New Risk • Jun 03
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 Chinese stocks, typically moving 8.4% 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: Major Risk Earnings have declined by 9.7% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (8.4% average weekly change). Large one-off items impacting financial results. Announcement • Jun 02
Ningbo Kangqiang Electronics Co., Ltd (SZSE:002119) announces an Equity Buyback for CNY 130 million worth of its shares. Ningbo Kangqiang Electronics Co., Ltd (SZSE:002119) announces an share repurchase program. Under the program, the company will repurchases up to CNY 130 million worth of its A shares. The shares will be repurchases at a price of CNY 34.5 per share. The purpose of the program is to protect the interests of investors, enhance their confidence in the company, further establish and improve the company's long-term incentive mechanism. The repurchased shares will be used for subsequent employee stock ownership plans and equity incentive plans and if the company fails to implement the above-mentioned uses within 36 months after the completion of the share repurchase, the repurchased shares will be cancelled in accordance with the law. The funds for this repurchase will come from the company's own funds or self-raised funds. The program will valid till 12 months from board approval date. Declared Dividend • May 04
Dividend increased to CN¥0.04 Dividend of CN¥0.04 is 33% higher than last year. Ex-date: 8th May 2026 Payment date: 8th May 2026 Dividend yield will be 0.2%, which is lower than the industry average of 1.7%. Sustainability & Growth Dividend is covered by earnings (13% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has decreased over the past 96 years, indicating a lack of growth and stability in payments. Earnings per share has grown by 3.5% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. New Risk • Apr 18
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 29% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 9.7% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (8.7% average weekly change). Large one-off items impacting financial results. Announcement • Mar 31
Ningbo Kangqiang Electronics Co., Ltd to Report Q1, 2026 Results on Apr 18, 2026 Ningbo Kangqiang Electronics Co., Ltd announced that they will report Q1, 2026 results on Apr 18, 2026 Reported Earnings • Mar 31
Full year 2025 earnings released: EPS: CN¥0.31 (vs CN¥0.22 in FY 2024) Full year 2025 results: EPS: CN¥0.31 (up from CN¥0.22 in FY 2024). Revenue: CN¥2.20b (up 12% from FY 2024). Net income: CN¥116.5m (up 40% from FY 2024). Profit margin: 5.3% (up from 4.2% in FY 2024). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 9% per year whereas the company’s share price has increased by 11% per year. Announcement • Mar 31
Ningbo Kangqiang Electronics Co., Ltd, Annual General Meeting, Apr 22, 2026 Ningbo Kangqiang Electronics Co., Ltd, Annual General Meeting, Apr 22, 2026, at 15:00 China Standard Time. Location: The Company's Meeting Room, Ningbo, Zhejiang China Buy Or Sell Opportunity • Jan 28
Now 27% overvalued after recent price rise Over the last 90 days, the stock has risen 49% to CN¥27.23. The fair value is estimated to be CN¥21.44, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 6.5% over the last 3 years. Earnings per share has declined by 6.0%. New Risk • Jan 16
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 Chinese stocks, typically moving 7.2% 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: Major Risk Earnings have declined by 8.3% per year over the past 5 years. Minor Risk Share price has been volatile over the past 3 months (7.2% average weekly change). Announcement • Dec 31
Ningbo Kangqiang Electronics Co., Ltd to Report Fiscal Year 2025 Results on Mar 31, 2026 Ningbo Kangqiang Electronics Co., Ltd announced that they will report fiscal year 2025 results on Mar 31, 2026 Buy Or Sell Opportunity • Dec 27
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 5.7% to CN¥16.66. The fair value is estimated to be CN¥21.06, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 6.5% over the last 3 years. Earnings per share has declined by 6.0%. Buy Or Sell Opportunity • Nov 20
