — | $22M | $30M | $43M | $43M | Shareholders’ equityEquity |
| Per share | |||||
| 60.0M | 60.0M | 60.3M | 62.6M | 61.4M | Shares out (diluted)Shares |
| $0.41 | $0.48 | $0.63 | $0.90 | $0.91 | Revenue / shareRev/sh |
| $0.12 | $0.13 | $0.06 | $0.16 | $0.17 | EPS (diluted)EPS |
| — | $0.36 | $0.50 | $0.69 | $0.71 | Book value / shareBVPS |
Per-share growththe realized rate an owner's share compounded
| 3-yr | 5-yr | |
|---|---|---|
| Revenue / share | +29.4%/yr | +29.4%/yr (3-yr) |
| EPS | +10.2%/yr | +10.2%/yr (3-yr) |
| Book value / share | +38.5%/yr (2-yr) | +38.5%/yr (2-yr) |
The record, charted
FY2022–2025Each measure over its full record; the current point and the worst year marked.
ROIC
24%low FY2024
Gross margin
44%low FY2024
Where the cash went
ReinvestBuybacksDividendsAcquisitionsRetainedEach year's operating cash, by what management did with it: the mix, and how it drifts.
FY2022FY2025
Quality & stewardship
Returns, the balance sheet, capital allocation, and pay.
Owner’s Scorecard
FY2025 20-F · source on SEC EDGAR →
Will it survive?
- Can it pay its interest? 398.8×ComfortableOperating income $9M ÷ interest expense $24K
What this means
Operating profit covers interest with the kind of margin Graham wanted for a defensive holding. Necessary, not sufficient, it says solvent, not cheap.
- Net cash, debt-freeCash $14M + ST investments $2M − debt $0
What this means
Cash and short-term investments exceed every dollar of debt by $17M, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
- TightDSO 104 + DIO 140 − DPO 211 days
What this means
Days cash is tied up between paying suppliers and collecting from customers. Lower is better; a long cycle means growth itself eats cash.
Is it a good business?
- Not enough dataIndustry peers: median 11%
What this means
The filing data didn't include the inputs for this check.
- Not enough dataIndustry peers: median 8%
What this means
The filing data didn't include the inputs for this check.
- Mostly cash-backedCash from ops $7M ÷ net income $10M
In the filing’s words Read against the cash, reported earnings have run ahead of the operating cash the business generated over the record — about 5% of assets a year, among the widest gaps in the catalogue. For an inventory- or content-heavy grower that can be cash tied up in real assets as it expands; elsewhere it can mean the earnings lean on accounting estimates — the cash-flow statement against the income statement is where to tell which.
What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.
How is the cash used?
- Not enough data
What this means
The filing data didn't include the inputs for this check.
- Investing or harvesting? —Not enough data
What this means
The filing data didn't include the inputs for this check.
Graham’s defensive tests · 0 of 2 met
Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.
- Adequate size MissRevenue ≥ $2B · $56M
What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
- Strong liquidity NearCurrent ratio ≥ 2× · 1.85×
What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
- Moderate price —P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price
What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $0.11/share (latest year $0.16), the averaged base the calculator's gate runs on, and book value is $0.68/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.
Durability & moat, 2022–2025
Whether the record’s returns held, and what the capital reinvested earned.
- Profitable years 4 of 4
What this means
Never lost money over the record, the earnings stability Graham insisted on.
- Operating margin 23% → 11% (2-yr avg ends)
In the filing’s words The words explain the slip: the filing names price competition rather than pricing actions of its own — a business that looks to take its price, not set it.
What this means
Through the cycle the operating margin slipped — about 23% early to 11% lately, median 17% — competition or costs are biting in.
- Worst year 2024 · 4.3% op. margin
What this means
Stayed profitable even in its hardest year, the resilience that survives recessions.
- Share count +1.4%/yr
What this means
The share count is rising, dilution works against you on a per-share basis.
Does AI threaten the moat?
