China Minzhong Food Corporation

[freedom]

balance sheet is just a snapshot. a lot of current items can be distorted to quite extreme. e.g. if you just harvested your vegetables or bought from locals on 31st Mar, you would record significant higher inventory. the same goes to receivable/cash/payable/short term debt. one day does make a difference sometimes. But, persistently higher inventory, declining receivable collect-ability, higher debt, would mean totally different thing. Anyway, next quarterly report would say a lot about its business performance.

The expansion of CMZ is not sustainable to me. I don't know what the CFO is thinking. How could a negative FCF company expand too much? It would make more sense to slow down and strengthen the balance sheet then expand.