공시 • Jul 27
Hollysys Automation Technologies Ltd.(NasdaqGS:HOLI) dropped from NASDAQ Composite Index Hollysys Automation Technologies Ltd. has bren dropped from NASDAQ Composite Index (^COMP) 공시 • Jul 26
Hollysys Automation Technologies Requests Nasdaq to File A Form 25 with SEC to Delist Shares Hollysys Automation Technologies Ltd. (‘Hollysys’ or the ‘Company’) and Ascendent Capital Partners (‘Ascendent’) announced the completion of the merger (the ‘Merger’) between Hollysys and entities affiliated with Ascendent, pursuant to the previously announced agreement and plan of merger, dated as of December 11, 2023 (the ‘Merger Agreement’) among the Company, Superior Technologies Holding Limited (‘Parent’) and its wholly-owned subsidiary Superior Technologies Mergersub Limited (‘Merger Sub’). The Company has requested that Nasdaq file a Form 25 with the Securities and Exchange Commission (the ‘SEC’) notifying the SEC of the delisting of the Shares on Nasdaq and the deregistration of the Company's registered securities. The deregistration will become effective 90 days after the filing of the Form 25 or such shorter period as may be determined by the SEC. The Company intends to suspend its reporting obligations under the Securities Exchange Act of 1934, as amended, by filing a Form 15 with the SEC in approximately ten days following the filing of the Form 25. The Company's obligations to file with the SEC certain reports and forms, including Form 20-F and Form 6-K, will be suspended immediately as of the filing date of the Form 15 and will terminate once the deregistration becomes effective. Valuation Update With 7 Day Price Move • Jul 02
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to US$25.46, the stock trades at a trailing P/E ratio of 21x. Average forward P/E is 17x in the Electronic industry in the United Kingdom. Total returns to shareholders of 80% over the past three years. Reported Earnings • May 17
Third quarter 2024 earnings released: EPS: US$0.063 (vs US$0.19 in 3Q 2023) Third quarter 2024 results: EPS: US$0.063 (down from US$0.19 in 3Q 2023). Revenue: US$173.5m (up 3.5% from 3Q 2023). Net income: US$3.91m (down 66% from 3Q 2023). Profit margin: 2.3% (down from 6.9% in 3Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 20% p.a. on average during the next 3 years, compared to a 4.6% growth forecast for the Electronic industry in the United Kingdom. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has increased by 20% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Mar 08
Second quarter 2024 earnings released: EPS: US$0.23 (vs US$0.79 in 2Q 2023) Second quarter 2024 results: EPS: US$0.23 (down from US$0.79 in 2Q 2023). Revenue: US$223.7m (down 8.6% from 2Q 2023). Net income: US$14.1m (down 71% from 2Q 2023). Profit margin: 6.3% (down from 20% in 2Q 2023). The decrease in margin was primarily driven by lower revenue. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 4.9% growth forecast for the Electronic industry in the United Kingdom. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has increased by 23% per year, which means it is tracking significantly ahead of earnings growth. 공시 • Feb 08
Hollysys Automation Technologies Ltd. Announces Directorate Appointment Hollysys Automation Technologies Ltd. at its EGM held on Februry 8, 2024, shareholders authorized and approved the appointment of each of Guanghua Miao, Ding Wei and Dennis Demiao Zhu to the board of directors (the “Board”) of the Company as an independent director. 공시 • Feb 06
Dazheng Group Issues Statement with Hollysys On February 5, 2024, Dazheng Group Acquisition Limited announced that it has issued a statement reaffirming the merits of its offer to acquire Hollysys Automation Technologies Ltd. Dazheng Group, remains motivated to acquire the Company at US$29.50 per share, this offer represents a significantly greater value proposition for Company shareholders, providing an 11.3% premium to the Ascendant Capital offer. Dazheng Group emphasizes to Company shareholders its commitment to acquire the Company at US$29.50 per share will remain unchanged by fluctuations in the share price of the Company, market conditions, or if the proposed Ascendent transaction is rejected by shareholders at the upcoming Extraordinary General Meeting on February 8, 2024. In addition, Dazheng Group stated that independent Proxy Advisors, Institutional Shareholder Services and Glass Lewis have recently recommended shareholders to vote against the potential transaction with Ascendent Capital. Further, Dazheng Group stated that the collective decision of shareholders to vote against the Ascendent transaction will not adversely affect the Company, instead, it will safeguard a valuable opportunity for every shareholder to achieve an exit at $29.50 per share, following the conversion of the Dazheng Group offer into a signed merger agreement, which is anticipated to be promptly approved by the shareholders. 공시 • Feb 05
