Eoptolink's Half-Year Report: Revenue Doubles, but Profit Quality Shrinks

Eoptolink's half-year report shows revenue doubling and net profit of 7.5 billion, with impressive figures, but the market cast a dissenting vote with a 2% decline the next day. Money was earned but didn't come back—only 20 yuan of every 100 yuan in profit turned into cash; gross margin peaked and is now quietly declining, with 1.6T ramping up squeezing profits from both ends; R&D spending is only 2.1% of revenue, casting doubt on the depth of its moat.