Valuation Update With 7 Day Price Move • Jun 15
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥9.98, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 21x in the Chemicals industry in China. Total returns to shareholders of 58% over the past three years. New Risk • Apr 29
New major risk - Revenue and earnings growth Earnings have declined by 32% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 32% per year over the past 5 years. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (9.0% average weekly change). Reported Earnings • Apr 29
Full year 2025 earnings: EPS exceeds analyst expectations Full year 2025 results: EPS: CN¥0.61 (up from CN¥0.19 in FY 2024). Revenue: CN¥5.73b (flat on FY 2024). Net income: CN¥669.4m (up 213% from FY 2024). Profit margin: 12% (up from 3.7% in FY 2024). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 126%. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has increased by 15% per year, which means it is tracking significantly ahead of earnings growth. Ankündigung • Apr 29
Zhejiang Runtu Co., Ltd., Annual General Meeting, May 29, 2026 Zhejiang Runtu Co., Ltd., Annual General Meeting, May 29, 2026, at 14:00 China Standard Time. Location: Building 1, No. 1009, Shimin Avenue, Shangyu District, Shaoxing, Zhejiang China New Risk • Apr 15
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Chinese stocks, typically moving 10% a week. This is considered a major risk. Share price volatility 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. It may also indicate 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. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (10% average weekly change). Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Ankündigung • Mar 31
Zhejiang Runtu Co., Ltd. to Report Q1, 2026 Results on Apr 29, 2026 Zhejiang Runtu Co., Ltd. announced that they will report Q1, 2026 results on Apr 29, 2026 Valuation Update With 7 Day Price Move • Mar 18
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥12.42, the stock trades at a forward P/E ratio of 30x. Average forward P/E is 24x in the Chemicals industry in China. Total returns to shareholders of 73% over the past three years. New Risk • Feb 12
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 7.5% 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 Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (7.5% average weekly change). Valuation Update With 7 Day Price Move • Feb 12
Investor sentiment improves as stock rises 24% After last week's 24% share price gain to CN¥14.95, the stock trades at a forward P/E ratio of 36x. Average forward P/E is 27x in the Chemicals industry in China. Total returns to shareholders of 114% over the past three years. Valuation Update With 7 Day Price Move • Jan 21
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥9.01, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 27x in the Chemicals industry in China. Total returns to shareholders of 31% over the past three years. Ankündigung • Dec 31
Zhejiang Runtu Co., Ltd. to Report Fiscal Year 2025 Results on Apr 29, 2026 Zhejiang Runtu Co., Ltd. announced that they will report fiscal year 2025 results on Apr 29, 2026 Reported Earnings • Oct 29
Third quarter 2025 earnings released: EPS: CN¥0.07 (vs CN¥0.04 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.07 (up from CN¥0.04 in 3Q 2024). Revenue: CN¥1.46b (up 5.4% from 3Q 2024). Net income: CN¥75.3m (up 63% from 3Q 2024). Profit margin: 5.2% (up from 3.4% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to stay flat during the next 2 years compared to a 15% growth forecast for the Chemicals industry in China. Over the last 3 years on average, earnings per share has fallen by 44% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Ankündigung • Sep 30
Zhejiang Runtu Co., Ltd. to Report Q3, 2025 Results on Oct 29, 2025 Zhejiang Runtu Co., Ltd. announced that they will report Q3, 2025 results on Oct 29, 2025 Ankündigung • Jul 02
Zhejiang Runtu Co., Ltd. to Report First Half, 2025 Results on Aug 29, 2025 Zhejiang Runtu Co., Ltd. announced that they will report first half, 2025 results on Aug 29, 2025 Declared Dividend • Jun 13
