Announcement • Nov 18
Arrail Group Limited to Report First Half, 2026 Results on Nov 28, 2025 Arrail Group Limited announced that they will report first half, 2026 results on Nov 28, 2025 Valuation Update With 7 Day Price Move • Nov 18
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to HK$1.59, the stock trades at a forward P/E ratio of 6x. Average forward P/E is 9x in the Healthcare industry in Hong Kong. Total loss to shareholders of 77% over the past three years. Reported Earnings • Jul 27
Full year 2025 earnings released: EPS: CN¥0.049 (vs CN¥0.037 in FY 2024) Full year 2025 results: EPS: CN¥0.049 (up from CN¥0.037 in FY 2024). Revenue: CN¥1.69b (down 3.3% from FY 2024). Net income: CN¥22.0m (up 28% from FY 2024). Profit margin: 1.3% (up from 1.0% in FY 2024). Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Healthcare industry in Hong Kong. Over the last 3 years on average, earnings per share has increased by 144% per year but the company’s share price has fallen by 34% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Jul 26
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to HK$2.80, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 10x in the Healthcare industry in Hong Kong. Total loss to shareholders of 71% over the past three years. Valuation Update With 7 Day Price Move • Jul 11
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to HK$2.37, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 9x in the Healthcare industry in Hong Kong. Total loss to shareholders of 78% over the past three years. Reported Earnings • Jun 28
Full year 2025 earnings released: EPS: CN¥0.05 (vs CN¥0.037 in FY 2024) Full year 2025 results: EPS: CN¥0.05 (up from CN¥0.037 in FY 2024). Revenue: CN¥1.69b (down 3.3% from FY 2024). Net income: CN¥22.0m (up 28% from FY 2024). Profit margin: 1.3% (up from 1.0% in FY 2024). The increase in margin was driven by lower expenses. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the Healthcare industry in Hong Kong. Over the last 3 years on average, earnings per share has increased by 144% per year but the company’s share price has fallen by 46% per year, which means it is significantly lagging earnings. Announcement • Jun 28
Arrail Group Limited, Annual General Meeting, Sep 26, 2025 Arrail Group Limited, Annual General Meeting, Sep 26, 2025. Announcement • Jun 17
Arrail Group Limited to Report Fiscal Year 2025 Results on Jun 27, 2025 Arrail Group Limited announced that they will report fiscal year 2025 results on Jun 27, 2025 New Risk • May 31
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 25% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Minor Risks Large one-off items impacting financial results. Shareholders have been diluted in the past year (25% increase in shares outstanding). Recent Insider Transactions • Mar 14
Chairman of the Board & CEO recently bought HK$597k worth of stock On the 12th of March, Qifang Zou bought around 300k shares on-market at roughly HK$1.99 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Qifang has been a buyer over the last 12 months, purchasing a net total of HK$3.5m worth in shares. New Risk • Mar 10
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Hong Kong stocks, typically moving 11% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (11% average weekly change). Large one-off items impacting financial results. Valuation Update With 7 Day Price Move • Mar 10
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to HK$2.10, the stock trades at a trailing P/E ratio of 42.2x. Average forward P/E is 11x in the Healthcare industry in Hong Kong. Total loss to shareholders of 57% over the past year. Valuation Update With 7 Day Price Move • Jan 10
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to HK$2.30, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 11x in the Healthcare industry in Hong Kong. Total loss to shareholders of 67% over the past year. Recent Insider Transactions • Dec 05
Chairman of the Board & CEO recently bought HK$615k worth of stock On the 2nd of December, Qifang Zou bought around 200k shares on-market at roughly HK$3.08 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Qifang has been a buyer over the last 12 months, purchasing a net total of HK$3.0m worth in shares. Board Change • Dec 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 4 experienced directors. 1 highly experienced director. Independent Non-Executive Director Michelle Liu was the last director to join the board, commencing their role in 2021. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Announcement • Nov 19
Arrail Group Limited to Report Q2, 2025 Results on Nov 29, 2024 Arrail Group Limited announced that they will report Q2, 2025 results on Nov 29, 2024 Valuation Update With 7 Day Price Move • Oct 17
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to HK$3.28, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 11x in the Healthcare industry in Hong Kong. Total loss to shareholders of 56% over the past year. Announcement • Sep 26
Arrail Group Limited Announces the Retirement of Xin Qin Jessie as Executive Director Arrail Group Limited announced that Ms. Xin Qin Jessie retired as an executive Director at the conclusion of the AGM held on September 26, 2024, in order to focus on her management commitment as the chief financial officer of the Group. New Risk • Sep 26
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Hong Kong stocks, typically moving 9.4% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (9.4% average weekly change). Large one-off items impacting financial results. Valuation Update With 7 Day Price Move • Sep 02
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to HK$3.33, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 8x in the Healthcare industry in Hong Kong. Total loss to shareholders of 59% over the past year. Reported Earnings • Jul 28
