New Risk • May 13
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. The company is paying a dividend despite having no free cash flows. Dividend yield: 0.7% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (1.6% operating cash flow to total debt). Earnings have declined by 12% per year over the past 5 years. Minor Risk Paying a dividend despite having no free cash flows. Annuncio • Apr 24
Kaili Catalyst & New Materials Co.,Ltd., Annual General Meeting, May 15, 2026 Kaili Catalyst & New Materials Co.,Ltd., Annual General Meeting, May 15, 2026, at 15:30 China Standard Time. Location: No. 4288, Shanglin Road, High Speed Rail New City, Xi'an Economic and Technological Development Zone, Shaanxi China Reported Earnings • Apr 24
First quarter 2026 earnings released: EPS: CN¥0.37 (vs CN¥0.17 in 1Q 2025) First quarter 2026 results: EPS: CN¥0.37 (up from CN¥0.17 in 1Q 2025). Revenue: CN¥754.6m (up 21% from 1Q 2025). Net income: CN¥48.3m (up 121% from 1Q 2025). Profit margin: 6.4% (up from 3.5% in 1Q 2025). The increase in margin was driven by higher revenue. 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. Annuncio • Mar 30
Kaili Catalyst & New Materials Co.,Ltd. to Report Q1, 2026 Results on Apr 24, 2026 Kaili Catalyst & New Materials Co.,Ltd. announced that they will report Q1, 2026 results on Apr 24, 2026 Valuation Update With 7 Day Price Move • Mar 23
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to CN¥36.99, the stock trades at a trailing P/E ratio of 43.8x. Average trailing P/E is 45x in the Chemicals industry in China. Total loss to shareholders of 50% over the past three years. New Risk • Mar 19
New major risk - Revenue and earnings growth Earnings have declined by 10% 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 Debt is not well covered by operating cash flow (2.2% operating cash flow to total debt). Earnings have declined by 10% per year over the past 5 years. Annuncio • Dec 26
Kaili Catalyst & New Materials Co.,Ltd. to Report Fiscal Year 2025 Results on Apr 24, 2026 Kaili Catalyst & New Materials Co.,Ltd. announced that they will report fiscal year 2025 results on Apr 24, 2026 Reported Earnings • Oct 29
Third quarter 2025 earnings released: EPS: CN¥0.17 (vs CN¥0.13 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.17 (up from CN¥0.13 in 3Q 2024). Revenue: CN¥420.3m (up 27% from 3Q 2024). Net income: CN¥21.9m (up 27% from 3Q 2024). Profit margin: 5.2% (in line with 3Q 2024). Revenue is forecast to grow 22% p.a. on average during the next 3 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 34% per year but the company’s share price has only fallen by 23% per year, which means it has not declined as severely as earnings. Annuncio • Sep 30
Kaili Catalyst & New Materials Co.,Ltd. to Report Q3, 2025 Results on Oct 29, 2025 Kaili Catalyst & New Materials Co.,Ltd. announced that they will report Q3, 2025 results on Oct 29, 2025 Reported Earnings • Aug 19
Second quarter 2025 earnings released: EPS: CN¥0.30 (vs CN¥0.27 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.30 (up from CN¥0.27 in 2Q 2024). Revenue: CN¥388.7m (down 23% from 2Q 2024). Net income: CN¥39.3m (up 11% from 2Q 2024). Profit margin: 10% (up from 7.0% in 2Q 2024). The increase in margin was driven by lower expenses. Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Chemicals industry in China. Over the last 3 years on average, earnings per share has fallen by 37% per year but the company’s share price has only fallen by 25% per year, which means it has not declined as severely as earnings. Annuncio • Jun 30
Kaili Catalyst & New Materials Co.,Ltd. to Report First Half, 2025 Results on Aug 15, 2025 Kaili Catalyst & New Materials Co.,Ltd. announced that they will report first half, 2025 results on Aug 15, 2025 New Risk • Apr 22
New major risk - Financial position The company's debt is not well covered by operating cash flow. Currently running at an operating cash loss. This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). Dividend is not well covered by earnings and cash flows. Payout ratio: 116% Paying a dividend despite having no free cash flows. High level of non-cash earnings (33% accrual ratio). Reported Earnings • Apr 22
