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olivLaw · US equity research

ZK International Group Co., Ltd. ZKIN

Miscellaneous Fabricated Metal Products · SIC 3490 · Vertical: Miscellaneous Fabricated Metal Products (SIC 3490)

1.61USD−2.42% · 1 dayClose 04 Nov 2026

ZK International makes and supplies stainless steel and carbon steel piping systems and fittings for construction, infrastructure and water and gas networks, mainly in China. In fiscal 2025 the company reported a steep drop in revenue to 71.24 million USD, and weak construction demand and nickel price volatility remain the key factors to watch.

The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).

At the close of 04 Nov 2026, ZK International Group Co., Ltd. (ZKIN) stock was 1.61 USD (−2.42% on the day), with market capitalisation 10.6 m USD, dividend yield 87.58%, beta -0.42, 52-week range 1.01–3.09 USD.

Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.

Market cap
10.6 m USD
shares as of 30 Sept 2025
P/E (TTM)
unavailable
Diluted EPS TTM -0.70 · TTM to 30 Sept 2025
E/P (TTM)
-43.48%
TTM to 30 Sept 2025
Dividend yield
87.58%
DPS 12m 1.41
Beta (2y)
-0.42
Volatility (1y) 111%
52-week range
1.013.09

Price history

Loading chart…

Technical reading

RSI (14)
53.6
neutral
Bollinger (20, 2)
1.30 – 1.84
in the upper half of the band · %B 0.58 · band width 34.2%
SMA 50 / 200
1.49 / 1.46
uptrend (price > SMA50 > SMA200)
MACD (12, 26, 9)
-0.01 / -0.01
MACD above signal

Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).

Performance

CompanyS&P 500vs S&P 500Vertical median
1 month−9.0%−1.1%−7.9 pp—
3 months+47.7%−0.5%+48.2 pp—
6 months+13.4%+4.4%+9.0 pp—
Year to date+7.3%+12.3%−5.0 pp—
1 year−44.7%+13.5%−58.2 pp+9.4%
3 years+209.6%+76.4%+133.2 pp+80.9%
5 years−43.9%+63.7%−107.6 pp—
Max drawdown (1y)
−67.3%
05 Nov 2025 → 18 Aug 2026
Max drawdown (5y)
−86.7%
12 Nov 2021 → 30 Jan 2025
Compound annual growth (5y)
−10.9%
S&P 500 +10.4%

Price returns, dividends excluded.

Quarterly results

ESEF annual reports carry no quarters: the results are annual (below).

E/P over time

E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.

Fiscal years

Fiscal year20182019202020212022202320242025
Revenue54.9 m63.9 m86.8 m99.4 m102.4 m111.6 m108.2 m71.2 m
Revenue YoY+22.1%+16.4%+35.9%+14.5%+3.0%+9.0%−3.0%−34.2%
Net income7.0 m8.1 m-825.6 k-3.8 m-6.1 m-61.1 m-2.8 m-4.0 m
Net income YoY+19.5%+15.5%−110.2%unavailableunavailableunavailableunavailableunavailable
Diluted EPS0.510.49-0.05-0.17-0.21-10.76-0.57-0.70
Diluted EPS YoY−8.9%−3.9%−110.2%unavailableunavailableunavailableunavailableunavailable
net %12.8%12.7%-1.0%-3.8%-5.9%-54.7%-2.6%-5.6%
Free cash flow-3.1 m7.6 m-708.1 k-3.6 m-2.6 m-2.6 m-7.5 m147.8 k

Reported results vs expectations

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Balance sheet & financial health

Fiscal year 2025 · 30 Sept 2025

Cash
2.3 m USD
Financial debt
unavailable USD
Net debt
unavailable USD
Equity
24.6 m USD
Total assets
62.9 m USD
Debt / equity
unavailable
Current ratio
1.44x
ROE
-15.1%
ROA
-5.6%
FCF margin
0.2%

Financial statements (source on every figure)

Revenue and net income (USD)