Dividend of CN¥0.15 announced Dividend of CN¥0.15 is the same as last year. Ex-date: 18th June 2025 Payment date: 18th June 2025 Dividend yield will be 1.8%, which is lower than the industry average of 2.6%. Sustainability & Growth Dividend is covered by both earnings (63% earnings payout ratio) and cash flows (44% cash payout ratio). The dividend has decreased over the past 10 years, indicating a lack of growth and stability in payments. EPS is expected to grow by 40% over the next year, which should provide support to the dividend and adequate earnings cover. Ankündigung • May 27
Zhejiang Runtu Co., Ltd. Approves Dividend for 2024 Zhejiang Runtu Co., Ltd. at its AGM held on May 23, 2025 approved Cash dividend/10 shares (tax included): CNY 1.50000000 for 2024. New Risk • May 05
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 22% 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: Minor Risks Dividend is not well covered by earnings (175% payout ratio). Large one-off items impacting financial results. Reported Earnings • Apr 29
Full year 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2024 results: EPS: CN¥0.19 (up from CN¥0.04 in FY 2023). Revenue: CN¥5.70b (up 1.9% from FY 2023). Net income: CN¥213.5m (up 366% from FY 2023). Profit margin: 3.7% (up from 0.8% in FY 2023). Revenue exceeded analyst estimates by 1.5%. Earnings per share (EPS) missed analyst estimates by 9.5%. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 79 percentage points per year, which is a significant difference in performance. Ankündigung • Apr 29
Zhejiang Runtu Co., Ltd., Annual General Meeting, May 23, 2025 Zhejiang Runtu Co., Ltd., Annual General Meeting, May 23, 2025, at 14:00 China Standard Time. Ankündigung • Mar 31
Zhejiang Runtu Co., Ltd. to Report Q1, 2025 Results on Apr 29, 2025 Zhejiang Runtu Co., Ltd. announced that they will report Q1, 2025 results on Apr 29, 2025 Board Change • Jan 26
Less than half of directors are independent Following the recent departure of a director, there are only 4 independent directors on the board. The company's board is composed of: 4 independent directors. 5 non-independent directors. Independent Director Jian Wo was the last independent director to join the board, commencing their role in 2023. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Ankündigung • Dec 31
Zhejiang Runtu Co., Ltd. to Report Fiscal Year 2024 Results on Apr 29, 2025 Zhejiang Runtu Co., Ltd. announced that they will report fiscal year 2024 results on Apr 29, 2025 Reported Earnings • Oct 31
Third quarter 2024 earnings released: EPS: CN¥0.04 (vs CN¥0.035 loss in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.04 (up from CN¥0.035 loss in 3Q 2023). Revenue: CN¥1.38b (up 6.8% from 3Q 2023). Net income: CN¥46.4m (up CN¥88.0m from 3Q 2023). Profit margin: 3.4% (up from net loss in 3Q 2023). Revenue is forecast to grow 4.5% p.a. on average during the next 2 years, compared to a 16% growth forecast for the Chemicals industry in China. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 69 percentage points per year, which is a significant difference in performance. Ankündigung • Sep 30
Zhejiang Runtu Co., Ltd. to Report Q3, 2024 Results on Oct 31, 2024 Zhejiang Runtu Co., Ltd. announced that they will report Q3, 2024 results on Oct 31, 2024 Reported Earnings • Aug 31
Second quarter 2024 earnings released Second quarter 2024 results: Revenue: CN¥1.44b (down 8.6% from 2Q 2023). Net income: CN¥103.3m (down 23% from 2Q 2023). Profit margin: 7.2% (down from 8.6% in 2Q 2023). Revenue is forecast to grow 5.0% p.a. on average during the next 2 years, compared to a 15% growth forecast for the Chemicals industry in China. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 53 percentage points per year, which is a significant difference in performance. Ankündigung • Jun 29
Zhejiang Runtu Co., Ltd. to Report First Half, 2024 Results on Aug 31, 2024 Zhejiang Runtu Co., Ltd. announced that they will report first half, 2024 results on Aug 31, 2024 Declared Dividend • Jun 21