First quarter 2025 earnings released: EPS: CN¥0.17 (vs CN¥0.09 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.17 (up from CN¥0.09 in 1Q 2024). Revenue: CN¥625.8m (up 105% from 1Q 2024). Net income: CN¥21.9m (up 91% from 1Q 2024). Profit margin: 3.5% (down from 3.8% in 1Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 12% 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, earnings per share has fallen by 37% per year but the company’s share price has only fallen by 22% per year, which means it has not declined as severely as earnings. Annuncio • Apr 21
Kaili Catalyst & New Materials Co.,Ltd., Annual General Meeting, May 12, 2025 Kaili Catalyst & New Materials Co.,Ltd., Annual General Meeting, May 12, 2025, at 15:30 China Standard Time. Location: The Company's Meeting Room, Tongling, Anhui China Annuncio • Mar 28
Kaili Catalyst & New Materials Co.,Ltd. to Report Q1, 2025 Results on Apr 30, 2025 Kaili Catalyst & New Materials Co.,Ltd. announced that they will report Q1, 2025 results on Apr 30, 2025 New Risk • Jan 12
New major risk - Financial data availability The company has not reported any financial data. This is considered a major risk. With no or incomplete audited reported financial data, it is virtually impossible to assess the company's investment potential. Currently, the following risks have been identified for the company: Major Risk No financial data reported. Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Annuncio • Dec 27
Kaili Catalyst & New Materials Co.,Ltd. to Report Fiscal Year 2024 Results on Apr 21, 2025 Kaili Catalyst & New Materials Co.,Ltd. announced that they will report fiscal year 2024 results on Apr 21, 2025 Reported Earnings • Oct 29
Third quarter 2024 earnings released: EPS: CN¥0.13 (vs CN¥0.05 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.13 (up from CN¥0.05 in 3Q 2023). Revenue: CN¥330.7m (down 11% from 3Q 2023). Net income: CN¥17.3m (up 163% from 3Q 2023). Profit margin: 5.2% (up from 1.8% in 3Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 33% 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, earnings per share has fallen by 30% per year whereas the company’s share price has fallen by 27% per year. Valuation Update With 7 Day Price Move • Oct 15
Investor sentiment deteriorates as stock falls 20% After last week's 20% share price decline to CN¥25.25, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 16x in the Chemicals industry in China. Total loss to shareholders of 65% over the past three years. Annuncio • Sep 30
Kaili Catalyst & New Materials Co.,Ltd. to Report Q3, 2024 Results on Oct 29, 2024 Kaili Catalyst & New Materials Co.,Ltd. announced that they will report Q3, 2024 results on Oct 29, 2024 Valuation Update With 7 Day Price Move • Sep 27
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥24.67, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 16x in the Chemicals industry in China. Total loss to shareholders of 66% over the past three years. Reported Earnings • Aug 16
Second quarter 2024 earnings released: EPS: CN¥0.27 (vs CN¥0.38 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.27 (down from CN¥0.38 in 2Q 2023). Revenue: CN¥507.6m (up 6.8% from 2Q 2023). Net income: CN¥35.3m (down 29% from 2Q 2023). Profit margin: 7.0% (down from 11% in 2Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 30% 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, earnings per share has fallen by 22% per year but the company’s share price has fallen by 34% per year, which means it is performing significantly worse than earnings. Annuncio • Jun 29
Kaili Catalyst & New Materials Co.,Ltd. to Report First Half, 2024 Results on Aug 16, 2024 Kaili Catalyst & New Materials Co.,Ltd. announced that they will report first half, 2024 results on Aug 16, 2024 Annuncio • May 01
Kaili Catalyst & New Materials Co.,Ltd., Annual General Meeting, May 20, 2024 Kaili Catalyst & New Materials Co.,Ltd., Annual General Meeting, May 20, 2024, at 15:30 China Standard Time. Location: The Company's Meeting Room, Xi'an, Shaanxi China Reported Earnings • Apr 30
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: CN¥0.86 (down from CN¥1.69 in FY 2022). Revenue: CN¥1.79b (down 5.1% from FY 2022). Net income: CN¥112.9m (down 49% from FY 2022). Profit margin: 6.3% (down from 12% in FY 2022). Revenue missed analyst estimates by 16%. Earnings per share (EPS) also missed analyst estimates by 42%. Revenue is forecast to grow 24% p.a. on average during the next 2 years, compared to a 16% growth forecast for the Chemicals industry in China. Annuncio • Mar 30