Margins

Income statement · USD

Revenue
2023
111.6 m
2024
108.2 m
2025
71.2 m

SEC (XBRL)· 04 Feb 2026verified

Cost of revenue
2023
110.3 m
2024
101.7 m
2025
67.2 m

SEC (XBRL)· 04 Feb 2026verified

Gross profit
2023
1.3 m
2024
6.5 m
2025
4.0 m

SEC (XBRL)· 04 Feb 2026verified

Research & development
2023
1.3 m
2024
1.2 m
2025
859.7 k

SEC (XBRL)· 04 Feb 2026verified

Operating income
2023
-60.4 m
2024
-1.7 m
2025
-4.3 m

SEC (XBRL)· 04 Feb 2026verified

Interest expense
2023
1.6 m
2024
1.2 m
2025
330.2 k

SEC (XBRL)· 04 Feb 2026verified

Pre-tax income
2023
-61.8 m
2024
-2.8 m
2025
-4.0 m

SEC (XBRL)· 04 Feb 2026verified

Income tax
2023
-459.9 k
2024
12.1 k
2025
-948

SEC (XBRL)· 04 Feb 2026verified

Net income
2023
-61.1 m
2024
-2.8 m
2025
-4.0 m

SEC (XBRL)· 04 Feb 2026verified

Diluted EPS
2023
-10.76
2024
-0.57
2025
-0.70

SEC (XBRL)· 04 Feb 2026verified

Weighted average diluted shares
2023
4.5 m
2024
4.9 m
2025
5.7 m

SEC (XBRL)· 04 Feb 2026verified

Dividend per share
2023
—
2024
—
2025
1.41

SEC (XBRL)· 04 Feb 2026verified

Balance sheet · USD

Cash
2023
5.0 m
2024
4.0 m
2025
2.3 m

SEC (XBRL)· 04 Feb 2026verified

Receivables
2023
15.0 m
2024
22.4 m
2025
23.1 m

SEC (XBRL)· 04 Feb 2026verified

Inventories
2023
17.9 m
2024
13.5 m
2025
13.1 m

SEC (XBRL)· 04 Feb 2026verified

Current assets
2023
43.2 m
2024
62.7 m
2025
45.8 m

SEC (XBRL)· 04 Feb 2026verified

Property, plant & equipment, net
2023
7.8 m
2024
8.1 m
2025
7.8 m

SEC (XBRL)· 04 Feb 2026verified

Intangibles (excl. goodwill)
2023
1.4 m
2024
1.3 m
2025
1.2 m

SEC (XBRL)· 04 Feb 2026verified

Total assets
2023
58.7 m
2024
80.0 m
2025
62.9 m

SEC (XBRL)· 04 Feb 2026verified

Accounts payable
2023
2.6 m
2024
3.1 m
2025
2.5 m

SEC (XBRL)· 04 Feb 2026verified

Current liabilities
2023
24.9 m
2024
49.9 m
2025
31.9 m

SEC (XBRL)· 04 Feb 2026verified

Total liabilities
2023
33.4 m
2024
51.7 m
2025
38.3 m

SEC (XBRL)· 04 Feb 2026verified

Equity
2023
25.2 m
2024
28.3 m
2025
24.6 m

SEC (XBRL)· 04 Feb 2026verified

Shares outstanding at year end
2023
33.0 m
2024
36.1 m
2025
6.6 m

SEC (XBRL)· 04 Feb 2026verified

Cash flow · USD

Operating cash flow
2023
-1.9 m
2024
-6.9 m
2025
736.4 k

SEC (XBRL)· 04 Feb 2026verified

Capex
2023
656.2 k
2024
603.1 k
2025
588.6 k

SEC (XBRL)· 04 Feb 2026verified

Free cash flow
2023
-2.6 m ≈
2024
-7.5 m ≈
2025
147.8 k ≈

SEC (XBRL)· 04 Feb 2026derived

Investing cash flow
2023
-2.3 m
2024
-2.4 m
2025
-652.0 k

SEC (XBRL)· 04 Feb 2026verified

Financing cash flow
2023
2.1 m
2024
7.2 m
2025
478.5 k

SEC (XBRL)· 04 Feb 2026verified

Computed indicators

Growth

Revenue growth (YoY)
-34.2%
computed by olivLawFY 2025
Revenue CAGR 3Y
-11.4%
computed by olivLawFY 2022 → FY 2025
Revenue CAGR 5Y
-3.9%
computed by olivLawFY 2020 → FY 2025
EBIT growth (YoY)
unavailable
the base of the ratio is not positive
Net income growth (YoY)
unavailable
the base of the ratio is not positive
Net income CAGR 3Y
unavailable
the base of the ratio is not positive
Net income CAGR 5Y
unavailable
the base of the ratio is not positive
EPS growth (YoY)
unavailable
the base of the ratio is not positive
EPS CAGR 3Y
unavailable
the base of the ratio is not positive
EPS CAGR 5Y
unavailable
the base of the ratio is not positive
FCF growth (YoY)
unavailable
the base of the ratio is not positive

