JCT Key Ratios

The ROE exhibited significant volatility, reflecting a stark decline during 2009-2010, primarily driven by a negative PAT margin as the company faced operational challenges.Post 2010, the ROE rebounded strongly as both PAT margin and asset turnover improved dramatically, indicating a successful efficiency restructuring and profitability recovery.Leverage increased consistently, yet during the sharp losses, it substantially contributed to the negative ROE, illustrating the dangers of high leverage amidst poor profitability.

Inventory days have consistently decreased from 91.5 to 69.7, indicating improved inventory management and quicker stock turnover, enhancing liquidity.Receivable days displayed slight variability but remained relatively stable, implying consistent collection practices despite challenges in the market.The negative cash conversion cycle from 2010 to 2011 suggests that the company was managing to pay suppliers faster than it collected from customers, which could imply strategic supplier negotiations but raises concerns over working capital management.Overall, while efficiency in inventory management is positive, the disparity in receivable and payable days warrants attention.

The ROE peaked at 114.11 in 2011, driven by a (turnaround) increase in PAT margin, illustrating strong equity efficiency after significant losses in prior years.ROCE and ROA both indicate similar recovery patterns with ROCE at 19.85 in 2011, showcasing that with reduced debt costs, capital efficiency has improved alongside asset management.The fact that ROA has recovered to 7.01 indicates overall asset deployment improvements, but the growth in leverage remains a point of concern for sustained returns.