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 6.7% to CN¥16.83. The fair value is estimated to be CN¥21.10, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 6.5% over the last 3 years. Earnings per share has declined by 6.0%. Valuation Update With 7 Day Price Move • Nov 07
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥21.08, the stock trades at a trailing P/E ratio of 79x. Average trailing P/E is 80x in the Semiconductor industry in China. Total returns to shareholders of 58% over the past three years. Reported Earnings • Oct 28
Third quarter 2025 earnings released: EPS: CN¥0.10 (vs CN¥0.079 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.10 (up from CN¥0.079 in 3Q 2024). Revenue: CN¥592.5m (up 16% from 3Q 2024). Net income: CN¥36.9m (up 14% from 3Q 2024). Profit margin: 6.2% (down from 6.3% in 3Q 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Announcement • Sep 30
Ningbo Kangqiang Electronics Co., Ltd to Report Q3, 2025 Results on Oct 28, 2025 Ningbo Kangqiang Electronics Co., Ltd announced that they will report Q3, 2025 results on Oct 28, 2025 Reported Earnings • Aug 19
Second quarter 2025 earnings released: EPS: CN¥0.09 (vs CN¥0.081 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.09 (up from CN¥0.081 in 2Q 2024). Revenue: CN¥531.8m (down 2.3% from 2Q 2024). Net income: CN¥33.6m (up 19% from 2Q 2024). Profit margin: 6.3% (up from 5.2% in 2Q 2024). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 20% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. Announcement • Jul 02
Ningbo Kangqiang Electronics Co., Ltd to Report First Half, 2025 Results on Aug 19, 2025 Ningbo Kangqiang Electronics Co., Ltd announced that they will report first half, 2025 results on Aug 19, 2025 Reported Earnings • Apr 25
First quarter 2025 earnings released: EPS: CN¥0.07 (vs CN¥0.05 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.07 (up from CN¥0.05 in 1Q 2024). Revenue: CN¥439.4m (up 2.1% from 1Q 2024). Net income: CN¥25.9m (up 38% from 1Q 2024). Profit margin: 5.9% (up from 4.4% in 1Q 2024). Over the last 3 years on average, earnings per share has fallen by 30% per year but the company’s share price has increased by 16% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Apr 08
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to CN¥14.04, the stock trades at a trailing P/E ratio of 63.3x. Average trailing P/E is 55x in the Semiconductor industry in China. Total returns to shareholders of 22% over the past three years. Announcement • Mar 31
Ningbo Kangqiang Electronics Co., Ltd to Report Q1, 2025 Results on Apr 25, 2025 Ningbo Kangqiang Electronics Co., Ltd announced that they will report Q1, 2025 results on Apr 25, 2025 Announcement • Mar 26
Ningbo Kangqiang Electronics Co., Ltd Proposes Final Cash Dividend for 2024 Ningbo Kangqiang Electronics Co. Ltd. announced on 25 March 2025 the profit distribution proposal for 2024 as follows: Cash dividend per 10 shares (tax included) of CNY 0.30000000. Reported Earnings • Mar 25
Full year 2024 earnings released: EPS: CN¥0.22 (vs CN¥0.21 in FY 2023) Full year 2024 results: EPS: CN¥0.22 (up from CN¥0.21 in FY 2023). Revenue: CN¥1.96b (up 10% from FY 2023). Net income: CN¥83.2m (up 3.2% from FY 2023). Profit margin: 4.2% (down from 4.5% in FY 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 35% per year but the company’s share price has increased by 8% per year, which means it is well ahead of earnings. Announcement • Mar 25
Ningbo Kangqiang Electronics Co., Ltd, Annual General Meeting, Apr 23, 2025 Ningbo Kangqiang Electronics Co., Ltd, Annual General Meeting, Apr 23, 2025, at 15:00 China Standard Time. Location: The Company's Meeting Room, Ningbo, Zhejiang China New Risk • Jan 17
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 Chinese stocks, typically moving 9.3% 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: Major Risk Earnings have declined by 1.7% per year over the past 5 years. Minor Risk Share price has been volatile over the past 3 months (9.3% average weekly change). Valuation Update With 7 Day Price Move • Jan 09