Profitability

Gross margin
5.7%
computed by olivLawFY 2025
EBITDA margin
unavailable
input data missing
EBIT margin
-6.0%
computed by olivLawFY 2025
Net margin
-5.6%
computed by olivLawFY 2025
FCF margin
0.2%
computed by olivLawFY 2025

Returns

ROE
-15.1%
computed by olivLawFY 2025 · balance sheet at 30 Sept 2025
ROA
-5.6%
computed by olivLawFY 2025 · balance sheet at 30 Sept 2025
ROIC
unavailable
input data missing
ROCE
-13.7%
computed by olivLawFY 2025 · balance sheet at 30 Sept 2025
Payout ratio (EPS)
unavailable
insufficient data
Payout ratio (FCF)
unavailable
input data missing

Balance sheet

Net debt
unavailable
input data missing
Net debt / EBITDA
unavailable
input data missing
Debt / equity
unavailable
input data missing
Interest coverage
-12.9x
computed by olivLawFY 2025

Liquidity

Current ratio
1.4x
computed by olivLawbalance sheet at 30 Sept 2025
Quick ratio
1.0x
computed by olivLawbalance sheet at 30 Sept 2025
Cash ratio
0.1x
computed by olivLawbalance sheet at 30 Sept 2025

Cash

Operating cash flow
736.4 k USD
computed by olivLawFY 2025
Capital expenditure
588.6 k USD
computed by olivLawFY 2025
Free cash flow
147.8 k USD
computed by olivLawFY 2025
FCF conversion
unavailable
insufficient data
Cash conversion
unavailable
input data missing

Efficiency

Days sales outstanding
117 days
computed by olivLawFY 2025 · balance sheet at 30 Sept 2025
Days inventory outstanding
72 days
computed by olivLawFY 2025 · balance sheet at 30 Sept 2025
Days payables outstanding
15 days
computed by olivLawFY 2025 · balance sheet at 30 Sept 2025
Cash conversion cycle
174 days
computed by olivLawFY 2025 · balance sheet at 30 Sept 2025

Market and valuation

Market capitalisation
10.6 m USD
computed by olivLawbalance sheet at 30 Sept 2025
Enterprise value
unavailable
input data missing
Market cap / net income TTM
unavailable
insufficient data
P/E (TTM)
unavailable
insufficient data
Earnings yield
-43.5%
computed by olivLawFY 2025
P/B
0.4x
computed by olivLawbalance sheet at 30 Sept 2025
P/S
0.1x
computed by olivLawFY 2025 · balance sheet at 30 Sept 2025
EV/EBITDA
unavailable
input data missing
EV/EBIT
unavailable
input data missing
EV/Sales
unavailable
input data missing
P/FCF
72.0x
computed by olivLawFY 2025 · balance sheet at 30 Sept 2025
FCF yield
1.4%
computed by olivLawFY 2025 · balance sheet at 30 Sept 2025
Dividend yield
87.6%
computed by olivLawFY 2025
Shareholder yield (distributions)
unavailable
input data missing

Risk

Altman Z
0.13
computed by olivLawbalance sheet at 30 Sept 2025

Valuation

olivLaw classification

Insufficient data
What is missing
  • indicators available: 5 of at least 6
  • score weight coverage: 33.3% of at least 60%

A scoring methodology on indicators and valuation, not investment advice.

Closing price

1.61 USD

04 Nov 2026Source: olivLaw, closing series

Market cap: 10.6 m USD

Key indicators

Market capitalisation
10.6 m USD
computed by olivLawbalance sheet at 30 Sept 2025
P/E (TTM)
unavailable
insufficient data
P/B
0.4x
computed by olivLawbalance sheet at 30 Sept 2025
EV/EBITDA
unavailable
input data missing
ROE
-15.1%
computed by olivLawFY 2025 · balance sheet at 30 Sept 2025
Net margin
-5.6%
computed by olivLawFY 2025
Revenue growth (YoY)
-34.2%
computed by olivLawFY 2025
Dividend yield
87.6%
computed by olivLawFY 2025

Coverage and freshness

29/37 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 30 Sept 2025
Latest balance sheet date: 30 Sept 2025
Share count (cover of the latest filing), as of: 30 Sept 2025
Source: SEC (XBRL)published 04 Feb 2026
verified 331

The data is older than the freshness threshold.