Full year 2024 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2024 results: EPS: CN¥0.037 (up from CN¥0.48 loss in FY 2023). Revenue: CN¥1.75b (up 19% from FY 2023). Net income: CN¥17.2m (up CN¥237.1m from FY 2023). Profit margin: 1.0% (up from net loss in FY 2023). Revenue missed analyst estimates by 2.5%. Earnings per share (EPS) exceeded analyst estimates. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 9.9% growth forecast for the Healthcare industry in Hong Kong. Major Estimate Revision • Jul 06
Consensus EPS estimates fall by 27% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate fell from CN¥0.182 to CN¥0.133 per share. Revenue forecast steady at CN¥2.08b. Net income forecast to grow 542% next year vs 59% growth forecast for Healthcare industry in Hong Kong. Consensus price target broadly unchanged at HK$9.23. Share price fell 14% to HK$4.48 over the past week. Recent Insider Transactions • Jul 05
Chairman of the Board & CEO recently bought HK$1.8m worth of stock On the 28th of June, Qifang Zou bought around 350k shares on-market at roughly HK$5.19 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Qifang has been a buyer over the last 12 months, purchasing a net total of HK$3.8m worth in shares. Announcement • Jun 27
Arrail Group Limited, Annual General Meeting, Sep 26, 2024 Arrail Group Limited, Annual General Meeting, Sep 26, 2024. Reported Earnings • Jun 27
Full year 2024 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2024 results: EPS: CN¥0.04 (up from CN¥0.38 loss in FY 2023). Revenue: CN¥1.75b (up 19% from FY 2023). Net income: CN¥17.2m (up CN¥237.1m from FY 2023). Profit margin: 1.0% (up from net loss in FY 2023). The move to profitability was driven by higher revenue. Revenue missed analyst estimates by 2.5%. Earnings per share (EPS) exceeded analyst estimates. Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Healthcare industry in Hong Kong. Announcement • Jun 21
Arrail Group Limited Provides Earnings Guidance for the Fiscal Year Ended March 31, 2024 Arrail Group Limited provided earnings guidance for the fiscal year ended March 31, 2024. For the year, the Group is expected to record a net profit of no less than RMB 10.0 million for the fiscal year ended March 31, 2024, as compared to the net loss of approximately RMB 223.3 million for the fiscal year ended March 31, 2023. The expected profit is mainly attributable to revenue increase from business recovery after COVID-19 and the increase in the number of patient visits, especially the increased revenue generated from general dentistry, and operating improvement. Announcement • Jun 15
Arrail Group Limited to Report Fiscal Year 2024 Results on Jun 26, 2024 Arrail Group Limited announced that they will report fiscal year 2024 results on Jun 26, 2024 Recent Insider Transactions • May 02
Chairman of the Board & CEO recently bought HK$608k worth of stock On the 26th of April, Qifang Zou bought around 100k shares on-market at roughly HK$6.08 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Qifang has been a buyer over the last 12 months, purchasing a net total of HK$2.0m worth in shares. New Risk • Apr 10
New minor risk - Insider selling There has been significant insider selling in the company's shares over the past 3 months. Total value of shares sold: HK$726k This is considered a minor risk. There are several reasons why an insider may be selling, including to cover a tax obligation or pay for some other expense. However, we generally consider it a negative if insiders have been selling, especially if they do so below the current price. It implies that they considered a lower price to be reasonable. This is a weak signal, but if there is a pattern of unexplained selling, it can be a sign the insider believes the company's stock is overpriced. Note: We only include open market transactions and private dispositions of directly owned stock by individuals, not by corporations or trusts. This is currently the only risk that has been identified for the company. Recent Insider Transactions • Mar 05
Chairman of the Board & CEO recently sold HK$60k worth of stock On the 29th of February, Qifang Zou sold around 10k shares on-market at roughly HK$6.00 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Despite the recent sale, Qifang has been a net buyer over the last 12 months, purchasing a net total of HK$1.3m worth of shares. Recent Insider Transactions • Dec 19
Chairman of the Board & CEO recently sold HK$41m worth of stock On the 12th of December, Qifang Zou sold around 3m shares on-market at roughly HK$13.11 per share. This transaction amounted to 4.4% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Qifang has been a net seller over the last 12 months, reducing personal holdings by HK$39m. Reported Earnings • Nov 30
First half 2024 earnings released: EPS: CN¥0.011 (vs CN¥0.15 loss in 1H 2023) First half 2024 results: EPS: CN¥0.011 (up from CN¥0.15 loss in 1H 2023). Revenue: CN¥886.2m (up 15% from 1H 2023). Net income: CN¥4.98m (up CN¥93.6m from 1H 2023). Profit margin: 0.6% (up from net loss in 1H 2023). The move to profitability was driven by higher revenue. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Healthcare industry in Hong Kong. Announcement • Nov 24
Arrail Group Limited Announces Unaudited Consolidated Earnings Guidance for the Six Months Ended September 30, 2023 The board (the "Board") of directors (the "Director(s)") of Arrail Group Limited announced that based on a preliminary review of the unaudited consolidated management accounts of the Group for the six months ended September 30, 2023 and assessment of the latest information currently available to the Board, the Group is expected to record a net profit of no less than RMB 5.0 million for the six months ended September 30, 2023, as compared to the net loss of approximately RMB 90.0 million for the six months ended September 30, 2022. The expected profit is mainly attributable to the business recovery after COVID-19 and operating improvement. Announcement • Nov 17