Dividend reduced to CN¥0.15 Dividend of CN¥0.15 is 40% lower than last year. Ex-date: 26th June 2024 Payment date: 26th June 2024 Dividend yield will be 2.6%, which is about the same as the industry average. Sustainability & Growth Dividend is not covered by earnings (445% earnings payout ratio) and the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 1.2% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to grow by 395% to bring the payout ratio under control. EPS is expected to grow by 76% over the next year, which means the dividend may need to be reduced to reach a sustainable payout ratio. Ankündigung • Jun 20
Zhejiang Runtu Co., Ltd. Announces Final Dividend on A Shares for the Year 2023, Payable on 26 June 2024 Zhejiang Runtu Co., Ltd. announced final cash dividend/10 shares (tax included) of CNY 1.50000000 on A shares for the year 2023. Record date is 25 June 2024. Ex-date is 26 June 2024. Payment date is 26 June 2024. Ankündigung • May 02
Zhejiang Runtu Co., Ltd. Proposes Final Cash Dividend for the Year 2023 Zhejiang Runtu Co., Ltd. proposed final cash dividend of CNY 1.50000000 per ten shares (tax included) for the year 2023. Ankündigung • May 01
Zhejiang Runtu Co., Ltd., Annual General Meeting, May 24, 2024 Zhejiang Runtu Co., Ltd., Annual General Meeting, May 24, 2024, at 14:00 China Standard Time. Location: Building 1, No. 1009, Shimin Avenue, Shangyu District, Shaoxing, Zhejiang China New Risk • Apr 30
New major risk - Revenue and earnings growth Earnings have declined by 32% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Dividend is not well covered by earnings and cash flows. Payout ratio: 179% Paying a dividend despite having no free cash flows. Earnings have declined by 32% per year over the past 5 years. Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (0.7% net profit margin). Reported Earnings • Apr 30
First quarter 2024 earnings released First quarter 2024 results: Revenue: CN¥1.25b (down 6.9% from 1Q 2023). Net income: CN¥1.31m (down 86% from 1Q 2023). Profit margin: 0.1% (down from 0.7% in 1Q 2023). Over the last 3 years on average, earnings per share has fallen by 48% per year but the company’s share price has only fallen by 12% per year, which means it has not declined as severely as earnings. Ankündigung • Mar 30
Zhejiang Runtu Co., Ltd. to Report Q1, 2024 Results on Apr 30, 2024 Zhejiang Runtu Co., Ltd. announced that they will report Q1, 2024 results on Apr 30, 2024 Valuation Update With 7 Day Price Move • Feb 12
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥5.90, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 14x in the Chemicals industry in China. Total loss to shareholders of 43% over the past three years. Ankündigung • Dec 30
Zhejiang Runtu Co., Ltd. to Report Fiscal Year 2023 Results on Apr 30, 2024 Zhejiang Runtu Co., Ltd. announced that they will report fiscal year 2023 results on Apr 30, 2024 Reported Earnings • Nov 01
Third quarter 2023 earnings released: CN¥0.035 loss per share (vs CN¥0.046 profit in 3Q 2022) Third quarter 2023 results: CN¥0.035 loss per share (down from CN¥0.046 profit in 3Q 2022). Revenue: CN¥1.30b (down 10% from 3Q 2022). Net loss: CN¥41.6m (down 182% from profit in 3Q 2022). Revenue is forecast to grow 7.9% p.a. on average during the next 2 years, compared to a 19% growth forecast for the Chemicals industry in China. 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 10% per year, which means it has not declined as severely as earnings. Ankündigung • Sep 30
Zhejiang Runtu Co., Ltd. to Report Q3, 2023 Results on Oct 31, 2023 Zhejiang Runtu Co., Ltd. announced that they will report Q3, 2023 results on Oct 31, 2023 New Risk • Sep 13
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 45% 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 Dividend is not well covered by earnings and cash flows. Payout ratio: 111% Paying a dividend despite having no free cash flows. Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (4.3% net profit margin). Reported Earnings • Aug 31