Kaili Catalyst & New Materials Co.,Ltd. to Report Q1, 2024 Results on Apr 30, 2024 Kaili Catalyst & New Materials Co.,Ltd. announced that they will report Q1, 2024 results on Apr 30, 2024 Reported Earnings • Feb 24
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: CN¥0.88 (down from CN¥1.69 in FY 2022). Revenue: CN¥1.81b (down 4.0% from FY 2022). Net income: CN¥114.6m (down 48% from FY 2022). Profit margin: 6.3% (down from 12% in FY 2022). The decrease in margin was primarily driven by lower revenue. Revenue missed analyst estimates by 15%. Earnings per share (EPS) also missed analyst estimates by 41%. Revenue is forecast to grow 23% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Chemicals industry in China. Valuation Update With 7 Day Price Move • Feb 05
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to CN¥23.01, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 12x in the Chemicals industry in China. Total loss to shareholders of 72% over the past year. New Risk • Nov 01
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 7.5% Last year net profit margin: 13% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (26% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (7.5% net profit margin). Reported Earnings • Nov 01
Third quarter 2023 earnings released: EPS: CN¥0.05 (vs CN¥0.36 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.05 (down from CN¥0.36 in 3Q 2022). Revenue: CN¥370.3m (down 18% from 3Q 2022). Net income: CN¥6.56m (down 86% from 3Q 2022). Profit margin: 1.8% (down from 10% in 3Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 19% growth forecast for the Chemicals industry in China. Reported Earnings • Aug 29
Second quarter 2023 earnings released: EPS: CN¥0.38 (vs CN¥0.55 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.38 (down from CN¥0.55 in 2Q 2022). Revenue: CN¥475.1m (down 11% from 2Q 2022). Net income: CN¥49.9m (down 31% from 2Q 2022). Profit margin: 11% (down from 14% in 2Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 22% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Chemicals industry in China. Annuncio • Jun 28
Kaili Catalyst & New Materials Co.,Ltd. to Report First Half, 2023 Results on Aug 29, 2023 Kaili Catalyst & New Materials Co.,Ltd. announced that they will report first half, 2023 results on Aug 29, 2023 Reported Earnings • Apr 29
First quarter 2023 earnings released: EPS: CN¥0.32 (vs CN¥0.43 in 1Q 2022) First quarter 2023 results: EPS: CN¥0.32 (down from CN¥0.43 in 1Q 2022). Revenue: CN¥494.5m (up 58% from 1Q 2022). Net income: CN¥41.3m (down 26% from 1Q 2022). Profit margin: 8.3% (down from 18% in 1Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Chemicals industry in China. Reported Earnings • Mar 01
Full year 2022 earnings released: EPS: CN¥1.69 (vs CN¥1.42 in FY 2021) Full year 2022 results: EPS: CN¥1.69 (up from CN¥1.42 in FY 2021). Revenue: CN¥1.88b (up 18% from FY 2021). Net income: CN¥221.1m (up 36% from FY 2021). Profit margin: 12% (up from 10% in FY 2021). The increase in margin was driven by higher revenue. Revenue is forecast to grow 35% p.a. on average during the next 2 years, compared to a 19% growth forecast for the Chemicals industry in China. Annuncio • Feb 07
Kaili Catalyst & New Materials Co.,Ltd. announced that it expects to receive CNY 1.075 billion in funding Kaili Catalyst & New Materials Co.,Ltd. announced a private placement of not more than 15,000,000 A shares at an issue price of not lower than 80% of the company’s stock trading average price in the 20 trading days before the pricing base date for the gross proceeds not exceeding CNY 1,075,000,000 on February 6, 2023. The transaction will include participation from not more than 35 investors. The transaction has been approved at the eighth meeting of the third board of directors and is subject to approval of shareholders of the company, Shanghai Stock Exchange and the China Securities Regulatory Commission. Board Change • Nov 16
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. 6 non-independent directors. Independent Director Ningsheng Zhang 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. Valuation Update With 7 Day Price Move • Nov 08
Investor sentiment improved over the past week After last week's 17% share price gain to CN¥100, the stock trades at a forward P/E ratio of 43x. Average forward P/E is 15x in the Chemicals industry in China. Total returns to shareholders of 42% over the past year. Reported Earnings • Aug 26