Score by group

33% · Insufficient data

Estimated value range

Low
18.53
USD per share
Mid
21.25
USD per share
High
24.92
USD per share
Price: 1.61 USD
The price is below the range
Potential to the central value: 1,220.1% (value / price − 1)
Margin of safety: 92.4% (1 − price / value)
Agreement between methods: single method · 1 methods used · 1 independent bases

The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 18.53 – 24.92 USD.

Valuation assumptions are editorial choices, not measured; beta is not measured.

Method ranges (USD per share)

— — Mid · ▏ Price

Valuation methods

  • DCF (discounted cash flow)unavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
  • Peers: EV/EBITDAunavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
  • Peers: P/Eunavailable · the base of the ratio is not positive
  • Dividend discount (DDM)18.53 – 24.92 (Mid 21.25)
Multiple comparisons use the SIC vertical: Miscellaneous Fabricated Metal Products (SIC 3490)

Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.

Assumptions (illustrative, editorial)

Risk-free rate
4.3%
Equity risk premium
5.0%
Beta (default)
1.00
Cost of equity
9.3%
Terminal growth
2.5%

Factor scorecard

Insufficient data

Minimum-evidence gate: indicators available: 5 of at least 6; score weight coverage: 33.3% of at least 60%

FactorValueScoreWeight used
ROIC · Qualityunavailableunavailable—
Net margin · Quality-5.6%14 (vs peers)19%
FCF conversion · Qualityunavailableunavailable—
Revenue CAGR 3Y · Growth-11.4%0 (on a fixed band)25%
EPS CAGR 3Y · Growthunavailableunavailable—
Net debt / EBITDA · Balance sheetunavailableunavailable—
Interest coverage · Balance sheet-12.9x0 (on a fixed band)19%
Current ratio · Balance sheet1.4x53 (on a fixed band)13%
P/E (TTM) · Valuationunavailableunavailable—
EV/EBITDA · Valuationunavailableunavailable—
FCF yield · Valuation1.4%17 (on a fixed band)25%
Shareholder yield (distributions) · Returnsunavailableunavailable—
Payout ratio (FCF) · Returnsunavailableunavailable—

Factors without a value were dropped; the remaining weights were renormalised.

Score groups

  • Balance sheet21/100 · 2/3 factors with a value
  • Growth· partial0/100 · 1/2 factors with a value
  • Quality· partial14/100 · 1/3 factors with a value
  • Returns· partialunavailable · 0/2 factors with a value
  • Valuation· partial17/100 · 1/3 factors with a value

A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.

Memo

ZK INTERNATIONAL GROUP CO., LTD. (ZKIN). Latest full fiscal year: 2025; data up to 2025-09-30.

Figures computed from the financial statements: revenue 71.2 m USD in 2025; YoY growth -34.2%; net margin -5.6%; ROE -15.1%.

The estimated value range is 18.53–24.92 USD per share (median of 1 methods, agreement: single method); assumptions are illustrative. Against the central value of 21.25 USD, the price of 1.61 USD leaves a potential of 1,220.1% (value / price − 1) and a margin of safety of 92.4% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.

Insufficient data for a verdict (indicators available: 5 of at least 6; score weight coverage: 33.3% of at least 60%).

Text generated deterministically from the figures shown; no language model. Not investment advice.

What supports the thesis

  • The price is below the estimated value range

What contradicts it

  • Net margin: -5.6%
  • Revenue CAGR 3Y: -11.4%
  • Interest coverage: -12.9x
  • FCF yield: 1.4%

Not assessed (insufficient data or a ratio without meaning): ROIC, FCF conversion, EPS CAGR 3Y, Net debt / EBITDA, P/E (TTM), EV/EBITDA, Shareholder yield (distributions), Payout ratio (FCF).