Second quarter 2023 earnings released: EPS: CN¥0.10 (vs CN¥0.25 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.10 (down from CN¥0.25 in 2Q 2022). Revenue: CN¥1.57b (down 14% from 2Q 2022). Net income: CN¥134.5m (down 53% from 2Q 2022). Profit margin: 8.6% (down from 16% in 2Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 2.3% p.a. on average during the next 2 years, compared to a 19% growth forecast for the Chemicals industry in China. Over the last 3 years on average, earnings per share has fallen by 19% per year but the company’s share price has only fallen by 11% per year, which means it has not declined as severely as earnings. Ankündigung • Jun 14
Zhejiang Runtu Co., Ltd. Announces Final Profit Distribution Plan to Be Implemented on A Shares for the Year 2022, Payable on 20 June 2023 Zhejiang Runtu Co., Ltd. announced final profit distribution plan to be implemented on A shares as cash dividend per ten shares (tax included) of CNY 2.50000000 for the year 2022, payable on 20 June 2023. Record date is 19 June 2023. Ex-date is 20 June 2023. Ankündigung • Jun 01
Zhejiang Runtu Co., Ltd. Approves Dividend for 2022 Zhejiang Runtu Co., Ltd. announced at the AGM held on May 26, 2023 that the company approved Cash dividend/10 shares (tax included) of CNY2.50000000 for 2022. Reported Earnings • Apr 08
Full year 2022 earnings released: EPS: CN¥0.57 (vs CN¥0.74 in FY 2021) Full year 2022 results: EPS: CN¥0.57 (down from CN¥0.74 in FY 2021). Revenue: CN¥6.30b (up 13% from FY 2021). Net income: CN¥645.2m (down 23% from FY 2021). Profit margin: 10% (down from 15% in FY 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has only fallen by 7% per year, which means it has not declined as severely as earnings. Price Target Changed • Mar 09
Price target decreased by 12% to CN¥10.02 Down from CN¥11.43, the current price target is provided by 1 analyst. New target price is 28% above last closing price of CN¥7.85. Stock is down 3.9% over the past year. The company is forecast to post earnings per share of CN¥0.58 for next year compared to CN¥0.74 last year. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 4 independent directors on the board. The company's board is composed of: 4 independent directors. 6 non-independent directors. Non-Independent Director Heng Ru was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Major Estimate Revision • Nov 06
Consensus EPS estimates fall by 27% The consensus outlook for earnings per share (EPS) in 2022 has deteriorated. 2022 revenue forecast decreased from CN¥5.93b to CN¥5.57b. EPS estimate also fell from CN¥0.79 per share to CN¥0.58 per share. Net income forecast to grow 53% next year vs 44% growth forecast for Chemicals industry in China. Consensus price target down from CN¥11.43 to CN¥10.91. Share price fell 10% to CN¥7.30 over the past week. Reported Earnings • Oct 31
Third quarter 2022 earnings released: EPS: CN¥0.046 (vs CN¥0.24 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.046 (down from CN¥0.24 in 3Q 2021). Revenue: CN¥1.45b (down 3.3% from 3Q 2021). Net income: CN¥50.5m (down 81% from 3Q 2021). Profit margin: 3.5% (down from 18% in 3Q 2021). The decrease in margin was primarily driven by higher expenses. Revenue is forecast to grow 13% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Chemicals industry in China. Over the last 3 years on average, earnings per share has fallen by 17% per year whereas the company’s share price has fallen by 14% per year. Buying Opportunity • Oct 11
Now 21% undervalued Over the last 90 days, the stock is up 1.0%. The fair value is estimated to be CN¥10.15, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 2.8% over the last 3 years. Earnings per share has declined by 19%. Revenue is forecast to grow by 4.0% in a year. Earnings is forecast to grow by 22% in the next year. Reported Earnings • Sep 02
Second quarter 2022 earnings released: EPS: CN¥0.25 (vs CN¥0.21 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.25 (up from CN¥0.21 in 2Q 2021). Revenue: CN¥1.84b (up 37% from 2Q 2021). Net income: CN¥288.6m (up 29% from 2Q 2021). Profit margin: 16% (down from 17% in 2Q 2021). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 4.0%, compared to a 33% growth forecast for the Chemicals industry in China. Over the last 3 years on average, earnings per share has fallen by 19% per year but the company’s share price has only fallen by 12% per year, which means it has not declined as severely as earnings. Ankündigung • Jun 10