Dazheng Group Reaffirms Commitment to Acquire Hollysys at US$29.50 Per Share On February 03, 2024, Dazheng Group announced that, it will remain committed to acquiring Hollysys at US$29.50 per share after the proposed Ascendent transaction is rejected. Further, Dazheng Group stated that its offer provides more closing certainty than the proposed Ascendent transaction. Urges shareholders to vote against the proposed Ascendent transaction Buyer Consortium. Reported Earnings • Nov 17
First quarter 2024 earnings released: EPS: US$0.51 (vs US$0.35 in 1Q 2023) First quarter 2024 results: EPS: US$0.51 (up from US$0.35 in 1Q 2023). Revenue: US$199.9m (up 18% from 1Q 2023). Net income: US$31.6m (up 48% from 1Q 2023). Profit margin: 16% (up from 13% in 1Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 5.1% growth forecast for the Electronic industry in the United Kingdom. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has increased by 25% per year, which means it is tracking significantly ahead of earnings growth. 공시 • Nov 14
Buyer Consortium Increases Offer to Acquire Hollysys to $26.50 Per Share A Buyer consortium led by Recco Control Technology Pte. Ltd. and Dazheng Group announces that the consortium has submitted an increased all-cash offer of $26.50 per share, or approximately $1.64B, to acquire all outstanding shares of Hollysys Automation Technologies Ltd. (NasdaqGS:HOLI) in a letter sent to the board on November 8, 2023. Members of the consortium also include TFI Asset Management Limited, and Great Wall Capital Co., Ltd, who have entered into a memorandum of strategic cooperation with Recco Control Technology and Dazheng Group in connection with the proposed acquisition of Hollysys. The consortium has engaged in constructive negotiation with lenders and is at the final stage to secure a binding and definitive commitment in support of the offer. The new $26.50 per share offer from the consortium represents: A 42% premium to Hollysys' closing share price of $18.66 on August 23, 2023 - the undisturbed price before the consortium resubmitted its previous bid to the Company on August 24; A 28.6% premium to Hollysys' closing share price of $20.60 on November 3, 2023 - the undisturbed price before Ascendent Capital announced its takeover offer on November 6; and An increase in price of 6% from the consortium's previous offer of $25 per share, which was presented to the Board on August 24, 2023. The consortium is aware that on November 6, Ascendent Capital Partners - who owns 13.7% of the Company - expressed its support for the special meeting first requested by over 32% of the Company's shareholders to the Board on August 24, 2023. Ascendent has publicly requested that the Board hold the special meeting by December 1, 2023. Shareholders holding 46% of the shares are now demanding that the Board convene the requested special meeting. The consortium said, "This action by Hollysys' largest shareholder appears to be echoing our earlier advocacy and is reflective of shareholders' desire, and fundamental right, to have an independent Board in place that was elected by the shareholders themselves. It also invites the obvious question whether the existing Board has any legitimacy in representing its shareholders after refusing to voluntarily convene the special meeting its own shareholders have requested. The consortium urges the Company's board of directors to listen to the voice of nearly half its shareholders. The Board must respect the rights of its shareholders and convene the legitimately requested special meeting without further delay. A transparent and thorough sale process should be led by independent directors who represent, and are elected by, Hollysys shareholders. This is the best way to ensure value is maximized for all shareholders". 공시 • Oct 31
