Revenue contraction of 31.0% year-over-year in 2025Q4 combined with gross margin compression to 18.0% highlights the company's struggle to maintain pricing power.
Leishen Energy Holding Co., Ltd. (LSE) annual income statement — 5-year revenue, gross profit & net income history
| Metric | TTM | Sep'25 | Sep'24 | Sep'23 | Sep'22 | Sep'21 |
|---|
| Sales/Revenue | 98.5M | 48.34M | 69.07M | 73.08M | 46.72M | 31.26M |
| Revenue Growth % | - | -30.02% | -5.49% | 56.44% | 49.46% | - |
| Cost of Goods Sold | 79.6M | 39.81M | 53.04M | 54.71M | 33.18M | 22.23M |
| COGS % of Revenue | - | 82.36% | 76.79% | 74.85% | 71.03% | 71.13% |
| Gross Profit | 18.9M | 8.53M | 16.03M | 18.38M | 13.54M | 9.02M |
| Gross Margin % | - | 17.64% | 23.21% | 25.15% | 28.97% | 28.87% |
| Gross Profit Growth % | - | -46.83% | -12.76% | 35.78% | 49.99% | - |
| Operating Expenses | 16.87M | 10.19M | 8.48M | 6.49M | 5.32M | 2.77M |
| OpEx % of Revenue | - | 21.09% | 12.28% | 8.88% | 11.39% | 8.88% |
| Selling, General & Admin | 16.19M | 6.96M | 8.03M | 6.33M | 5.32M | 2.77M |
| SG&A % of Revenue | - | 14.4% | 11.63% | 8.66% | 11.39% | 8.88% |
| Research & Development | 677.97K | 247.22K | 449.54K | 158.66K | 0 | 0 |
| R&D % of Revenue | - | 0.51% | 0.65% | 0.22% | - | - |
| Other Operating Expenses | 0 | 2.98M | 0 | 0 | 0 | 0 |
| Operating Income | 2.04M | -1.67M | 7.55M | 11.89M | 8.22M | 6.25M |
| Operating Margin % | - | -3.45% | 10.93% | 16.27% | 17.59% | 19.99% |
| Operating Income Growth % | - | -122.06% | -36.49% | 44.71% | 31.48% | - |
| EBITDA | 3.05M | -1.18M | 8.07M | 12.31M | 8.51M | 6.42M |
| EBITDA Margin % | - | -2.44% | 11.68% | 16.85% | 18.22% | 20.53% |
| EBITDA Growth % | - | -114.62% | -34.44% | 44.68% | 32.62% | - |
| D&A (Non-Cash Add-back) | 1.01M | 485.62K | 519.01K | 420.86K | 292.85K | 167.35K |
| EBIT | 5.06M | 840.75K | 8.23M | 12.43M | 7.78M | 5.85M |
| Net Interest Income | 2.98M | 75.42K | -57.02K | -67.96K | -42.56K | 0 |
| Interest Income | 3.11M | 146.62K | 0 | 0 | 0 | 0 |
| Interest Expense | 131.21K | 71.19K | 57.02K | 67.96K | 42.56K | 0 |
| Other Income/Expense | -1.1M | 2.44M | 623.14K | 473.71K | -480.59K | -404.28K |
| Pretax Income | 937.95K | 769.56K | 8.18M | 12.36M | 7.74M | 5.85M |
| Pretax Margin % | - | 1.59% | 11.84% | 16.92% | 16.56% | 18.7% |
| Income Tax | -1.32M | -508.98K | 184.82K | 729.51K | 1.98M | 1.26M |
| Effective Tax Rate % | -140.86% | -66.14% | 2.26% | 5.9% | 25.57% | 21.52% |
| Net Income | 2.29M | 1.25M | 8.1M | 11.86M | 5.72M | 4.66M |
| Net Margin % | - | 2.6% | 11.72% | 16.23% | 12.25% | 14.89% |
| Net Income Growth % | - | -84.51% | -31.73% | 107.24% | 22.91% | - |
| Net Income (Continuing) | 2.26M | 1.28M | 7.99M | 11.63M | 5.76M | 4.59M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 24.77K | 668.92K | 953.29K | 1.05M | 509.45K |
| EPS (Diluted) | - | 0.08 | 0.48 | 0.70 | 0.34 | 0.28 |
| EPS Growth % | - | -84.33% | -31.43% | 105.88% | 21.43% | - |
| EPS (Basic) | - | 0.08 | 0.48 | 0.70 | 0.34 | 0.28 |
| Diluted Shares Outstanding | 16.79M | 16.68M | 16.88M | 16.88M | 16.88M | 16.88M |
| Basic Shares Outstanding | 16.79M | 16.68M | 16.88M | 16.88M | 16.88M | 16.88M |
| Dividend Payout Ratio | - | - | - | - | - | - |
Quick answers to the most common questions about buying LSE stock.