Zhejiang Runtu Co., Ltd. Announces Cash Dividend of A Shares for the Year 2021, Payment Date Is 16 June 2022 Zhejiang Runtu Co., Ltd. announced Cash dividend/10 shares (tax included) of CNY 3.50000000 of A shares for the year 2021. Record date is 15 June 2022. Ex-date is 16 June 2022. Payment date is 16 June 2022. Ankündigung • May 24
Zhejiang Runtu Co., Ltd. Approves Final Cash Dividend for 2021 Zhejiang Runtu Co., Ltd. at its AGM held on May 20, 2022, approved final cash dividend per 10 shares tax included of CNY 3.5000 for 2021. Ankündigung • May 08
Zhejiang Runtu Co., Ltd. Proposes Final Cash Dividend for the Year 2021 Zhejiang Runtu Co., Ltd. announced on May 5, 2022, the profit distribution proposal for 2021. Final cash dividend of CNY 3.50000000 per ten shares (tax included). Ankündigung • May 07
Zhejiang Runtu Co., Ltd., Annual General Meeting, May 20, 2022 Zhejiang Runtu Co., Ltd., Annual General Meeting, May 20, 2022, at 14:00 China Standard Time. Agenda: To consider 2021 work report of the board of directors; to consider 2021 work report of the supervisory committee; to consider 2021 annual accounts; to consider 2021 annual report and its summary; to consider 2021 profit distribution plan; to consider determination of 2021 remuneration for directors and supervisors; to consider reappointment of 2022 audit firm; and to consider provision of guarantee quota for subsidiaries and controlled sub-subsidiaries. Reported Earnings • May 02
First quarter 2022 earnings: EPS exceeds analyst expectations while revenues lag behind First quarter 2022 results: EPS: CN¥0.19 (up from CN¥0.15 in 1Q 2021). Revenue: CN¥1.58b (up 12% from 1Q 2021). Net income: CN¥211.1m (up 20% from 1Q 2021). Profit margin: 13% (in line with 1Q 2021). Revenue missed analyst estimates by 12%. Earnings per share (EPS) exceeded analyst estimates by 58%. Over the next year, revenue is forecast to grow 18%, compared to a 42% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has fallen by 21% per year whereas the company’s share price has fallen by 18% per year. Price Target Changed • Apr 27
Price target decreased to CN¥11.37 Down from CN¥12.67, the current price target is an average from 3 analysts. New target price is 47% above last closing price of CN¥7.74. Stock is down 18% over the past year. The company is forecast to post earnings per share of CN¥1.06 for next year compared to CN¥0.76 last year. Board Change • Apr 27
Less than half of directors are independent Following the recent departure of a director, there are only 4 independent directors on the board. The company's board is composed of: 4 independent directors. 6 non-independent directors. Non-Independent Director Heng Ru was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Mar 31
Full year 2021 earnings: EPS and revenues miss analyst expectations Full year 2021 results: EPS: CN¥0.76 (up from CN¥0.69 in FY 2020). Revenue: CN¥5.60b (up 7.0% from FY 2020). Net income: CN¥863.5m (up 9.6% from FY 2020). Profit margin: 15% (in line with FY 2020). Revenue missed analyst estimates by 12%. Earnings per share (EPS) also missed analyst estimates by 17%. Over the next year, revenue is forecast to grow 19%, compared to a 47% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has fallen by 21% per year whereas the company’s share price has fallen by 20% per year. Valuation Update With 7 Day Price Move • Mar 24
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥9.23, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 17x in the Chemicals industry in China. Total loss to shareholders of 26% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥7.63 per share. Reported Earnings • Oct 28
Third quarter 2021 earnings released: EPS CN¥0.24 (vs CN¥0.16 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: CN¥1.50b (up 7.7% from 3Q 2020). Net income: CN¥268.0m (up 48% from 3Q 2020). Profit margin: 18% (up from 13% in 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 20% 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. Reported Earnings • Aug 30