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to CN¥17.17, the stock trades at a trailing P/E ratio of 64.3x. Average trailing P/E is 61x in the Semiconductor industry in China. Total returns to shareholders of 24% over the past three years. Announcement • Dec 31
Ningbo Kangqiang Electronics Co., Ltd to Report Fiscal Year 2024 Results on Mar 25, 2025 Ningbo Kangqiang Electronics Co., Ltd announced that they will report fiscal year 2024 results on Mar 25, 2025 Valuation Update With 7 Day Price Move • Dec 24
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥16.39, the stock trades at a trailing P/E ratio of 61.4x. Average trailing P/E is 64x in the Semiconductor industry in China. Total returns to shareholders of 17% over the past three years. Valuation Update With 7 Day Price Move • Nov 18
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to CN¥13.58, the stock trades at a trailing P/E ratio of 50.8x. Average trailing P/E is 64x in the Semiconductor industry in China. Total loss to shareholders of 18% over the past three years. Reported Earnings • Oct 29
Third quarter 2024 earnings released: EPS: CN¥0.079 (vs CN¥0.039 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.079 (up from CN¥0.039 in 3Q 2023). Revenue: CN¥512.2m (up 11% from 3Q 2023). Net income: CN¥32.3m (up 138% from 3Q 2023). Profit margin: 6.3% (up from 2.9% in 3Q 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 32% per year but the company’s share price has only fallen by 1% per year, which means it has not declined as severely as earnings. Announcement • Sep 30
Ningbo Kangqiang Electronics Co., Ltd to Report Q3, 2024 Results on Oct 29, 2024 Ningbo Kangqiang Electronics Co., Ltd announced that they will report Q3, 2024 results on Oct 29, 2024 Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to CN¥12.59, the stock trades at a trailing P/E ratio of 57.9x. Average trailing P/E is 50x in the Semiconductor industry in China. Total loss to shareholders of 15% over the past three years. Reported Earnings • Aug 20
Second quarter 2024 earnings released: EPS: CN¥0.081 (vs CN¥0.07 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.081 (up from CN¥0.07 in 2Q 2023). Revenue: CN¥544.4m (up 19% from 2Q 2023). Net income: CN¥28.3m (up 5.5% from 2Q 2023). Profit margin: 5.2% (down from 5.8% in 2Q 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has only fallen by 14% per year, which means it has not declined as severely as earnings. Announcement • Jun 29
Ningbo Kangqiang Electronics Co., Ltd to Report First Half, 2024 Results on Aug 20, 2024 Ningbo Kangqiang Electronics Co., Ltd announced that they will report first half, 2024 results on Aug 20, 2024 Declared Dividend • Jun 14
Dividend of CN¥0.03 announced Dividend of CN¥0.03 is the same as last year. Ex-date: 19th June 2024 Payment date: 19th June 2024 Dividend yield will be 0.2%, which is lower than the industry average of 1.7%. New Risk • Jun 13
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 Chinese stocks, typically moving 8.7% 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: Major Risk Debt is not well covered by operating cash flow (currently running at an operating cash loss). Minor Risk Share price has been volatile over the past 3 months (8.7% average weekly change). Valuation Update With 7 Day Price Move • Jun 13
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥12.19, the stock trades at a trailing P/E ratio of 57.2x. Average trailing P/E is 52x in the Semiconductor industry in China. Negligible returns to shareholders over past three years. Reported Earnings • Apr 25
First quarter 2024 earnings released: EPS: CN¥0.05 (vs CN¥0.05 in 1Q 2023) First quarter 2024 results: EPS: CN¥0.05 (in line with 1Q 2023). Revenue: CN¥430.4m (up 11% from 1Q 2023). Net income: CN¥18.8m (down 2.7% from 1Q 2023). Profit margin: 4.4% (down from 5.0% in 1Q 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 21% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Apr 16
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to CN¥10.28, the stock trades at a trailing P/E ratio of 47.9x. Average trailing P/E is 49x in the Semiconductor industry in China. Total returns to shareholders of 4.8% over the past three years. Announcement • Mar 30