Second quarter 2022 earnings released: EPS: CN¥0.77 (vs CN¥0.77 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.77. Revenue: CN¥533.1m (up 36% from 2Q 2021). Net income: CN¥72.6m (up 35% from 2Q 2021). Profit margin: 14% (in line with 2Q 2021). Over the next year, revenue is forecast to grow 39%, compared to a 42% growth forecast for the Chemicals industry in China. Valuation Update With 7 Day Price Move • Aug 11
Investor sentiment improved over the past week After last week's 15% share price gain to CN¥124, the stock trades at a forward P/E ratio of 45x. Average forward P/E is 18x in the Chemicals industry in China. Total returns to shareholders of 6.3% over the past year. Reported Earnings • May 02
First quarter 2022 earnings: EPS and revenues exceed analyst expectations First quarter 2022 results: EPS: CN¥0.60 (up from CN¥0.41 in 1Q 2021). Revenue: CN¥313.8m (down 2.3% from 1Q 2021). Net income: CN¥55.6m (up 91% from 1Q 2021). Profit margin: 18% (up from 9.0% in 1Q 2021). The increase in margin was driven by lower expenses. Revenue exceeded analyst estimates by 3.4%. Earnings per share (EPS) also surpassed analyst estimates by 13%. Over the next year, revenue is forecast to grow 49%, compared to a 42% growth forecast for the industry in China. Reported Earnings • Apr 02
Full year 2021 earnings: EPS and revenues exceed analyst expectations Full year 2021 results: EPS: CN¥1.99 (up from CN¥1.50 in FY 2020). Revenue: CN¥1.59b (up 51% from FY 2020). Net income: CN¥162.6m (up 54% from FY 2020). Profit margin: 10% (in line with FY 2020). Revenue exceeded analyst estimates by 3.4%. Earnings per share (EPS) also surpassed analyst estimates by 13%. Over the next year, revenue is forecast to grow 38%, compared to a 47% growth forecast for the industry in China. Reported Earnings • Feb 28
Full year 2021 earnings: EPS and revenues exceed analyst expectations Full year 2021 results: EPS: CN¥1.99 (up from CN¥1.50 in FY 2020). Revenue: CN¥1.59b (up 51% from FY 2020). Net income: CN¥162.6m (up 54% from FY 2020). Profit margin: 10% (in line with FY 2020). Revenue exceeded analyst estimates by 3.4%. Earnings per share (EPS) also surpassed analyst estimates by 13%. Over the next year, revenue is forecast to grow 38%, compared to a 47% growth forecast for the industry in China. Valuation Update With 7 Day Price Move • Jan 27
Investor sentiment deteriorated over the past week After last week's 21% share price decline to CN¥100, the stock trades at a forward P/E ratio of 43x. Average forward P/E is 19x in the Chemicals industry in China. Simply Wall St's valuation model estimates the intrinsic value at CN¥65.59 per share. Valuation Update With 7 Day Price Move • Nov 19
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥122, the stock trades at a forward P/E ratio of 52x. Average forward P/E is 20x in the Chemicals industry in China. Simply Wall St's valuation model estimates the intrinsic value at CN¥64.73 per share. Reported Earnings • Oct 31
Third quarter 2021 earnings released: EPS CN¥0.47 (vs CN¥0.34 in 3Q 2020) The company reported a solid third quarter result with improved earnings and revenues, although profit margins were weaker. Third quarter 2021 results: Revenue: CN¥510.6m (up 92% from 3Q 2020). Net income: CN¥43.4m (up 85% from 3Q 2020). Profit margin: 8.5% (down from 8.8% in 3Q 2020). The decrease in margin was driven by higher expenses. Valuation Update With 7 Day Price Move • Aug 26
Investor sentiment improved over the past week After last week's 18% share price gain to CN¥132, the stock trades at a forward P/E ratio of 60x. Average forward P/E is 20x in the Chemicals industry in China. Reported Earnings • Aug 18
Second quarter 2021 earnings released: EPS CN¥0.77 (vs CN¥0.53 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: CN¥391.6m (up 8.9% from 2Q 2020). Net income: CN¥53.8m (up 43% from 2Q 2020). Profit margin: 14% (up from 10% in 2Q 2020). The increase in margin was driven by higher revenue. Valuation Update With 7 Day Price Move • Aug 12
Investor sentiment improved over the past week After last week's 25% share price gain to CN¥119, the stock trades at a trailing P/E ratio of 73.7x. Average trailing P/E is 31x in the Chemicals industry in China. Valuation Update With 7 Day Price Move • Jul 06
Investor sentiment deteriorated over the past week After last week's 24% share price decline to CN¥103, the stock trades at a trailing P/E ratio of 64x. Average trailing P/E is 29x in the Chemicals industry in China.