Versus the vertical median

Miscellaneous Fabricated Metal Products (SIC 3490) · same industry (4-digit SIC) · compared with 7 companies

Multiples and returns vs the median

P/E
—
vertical median 31.0x
EV/EBITDA
—
vertical median 14.1x
P/S
0.1x
vertical median 2.5x
below median (−94.0%)
P/B
0.4x
vertical median 3.0x
below median (−85.7%)
ROE
-15.1%
vertical median 16.2%
below median (−193.7%)
Net margin
-5.6%
vertical median 12.4%
below median (−145.1%)
EBIT margin
-6.0%
vertical median 17.7%
below median (−133.8%)
Revenue YoY
-34.2%
vertical median 8.3%
below median (−512.1%)
Net debt/EBITDA
—
vertical median 1.0x
Dividend yield
87.6%
vertical median 0.8%
above median (+10,671.9%)

Price rebased to 100 (monthly, 5 years)

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
PHParker-Hannifin Corporation114.7 bn32.025.1%17.0%+8.3%+6% / +110%
CRCrane Company11.9 bn35.416.2%12.4%+8.2%+13% / +95%
MWAMueller Water Products, Inc.3.8 bn17.021.7%15.0%+8.7%−1% / +81%
CXTCrane Nxt, Co.3.5 bn27.310.5%7.1%+11.4%+9% / +20%
HLIOHelios Technologies, Inc.2.2 bn31.27.7%8.0%unavailable+24% / +74%
ZKINZk International Group Co., Ltd.10.6 m—-15.1%-5.6%−34.2%−45% / +210%
HIHOHighway Holdings Limited3.9 m—-27.3%-31.7%−35.2%−26% / −58%
WTSWatts Water Technologies Inc—30.918.8%14.3%+8.3%+28% / +84%

1- and 3-year price returns: for ZKIN from daily closes (the same as the performance table), for the other companies from month-end closes.

olivLaw engine forecast

The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.

The engine has no published run for this company yet.

Valuation scenarios (editable assumptions)

Illustrative scenarios

Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.

Bear
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Base
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Bull
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Nothing is saved.

Estimated price (USD)

Estimated priceBearBaseBull
1 years
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
3 years
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
5 years
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
What moves the 3-year price the most

    AI analysis

    AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

    Possibly outdated: the newest document it read is from 04 Feb 2026; since then the company filed 6-K (14 Sept 2026), 6-K (21 Aug 2026), 6-K (21 May 2026), 6-K (26 Mar 2026), 6-K (19 Mar 2026), 6-K (18 Mar 2026).

    In brief

    ZK International makes and supplies stainless steel and carbon steel piping systems and fittings for construction, infrastructure and water and gas networks, mainly in China. In fiscal 2025 the company reported a steep drop in revenue to 71.24 million USD, and weak construction demand and nickel price volatility remain the key factors to watch 1.

    SWOT

    Strengths

    • The company has long experience designing and manufacturing stainless steel pipes and has in-house strip production, which supports quality control 1.
    • ISO certifications and recognition on reference projects strengthen client confidence in construction and infrastructure work 1.
    • Thin-walled products have lower manufacturing cost and weight, which can make the offer more attractive for residential plumbing 1.

    Weaknesses

    • Revenue fell sharply in fiscal 2025 and the company reported a net loss, showing sensitivity to domestic demand 1.
    • A significant share of sales comes from low-margin products such as electrolytic nickel, which limits gross profitability 1.
    • The company recorded impairment charges and bad debt allowances on long-aged receivables, pointing to collection and asset utilization issues 1.

    Opportunities

    • Urban infrastructure and water projects in export regions, such as Uganda, could open new revenue if the company wins them 1.
    • Moving from product supplier to engineering solution provider could raise value added for clients 1.
    • Developing stainless products for food and pharmaceutical industries could diversify the customer base 1.

    Threats

    • Weak demand in China's real estate sector could prolong lower volumes and pricing pressure 1.
    • Swings in nickel and other raw material prices could compress gross margins again 1.
    • Delisting risk from Nasdaq, if listing requirements are not met, could limit access to financing 1.

    Risks

    • Dependence on China's real estate sectorhigh

      Revenue depends heavily on construction and real estate demand, a sector that has remained weak. Further deterioration could affect sales volumes 1.

    • Raw material volatilityhigh

      Nickel and steel strip prices have fluctuated sharply. If costs rise faster than selling prices, gross margins could be reduced further 1.

    • Nasdaq listing riskmedium

      The report warns there is no assurance the company will maintain compliance with listing requirements. Loss of listing could mean trading on the OTC market and harder financing 1.