Ningbo Kangqiang Electronics Co., Ltd to Report Q1, 2024 Results on Apr 25, 2024 Ningbo Kangqiang Electronics Co., Ltd announced that they will report Q1, 2024 results on Apr 25, 2024 Announcement • Mar 26
Ningbo Kangqiang Electronics Co., Ltd, Annual General Meeting, Apr 23, 2024 Ningbo Kangqiang Electronics Co., Ltd, Annual General Meeting, Apr 23, 2024, at 14:30 China Standard Time. Location: The Company's Meeting Room, Ningbo, Zhejiang China Reported Earnings • Mar 26
Full year 2023 earnings released: EPS: CN¥0.21 (vs CN¥0.27 in FY 2022) Full year 2023 results: EPS: CN¥0.21 (down from CN¥0.27 in FY 2022). Revenue: CN¥1.78b (up 4.5% from FY 2022). Net income: CN¥80.6m (down 21% from FY 2022). Profit margin: 4.5% (down from 6.0% in FY 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 13% per year but the company’s share price has increased by 12% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Feb 02
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to CN¥9.33, the stock trades at a trailing P/E ratio of 53.8x. Average trailing P/E is 48x in the Semiconductor industry in China. Total returns to shareholders of 10% over the past three years. Announcement • Dec 30
Ningbo Kangqiang Electronics Co., Ltd to Report Fiscal Year 2023 Results on Mar 26, 2024 Ningbo Kangqiang Electronics Co., Ltd announced that they will report fiscal year 2023 results on Mar 26, 2024 Reported Earnings • Oct 26
Third quarter 2023 earnings released: EPS: CN¥0.039 (vs CN¥0.05 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.039 (down from CN¥0.05 in 3Q 2022). Revenue: CN¥462.6m (up 24% from 3Q 2022). Net income: CN¥13.6m (down 26% from 3Q 2022). Profit margin: 2.9% (down from 4.9% in 3Q 2022). Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Announcement • Sep 30
Ningbo Kangqiang Electronics Co., Ltd to Report Q3, 2023 Results on Oct 26, 2023 Ningbo Kangqiang Electronics Co., Ltd announced that they will report Q3, 2023 results on Oct 26, 2023 Reported Earnings • Aug 22
Second quarter 2023 earnings released: EPS: CN¥0.07 (vs CN¥0.13 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.07 (down from CN¥0.13 in 2Q 2022). Revenue: CN¥459.5m (down 7.0% from 2Q 2022). Net income: CN¥26.8m (down 44% from 2Q 2022). Profit margin: 5.8% (down from 9.7% in 2Q 2022). Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Announcement • Jul 01
Ningbo Kangqiang Electronics Co., Ltd to Report First Half, 2023 Results on Aug 22, 2023 Ningbo Kangqiang Electronics Co., Ltd announced that they will report first half, 2023 results on Aug 22, 2023 Announcement • Jun 03
Ningbo Kangqiang Electronics Co., Ltd Announces Implementation of Final Profit Distribution Plan on A Shares for the Year 2022, Payable on 09 June 2023 Ningbo Kangqiang Electronics Co. Ltd. announced implementation of final profit distribution plan on A shares of CNY 0.3000000 per ten shares (tax included) for the year 2022. Record date is 08 June 2023. Ex-date is 09 June 2023. Payment date is 09 June 2023. Valuation Update With 7 Day Price Move • Apr 26
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥12.12, the stock trades at a trailing P/E ratio of 44.6x. Average trailing P/E is 62x in the Semiconductor industry in China. Total returns to shareholders of 5.8% over the past three years. Buying Opportunity • Apr 25
Now 20% undervalued Over the last 90 days, the stock is up 1.8%. The fair value is estimated to be CN¥15.70, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% over the last 3 years. Earnings per share has grown by 24%. Reported Earnings • Mar 29
Full year 2022 earnings released: EPS: CN¥0.27 (vs CN¥0.48 in FY 2021) Full year 2022 results: EPS: CN¥0.27 (down from CN¥0.48 in FY 2021). Revenue: CN¥1.70b (down 22% from FY 2021). Net income: CN¥102.0m (down 44% from FY 2021). Profit margin: 6.0% (down from 8.3% in FY 2021). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 24% per year but the company’s share price has only increased by 9% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Mar 15