Low contestabilityThe moat is physical, regulated or balance-sheet-funded, the kind AI cuts costs within but does not contest.
In its own filing Raised, but not as a competitor
The filing raises AI among its risks, but in other terms (security, regulation, energy or the like), not as a competitor to its product; it frames AI mainly as a capability.
AI is unlikely to contest a moat that is physical, regulated or balance-sheet-funded; here it reads more as a cost tool than a threat, and the company is using it that way.
Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.
All figures as filed; the source filing is linked above.
Current Position
as of fiscal year-end, Dec 31, 2025Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.
Current assets$60M
- Cash & short-term investments$17M
- Receivables$16M
- Inventory$12M
- Other current assets$15M
Current liabilities$32M
- Accounts payable$18M
- Other current liabilities$14M
Current ratio1.85×all current assets ÷ what's due · Graham looked for 2×
Quick ratio1.48×stricter: inventory excluded
Cash ratio0.52×strictest: cash alone against what's due
Working capital$27Mthe cushion left after near-term bills
Deeper floors
Tangible book value$43Mequity stripped of goodwill & intangibles
Net current asset value$24MGraham's net-net: current assets less all liabilities
Debt incl. operating leases$726K$726K of it operating leases
From the company's latest filing.
Peers, Building Products
The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.
| Company | Revenue | Gross margin | Op. margin | ROIC | Owner earn. margin |
|---|---|---|---|---|---|
| MECMayville Engineering Company Inc. | $546M | 11% | 3.0% | -1% | 5% |
| RGRSturm Ruger & Company Inc. | $546M | 28% | 14.1% | 26% | 9% |
| PRLBProto Labs Inc. | $533M | 48% | 11.0% | 7% | 15% |
| SWBISmith & Wesson Brands Inc. | $524M | 32% | 9.3% | 11% | 8% |
| NPKNational Presto Industries Inc. | $504M | 22% | 13.2% | 11% | 7% |
| XPELXPEL Inc. | $476M | 38% | 14.4% | 31% | 8% |
| ZJKZJK Industrial Co. Ltd. | $56M | 37% | 19.2% | 24% | — |
| SMRNuScale Power Corporation | $31M | 38% | -2069.5% | -164% | -1370% |
| Group median | — | 34% | 12.1% | 11% | — |
The price
What a price has to assume.
What the price implies
reverse-DCFEnter the US price, in dollars: the NYSE/Nasdaq quote you hold. ZJK Industrial Co. Ltd.'s US listing is the ordinary share itself. The record tables elsewhere on this page remain as filed.
ZJK Industrial Co. Ltd. is profitable, but its owner-earnings base could not be formed from this filing’s tagged data (operating cash flow or capital spending is missing), so the owner-earnings reverse-DCF has no base to grow. We read the price from both ends instead: type a price to see the profitability it demands, then set the mature margin you would believe and weigh the two against each other. Nothing leaves your browser unless you enter it in your notebook.
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The assumptions
Revenue, delivered31%/yr’22→’25
Enter a price to run it.
Owner earnings it must reach—
Margin the price demands—
Owner-earnings margin today—
A dated snapshot of the price you typed, the assumptions you set, and what the page showed for them. A snapshot is never edited after it is saved. Your notebook is yours alone — the commitment states what is stored and what we will never do.
Two reads of one future. From your price: the owner earnings the company must reach, valued at a mature multiple and discounted back at your rate, expressed as the margin it implies on revenue grown at your rate. From your belief: the mature margin you would credit, set on the dial above. When the margin the price demands runs above the one you would believe, you are paying for a future taken on faith. For a deep cyclical at a trough, normalized through-cycle earnings are the better lens; this mode is for the genuinely unprofitable, and for the profitable business whose capital spending currently outruns its cash.
Cite: Owner Scorecard, "ZJK Industrial Co. Ltd. (ZJK), the owner's record," https://ownerscorecard.com/c/ZJK, data as of 2026-07-09.
Manual order: ← ZIM its page in the Manual ZKH →
Industry order: ← WOR the Building Products chapter