For fiscal year 2025, Leishen Energy Holding Co., Ltd. (LSE) reported total revenue of $48.3M. This represents a 54.6% increase compared to $31.3M in 2021.
Leishen Energy Holding Co., Ltd. (LSE) is profitable, generating $1.3M in net income for the fiscal year ending 2025 with a net profit margin of 2.6%.
Leishen Energy Holding Co., Ltd. (LSE) reported an operating income of $-1.7M, resulting in an operating profit margin of -3.4%. This margin reflects the operational efficiency of the business before interest and taxes.
Leishen Energy Holding Co., Ltd. (LSE) generated $8.5M in gross profit for the year, representing a gross profit margin of 17.6%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
NOC CAPEX cycle dependency
Persistent Revenue Contraction Trends
As reported in recent financial filings, Leishen Energy experienced a significant 31.0% year-over-year revenue decline in 2025Q4, signaling a sustained contraction that reflects the company's high sensitivity to the capital expenditure cycles of Chinese National Oil Companies and a potential loss of market share in core segments.
The consistent downward trajectory in top-line performance suggests that the company's specialized oilfield equipment is increasingly vulnerable to budget cuts within the energy sector. Investors should monitor whether this decline represents a cyclical trough or a structural shift toward insourcing by major state-owned clients.
Margin Compression Amid Competitive Pressures
Based on the provided income statement data, gross margins have compressed from 26.6% in 2023Q4 to 18.0% in 2025Q4, indicating that the company lacks the pricing power necessary to offset rising input costs or aggressive competitive bidding within the specialized oilfield services and equipment market.
The erosion of gross profitability suggests that the company's niche focus on mature wellhead optimization is being commoditized by larger, more diversified competitors. This margin degradation warrants further investigation into whether the current product mix is shifting toward lower-margin natural gas trading activities.
Operating Leverage Remains Highly Volatile
According to the latest quarterly figures, the company's operating income has demonstrated extreme volatility, swinging from a $6.1M profit in 2024Q2 to a $2.2M loss in 2025Q2, which highlights a lack of operational scale and an inability to effectively absorb fixed manufacturing and R&D overhead costs.
The inability to maintain positive operating margins during periods of revenue contraction suggests that the company's cost structure is too rigid for its current scale. This operational leverage profile implies that profitability will remain highly sensitive to even minor fluctuations in project-based revenue recognition.
Reliance on Non-Operating Income Sources
As evidenced by the discrepancy between operating losses and positive net income in recent periods, Leishen Energy's bottom-line results appear heavily reliant on non-operating items, such as government subsidies or interest income, rather than consistent performance from its core equipment manufacturing and technical engineering service operations.
The reliance on non-operating income to achieve a 2.60% net margin suggests that the underlying business model is currently struggling to generate sustainable organic profit. Analysts should be cautious of these accounting nuances, as they may mask the true earning power of the company's core business segments.