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to CN¥16.65, the stock trades at a trailing P/E ratio of 40.7x. Average trailing P/E is 62x in the Semiconductor industry in China. Total returns to shareholders of 22% over the past three years. Board Change • Nov 16
High number of new and inexperienced directors There are 9 new directors who have joined the board in the last 3 years. The company's board is composed of: 9 new directors. 3 experienced directors. No highly experienced directors. Employee Supervisor Xiuzhu Qian is the most experienced director on the board, commencing their role in 2014. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Reported Earnings • Oct 28
Third quarter 2022 earnings released: EPS: CN¥0.05 (vs CN¥0.14 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.05 (down from CN¥0.14 in 3Q 2021). Revenue: CN¥374.3m (down 38% from 3Q 2021). Net income: CN¥18.4m (down 66% from 3Q 2021). Profit margin: 4.9% (down from 8.8% in 3Q 2021). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 30% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Oct 24
Investor sentiment improved over the past week After last week's 19% share price gain to CN¥13.32, the stock trades at a trailing P/E ratio of 26.5x. Average trailing P/E is 48x in the Semiconductor industry in China. Total loss to shareholders of 1.5% over the past three years. Reported Earnings • Aug 24
Second quarter 2022 earnings released: EPS: CN¥0.13 (vs CN¥0.13 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.13 (vs CN¥0.13 in 2Q 2021). Revenue: CN¥494.1m (down 15% from 2Q 2021). Net income: CN¥48.0m (flat on 2Q 2021). Profit margin: 9.7% (up from 8.3% in 2Q 2021). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 31% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment improved over the past week After last week's 18% share price gain to CN¥13.35, the stock trades at a trailing P/E ratio of 26.6x. Average trailing P/E is 56x in the Semiconductor industry in China. Total loss to shareholders of 9.0% over the past three years. Valuation Update With 7 Day Price Move • Jun 29
Investor sentiment improved over the past week After last week's 15% share price gain to CN¥12.13, the stock trades at a trailing P/E ratio of 24.1x. Average trailing P/E is 56x in the Semiconductor industry in China. Total loss to shareholders of 3.5% over the past three years. Announcement • Jun 11
Ningbo Kangqiang Electronics Co., Ltd Announces Implementation of Final Profit Distribution Plan on A Shares for the Year 2021, Payable on 17 June 2022 Ningbo Kangqiang Electronics Co. Ltd. announced implementation of final profit distribution plan on A shares of CNY 0.5000000 per ten shares (tax included) for the year 2021. Record date is 16 June 2022. Ex-date is 17 June 2022. Payment date is 17 June 2022. Reported Earnings • Apr 30
First quarter 2022 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2022 results: EPS: CN¥0.08 (up from CN¥0.06 in 1Q 2021). Revenue: CN¥441.4m (down 6.9% from 1Q 2021). Net income: CN¥30.1m (up 33% from 1Q 2021). Profit margin: 6.8% (up from 4.8% in 1Q 2021). The increase in margin was driven by lower expenses. Revenue exceeded analyst estimates by 5.6%. Earnings per share (EPS) missed analyst estimates by 11%. Over the last 3 years on average, earnings per share has increased by 26% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Board Change • Apr 27
High number of new and inexperienced directors There are 9 new directors who have joined the board in the last 3 years. The company's board is composed of: 9 new directors. 3 experienced directors. No highly experienced directors. Shareholder Supervisor Bo Zhou is the most experienced director on the board, commencing their role in 2022. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Announcement • Mar 31
Ningbo Kangqiang Electronics Co., Ltd, Annual General Meeting, Apr 28, 2022 Ningbo Kangqiang Electronics Co., Ltd, Annual General Meeting, Apr 28, 2022, at 13:30 China Standard Time. Agenda: To approve 2021 work report of the board of directors; 2021 work report of the supervisory committee; 2021 annual accounts; 2021 profit distribution plan; 2021 annual report and its summary; Appointment of 2022 audit firm; and Application for handling the pledging of notes. Announcement • Mar 29