    • Aged receivables and asset impairmentmedium

      Bad debt allowances and impairment losses were recognized, which could indicate collection and asset recovery risks 1.

    • Changes in managementlow

      Changes to the chief executive and board took place in October 2025, which may create uncertainty around strategy and execution 1.

    Investment thesis

    What would need to be true (bull case)

    • If construction and infrastructure demand recovers, the company could regain lost volume, especially through its thin-walled products and integrated in-house production 1.
    • Expansion into infrastructure projects in Uganda and into complete engineering solutions could diversify revenue away from the Chinese market 1.

    What would break the thesis

    • If weakness in China's real estate sector persists, revenue could stay below fiscal 2024 levels and losses could continue 1.
    • Low gross margins and reliance on low-margin products such as electrolytic nickel could limit the company's ability to generate profit 1.
    • Delisting risk and repeated share issuances for services could dilute existing shareholders and make capital harder to obtain 1.

    What to watch

    • Compliance with Nasdaq listing requirements2026
    • Nickel price trends and their effect on costs2026

    Products, market & competition

    AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

    Possibly outdated: the newest document it read is from 04 Feb 2026; since then the company filed 6-K (14 Sept 2026), 6-K (21 Aug 2026), 6-K (21 May 2026), 6-K (26 Mar 2026), 6-K (19 Mar 2026), 6-K (18 Mar 2026).

    The business

    The core business runs through the subsidiary Zhejiang Zhengkang, which designs and manufactures pipes and fittings and offers urban planners and real estate developers systematic solutions for water and gas transmission networks 1. Products are sold mainly in China and exported to Europe, Africa and Southeast Asia 1. The company has said it intends to move from being a product supplier to a provider of complete engineering solutions 1.

    Segments

    Manufacturing segment (stainless steel pipes)

    The single reportable segment covers the design, manufacture and sale of stainless and carbon steel pipes and fittings, with steel strip produced in-house and thin-walled pipes aimed at drinking water and gas transmission 1. Low-margin electrolytic nickel products made up 55.81% of total sales in fiscal 2025 1.

    Former technology segment

    The company previously operated a technology segment covering distributed finance and blockchain-related digital asset initiatives, but the annual report no longer presents it as reportable 1. Entities tied to those initiatives, such as xSigma, are described as having no material operations 1.

    Market context

    Demand for piping systems depends on residential and urban infrastructure construction in China, where the report says the recovery in real estate remained slow in fiscal 2025 1. Nickel, a key input for stainless steel, stayed at high and volatile levels, affecting both selling prices and margins 1.

    Trends

    • Weaker construction demandheadwind

      Management attributed the sales decline to weaker demand from the construction and real estate sectors, particularly in China. If this weakness persists, volumes could stay below earlier levels 1.

    • Nickel price volatilityheadwind

      Nickel, a key input for stainless steel, remained at high and fluctuating levels. The company adjusted selling prices, but cost pressure still eroded gross margins 1.

    • Operating efficiency and cost controlmixed

      Selling and administrative costs fell in fiscal 2025, and the company pointed to operating efficiency improvements. These reductions could support results if volumes recover 1.

    • Demand for infrastructure solutionstailwind

      Stainless steel products are used in urban water supply, housing, food and beverage production and agricultural irrigation, which could support demand if infrastructure investment grows 1.

    Competitive position

    The report describes intense competition in the pipe industry, which pushed sales down in fiscal 2025, especially among price-sensitive customers 1. The company differentiates itself through ISO certifications, in-house strip production and reference projects such as Olympic stadiums and international hotels 1.

    • Other Chinese stainless steel pipe and fitting manufacturers

      The source does not name competitors; the report only describes intense competition in the local market and in exports 1.

    • Carbon steel and steel strip producers

      The company also sells strip to manufacturers in other industries, so it faces competitors on that line as well 1.

    • Piping system suppliers for construction in Europe and Southeast Asia

      Export activity in these regions means competing where local suppliers are active, as the report describes 1.

    • Regional distributors and fitting producers

      The report mentions distributors and market competition but does not name specific companies 1.

    News & filings

    Sources

    1. [1] Form 20-F, fiscal year ended 2025-09-30 · SEC / ZK International Group Co., Ltd. · 04 Feb 2026

    Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.