Second quarter 2021 earnings released: EPS CN¥0.20 (vs CN¥0.13 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: CN¥1.34b (up 19% from 2Q 2020). Net income: CN¥224.2m (up 55% from 2Q 2020). Profit margin: 17% (up from 13% in 2Q 2020). Over the last 3 years on average, earnings per share has fallen by 19% per year but the company’s share price has only fallen by 4% per year, which means it has not declined as severely as earnings. Ankündigung • May 25
Zhejiang Runtu Co., Ltd. Approves Cash Dividend for 2020 Zhejiang Runtu Co., Ltd. at its AGM held on May 21, 2021, approved cash dividend of CNY 3.50000000 per 10 shares (tax included) for 2020. Ankündigung • Apr 30
Zhejiang Runtu Co., Ltd. Announces Final Dividend Profit Distribution Proposal for 2020 Zhejiang Runtu Co., Ltd. announced final dividend profit distribution proposal for 2020 as follows: cash dividend/10 shares CNY 3.50000000 (tax included). Reported Earnings • Apr 30
Full year 2020 earnings released: EPS CN¥0.69 (vs CN¥1.19 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥5.23b (down 20% from FY 2019). Net income: CN¥788.2m (down 43% from FY 2019). Profit margin: 15% (down from 21% in FY 2019). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has fallen by 12% per year, which means it is performing significantly worse than earnings. Reported Earnings • Mar 12
Full year 2020 earnings released: EPS CN¥0.68 (vs CN¥1.19 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥5.22b (down 20% from FY 2019). Net income: CN¥785.3m (down 43% from FY 2019). Profit margin: 15% (down from 21% in FY 2019). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has fallen by 12% per year, which means it is performing significantly worse than earnings. Analyst Estimate Surprise Post Earnings • Mar 12
Revenue and earnings miss expectations Revenue missed analyst estimates by 9.6%. Earnings per share (EPS) also missed analyst estimates by 25%. Over the next year, revenue is forecast to grow 35%, compared to a 52% growth forecast for the Chemicals industry in China. Price Target Changed • Mar 03
Price target raised to CN¥12.67 Up from CN¥11.13, the current price target is an average from 4 analysts. The new target price is 18% above the current share price of CN¥10.71. As of last close, the stock is down 9.4% over the past year. Major Estimate Revision • Mar 03
Analysts lower EPS estimates to CN¥0.90 The 2020 consensus revenue estimate was lowered from CN¥6.14b to CN¥5.77b. Earning per share (EPS) estimate was also lowered from CN¥1.10 to CN¥0.90 for the same period. Net income is expected to grow by 43% next year compared to 48% growth forecast for the Chemicals industry in China. The consensus price target increased from CN¥11.13 to CN¥12.67. Share price is down by 4.4% to CN¥10.71 over the past week. Is New 90 Day High Low • Feb 02
New 90-day high: CN¥10.98 The company is up 20% from its price of CN¥9.17 on 04 November 2020. The Chinese market is up 6.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Chemicals industry, which is up 21% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥17.45 per share. Reported Earnings • Nov 01
Third quarter earnings released Over the last 12 months the company has reported total profits of CN¥849.2m, down 38% from the prior year. Total revenue was CN¥5.06b over the last 12 months, down 22% from the prior year. Analyst Estimate Surprise Post Earnings • Nov 01
Annual earnings released: Earnings miss expectations Earnings per share (EPS) missed analyst estimates by 55% at CN¥0.15. Revenue is forecast to grow 30% over the next year, compared to a 33% growth forecast for the Chemicals industry in China. Is New 90 Day High Low • Oct 30
New 90-day low: CN¥8.95 The company is down 6.0% from its price of CN¥9.56 on 31 July 2020. The Chinese market is down 2.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Chemicals industry, which is up 2.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥15.01 per share. Ankündigung • Aug 12
Zhejiang Runtu Co., Ltd. to Report First Half, 2020 Results on Aug 28, 2020 Zhejiang Runtu Co., Ltd. announced that they will report first half, 2020 results on Aug 28, 2020