Ningbo Kangqiang Electronics Co., Ltd Proposes Final Cash Dividend for the Year 2021 Ningbo Kangqiang Electronics Co. Ltd. proposed final cash dividend/10 shares (tax included): CNY 0.50000000 for the year 2021. Reported Earnings • Mar 28
Full year 2021 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2021 results: EPS: CN¥0.48 (up from CN¥0.23 in FY 2020). Revenue: CN¥2.19b (up 42% from FY 2020). Net income: CN¥181.2m (up 106% from FY 2020). Profit margin: 8.3% (up from 5.7% in FY 2020). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 5.6%. Earnings per share (EPS) missed analyst estimates by 11%. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has only increased by 10% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Dec 02
Investor sentiment deteriorated over the past week After last week's 15% share price decline to CN¥15.00, the stock trades at a trailing P/E ratio of 40x. Average trailing P/E is 80x in the Semiconductor industry in China. Total returns to shareholders of 106% over the past three years. Board Change • Dec 02
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. 12 experienced directors. No highly experienced directors. Non-Independent Director Xianqiu Xiang was the last director to join the board, commencing their role in 2018. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • Oct 26
Third quarter 2021 earnings released: EPS CN¥0.14 (vs CN¥0.05 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: CN¥604.2m (up 43% from 3Q 2020). Net income: CN¥53.3m (up 170% from 3Q 2020). Profit margin: 8.8% (up from 4.7% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has increased by 33% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Aug 24
Second quarter 2021 earnings released: EPS CN¥0.13 (vs CN¥0.11 in 2Q 2020) The company reported a solid second quarter result with improved earnings and revenues, although profit margins were weaker. Second quarter 2021 results: Revenue: CN¥582.6m (up 54% from 2Q 2020). Net income: CN¥48.3m (up 19% from 2Q 2020). Profit margin: 8.3% (down from 11% in 2Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has increased by 34% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Jul 28
Investor sentiment deteriorated over the past week After last week's 16% share price decline to CN¥19.09, the stock trades at a trailing P/E ratio of 73.5x. Average trailing P/E is 79x in the Semiconductor industry in China. Total returns to shareholders of 142% over the past three years. Valuation Update With 7 Day Price Move • Jul 14
Investor sentiment improved over the past week After last week's 27% share price gain to CN¥20.20, the stock trades at a trailing P/E ratio of 77.8x. Average trailing P/E is 79x in the Semiconductor industry in China. Total returns to shareholders of 126% over the past three years. Valuation Update With 7 Day Price Move • Jun 29
Investor sentiment improved over the past week After last week's 18% share price gain to CN¥14.34, the stock trades at a trailing P/E ratio of 55.2x. Average trailing P/E is 75x in the Semiconductor industry in China. Total returns to shareholders of 61% over the past three years. Announcement • May 21
Ningbo Kangqiang Electronics Co., Ltd Approves Cash Dividend for the Year 2020 Ningbo Kangqiang Electronics Co. Ltd. at the AGM held on May 18, 2021, approved the cash dividend/10 shares (tax included): CNY 0.26000000 for the year 2020. Reported Earnings • Apr 30
First quarter 2021 earnings released: EPS CN¥0.06 (vs CN¥0.03 in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: CN¥473.8m (up 72% from 1Q 2020). Net income: CN¥22.7m (up 100% from 1Q 2020). Profit margin: 4.8% (up from 4.1% in 1Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Apr 02
Investor sentiment improved over the past week After last week's 18% share price gain to CN¥10.49, the stock trades at a trailing P/E ratio of 45.6x. Average trailing P/E is 64x in the Semiconductor industry in China. Total returns to shareholders of 11% over the past three years. Reported Earnings • Mar 23