Arrail Group Limited to Report First Half, 2024 Results on Nov 28, 2023 Arrail Group Limited announced that they will report first half, 2024 results on Nov 28, 2023 Reported Earnings • Jul 28
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: CN¥0.38 loss per share (improved from CN¥8.70 loss in FY 2022). Revenue: CN¥1.47b (down 9.2% from FY 2022). Net loss: CN¥219.9m (loss narrowed 69% from FY 2022). Revenue missed analyst estimates by 21%. Earnings per share (EPS) were also behind analyst expectations. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Healthcare industry in Hong Kong. Recent Insider Transactions • Jul 26
Chairman of the Board & CEO recently bought HK$1.4m worth of stock On the 19th of July, Qifang Zou bought around 200k shares on-market at roughly HK$7.17 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Qifang has been a buyer over the last 12 months, purchasing a net total of HK$1.4m worth in shares. Breakeven Date Change • Jul 14
Forecast breakeven date pushed back to 2025 The 3 analysts covering Arrail Group previously expected the company to break even in 2024. New consensus forecast suggests losses will reduce by 96% to 2024. The company is expected to make a profit of CN¥84.9m in 2025. Average annual earnings growth of 104% is required to achieve expected profit on schedule. Announcement • Jun 28
Arrail Group Limited, Annual General Meeting, Sep 26, 2023 Arrail Group Limited, Annual General Meeting, Sep 26, 2023. Reported Earnings • Jun 28
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: CN¥0.38 loss per share (improved from CN¥8.70 loss in FY 2022). Revenue: CN¥1.47b (down 9.2% from FY 2022). Net loss: CN¥219.9m (loss narrowed 69% from FY 2022). Revenue missed analyst estimates by 21%. Earnings per share (EPS) were also behind analyst expectations. Revenue is forecast to grow 18% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Healthcare industry in Hong Kong. Announcement • Jun 15
Arrail Group Limited to Report Fiscal Year 2023 Results on Jun 27, 2023 Arrail Group Limited announced that they will report fiscal year 2023 results on Jun 27, 2023 Buying Opportunity • Apr 24
Now 25% undervalued Over the last 90 days, the stock is up 21%. The fair value is estimated to be HK$15.26, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 5.0% over the last year. Earnings per share has grown by 92%. Breakeven Date Change • Feb 27
Forecast breakeven date pushed back to 2024 The 3 analysts covering Arrail Group previously expected the company to break even in 2023. New consensus forecast suggests losses will reduce by 95% to 2023. The company is expected to make a profit of CN¥103.4m in 2024. Average annual earnings growth of 108% is required to achieve expected profit on schedule. Buying Opportunity • Feb 13
Now 26% undervalued Over the last 90 days, the stock is up 40%. The fair value is estimated to be HK$13.94, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 5.0% over the last year. Earnings per share has grown by 92%. Reported Earnings • Jan 01
First half 2023 earnings released: CN¥0.15 loss per share (vs CN¥5.89 loss in 1H 2022) First half 2023 results: CN¥0.15 loss per share (improved from CN¥5.89 loss in 1H 2022). Revenue: CN¥771.6m (down 8.3% from 1H 2022). Net loss: CN¥88.6m (loss narrowed 81% from 1H 2022). Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Healthcare industry in Hong Kong. Reported Earnings • Nov 30
First half 2023 earnings released First half 2023 results: Revenue: CN¥771.6m (down 8.3% from 1H 2022). Net loss: CN¥88.6m (loss narrowed 81% from 1H 2022). Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Healthcare industry in Hong Kong. Board Change • Nov 16
Less than half of directors are independent There are 5 new directors who have joined the board in the last 3 years. Of these new board members, 3 were independent directors. The company's board is composed of: 3 independent directors. 4 non-independent directors. Independent Non-Executive Director Michelle Liu was the last independent director to join the board, commencing their role in 2021. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Reported Earnings • Jul 30
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: CN¥8.70 loss per share (down from CN¥8.21 loss in FY 2021). Revenue: CN¥1.62b (up 7.2% from FY 2021). Net loss: CN¥701.0m (loss widened 17% from FY 2021). Revenue missed analyst estimates by 2.2%. Earnings per share (EPS) also missed analyst estimates by 988%. Over the next year, revenue is forecast to grow 19%, compared to a 35% growth forecast for the industry in Hong Kong. Breakeven Date Change • Jun 29
Forecast to breakeven in 2023 The 3 analysts covering Arrail Group expect the company to break even for the first time. New consensus forecast suggests the company will make a profit of CN¥53.4m in 2023. Earnings growth of 141% is required to achieve expected profit on schedule. Breakeven Date Change • Apr 27
Forecast to breakeven in 2023 The 2 analysts covering Arrail Group expect the company to break even for the first time. New consensus forecast suggests the company will make a profit of CN¥56.8m in 2023. Average annual earnings growth of 83% is required to achieve expected profit on schedule. Board Change • Mar 23
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 4 non-independent directors. Independent Non-Executive Director Michelle Liu was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. 