Full year 2020 earnings released: EPS CN¥0.23 (vs CN¥0.25 in FY 2019) The company reported a soft full year result with weaker earnings and profit margins, although revenues improved. Full year 2020 results: Revenue: CN¥1.55b (up 9.2% from FY 2019). Net income: CN¥87.7m (down 5.3% from FY 2019). Profit margin: 5.7% (down from 6.5% in FY 2019). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Reported Earnings • Mar 04
Full year 2020 earnings released: EPS CN¥0.23 (vs CN¥0.25 in FY 2019) The company reported a soft full year result with weaker earnings and profit margins, although revenues improved. Full year 2020 results: Revenue: CN¥1.55b (up 9.2% from FY 2019). Net income: CN¥87.7m (down 5.3% from FY 2019). Profit margin: 5.7% (down from 6.5% in FY 2019). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Announcement • Feb 20
Ningbo Kangqiang Electronics Co., Ltd to Report Fiscal Year 2020 Results on Mar 23, 2021 Ningbo Kangqiang Electronics Co., Ltd announced that they will report fiscal year 2020 results on Mar 23, 2021 Is New 90 Day High Low • Jan 29
New 90-day low: CN¥9.08 The company is down 17% from its price of CN¥10.90 on 30 October 2020. The Chinese market is up 9.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Semiconductor industry, which is up 18% over the same period. Is New 90 Day High Low • Jan 07
New 90-day low: CN¥9.60 The company is down 16% from its price of CN¥11.37 on 09 October 2020. The Chinese market is up 11% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Semiconductor industry, which is up 19% over the same period. Is New 90 Day High Low • Dec 16
New 90-day low: CN¥10.33 The company is down 16% from its price of CN¥12.35 on 17 September 2020. The Chinese market is up 3.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Semiconductor industry, which is up 9.0% over the same period. Reported Earnings • Oct 28
Third quarter earnings released Over the last 12 months the company has reported total profits of CN¥85.1m, down 9.2% from the prior year. Total revenue was CN¥1.47b over the last 12 months, up 7.8% from the prior year. Announcement • Oct 20
Ningbo Kangqiang Electronics Co., Ltd to Report Q3, 2020 Results on Oct 28, 2020 Ningbo Kangqiang Electronics Co., Ltd announced that they will report Q3, 2020 results on Oct 28, 2020 Announcement • Sep 17
Huamao Education Investment Co., Ltd. signed an Equity Transfer Agreement to acquire the remaining 40% stake in Ningbo Huamao Art, Sports and Culture Development Co., Ltd. from Ningbo Kangqiang Electronics Co., Ltd (SZSE:002119) for CNY 42.5 million. Huamao Education Investment Co., Ltd. signed an equity transfer agreement to acquire the remaining 40% stake in Ningbo Huamao Art, Sports and Culture Development Co., Ltd. from Ningbo Kangqiang Electronics Co., Ltd (SZSE:002119) for CNY 42.5 million on July 31, 2020. Payment will be done in 1 single installment within 15 days since signing of the agreement. As a result of transaction, Huamao Education Investment Co., Ltd. will hold a 100% stake in Ningbo Huamao Art, Sports and Culture Development Co., Ltd and stake of Ningbo Kangqiang Electronics Co., Ltd in Ningbo Huamao Art, Sports and Culture Development Co., Ltd. will cease to exist. Ningbo Huamao Art, Sports and Culture Development Co., Ltd. reported total assets of CNY 104.37 million, net assets of CNY 103.31 million, operating revenue of CNY 8.05 million and net profit of CNY 3.31 million for the year ended December 31, 2019. On August 14, 2020, the Ningbo Kangqiang Electronics Co., Ltd held the eighteenth meeting of the sixth session of the board of directors, and reviewed and approved the transaction. This transaction is within the scope of authorization of Ningbo Kangqiang Electronics Co., Ltd`s board of directors and does not need to be submitted to the shareholders meeting for deliberation. Announcement • Jul 23
Ningbo Kangqiang Electronics Co., Ltd to Report First Half, 2020 Results on Aug 18, 2020 Ningbo Kangqiang Electronics Co., Ltd announced that they will report first half, 2020 results on Aug 18, 2020