Hollysys Automation Technologies Provides Update on Sales Process Hollysys Automation Technologies Ltd. (NasdaqGS:HOLI) announced that the Special Committee of the Board of Directors, which was established to conduct a sale process as announced on October 2, 2023 and its advisors have been in contact with multiple prospective buyers. These include financial sponsors as well as strategic buyers for which there would be compelling industrial logic to an acquisition. Additionally, the Special Committee and its advisors are considering bids submitted by Recco Control Technology Pte. Ltd. and Dazheng Group (Hong Kong) Investment Holdings Company Limited and by representatives of the Hollysys management team. It is engaged in ongoing discussions with both groups and will provide updates on material developments as soon as practicable. In a statement, the members of the Special Committee stated: "We are making every effort to conduct a fair and full process and to be fully responsive to all current and potentially interested parties to facilitate due diligence and enable them to make updated and binding proposals. Our objective is to present to shareholders a recommended proposal that provides compelling value, committed financing, regulatory certainty, and a viable pathway to closing." The sale process is targeted to be at an advanced stage, with a preferred bidder identified, as soon as early December. 공시 • Aug 17
Hollysys Automation Technologies Ltd. Provides Revenue Guidance for the Full Fiscal Year 2024 Hollysys Automation Technologies Ltd. provided revenue guidance for the full fiscal year 2024. For the period, the revenue is expected to be between $852 million and $930 million, with a year-on-year increase of 10% to 20%. New Risk • Aug 17
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 24% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 5.9% per year over the past 5 years. High level of non-cash earnings (24% accrual ratio). Reported Earnings • Aug 16
Full year 2023 earnings released: EPS: US$1.74 (vs US$1.36 in FY 2022) Full year 2023 results: EPS: US$1.74 (up from US$1.36 in FY 2022). Revenue: US$777.4m (up 9.9% from FY 2022). Net income: US$106.9m (up 29% from FY 2022). Profit margin: 14% (up from 12% in FY 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 19% p.a. on average during the next 2 years, compared to a 4.9% growth forecast for the Electronic industry in the United Kingdom. Reported Earnings • May 18
Third quarter 2023 earnings released: EPS: US$0.19 (vs US$0.26 in 3Q 2022) Third quarter 2023 results: EPS: US$0.19 (down from US$0.26 in 3Q 2022). Revenue: US$167.6m (up 7.7% from 3Q 2022). Net income: US$11.6m (down 27% from 3Q 2022). Profit margin: 6.9% (down from 10% in 3Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 18% p.a. on average during the next 3 years, compared to a 6.3% growth forecast for the Electronic industry in the United Kingdom. Reported Earnings • Feb 18
Second quarter 2023 earnings released: EPS: US$0.79 (vs US$0.49 in 2Q 2022) Second quarter 2023 results: EPS: US$0.79 (up from US$0.49 in 2Q 2022). Revenue: US$244.7m (up 13% from 2Q 2022). Net income: US$48.2m (up 60% from 2Q 2022). Profit margin: 20% (up from 14% in 2Q 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 6.4% growth forecast for the Electronic industry in the United Kingdom. Reported Earnings • Nov 18
First quarter 2023 earnings released: EPS: US$0.35 (vs US$0.23 in 1Q 2022) First quarter 2023 results: EPS: US$0.35 (up from US$0.23 in 1Q 2022). Revenue: US$170.0m (up 11% from 1Q 2022). Net income: US$21.4m (up 50% from 1Q 2022). Profit margin: 13% (up from 9.3% in 1Q 2022). The increase in margin was driven by higher revenue. Valuation Update With 7 Day Price Move • Nov 16
Investor sentiment improved over the past week After last week's 21% share price gain to US$17.39, the stock trades at a trailing P/E ratio of 13.3x. Average trailing P/E is 24x in the Electronic industry in the United Kingdom. Total returns to shareholders of 5.9% over the past year. Reported Earnings • Aug 18
Full year 2022 earnings released: EPS: US$1.36 (vs US$1.48 in FY 2021) Full year 2022 results: EPS: US$1.36 (down from US$1.48 in FY 2021). Revenue: US$707.5m (up 19% from FY 2021). Net income: US$83.2m (down 7.3% from FY 2021). Profit margin: 12% (down from 15% in FY 2021). The decrease in margin was driven by higher expenses. Reported Earnings • May 01
Third quarter 2022 earnings released: EPS: US$0.26 (vs US$0.26 in 3Q 2021) Third quarter 2022 results: EPS: US$0.26 (down from US$0.26 in 3Q 2021). Revenue: US$155.7m (up 42% from 3Q 2021). Net income: US$15.8m (flat on 3Q 2021). Profit margin: 10% (down from 14% in 3Q 2021). The decrease in margin was driven by higher expenses. Over the next year, revenue is expected to shrink by 9.2% compared to a 8.2% growth forecast for the industry in the United Kingdom. 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 9% per year, which means it has not declined as severely as earnings. Reported Earnings • Mar 17
First half 2022 earnings: EPS in line with expectations, revenues disappoint First half 2022 results: EPS: US$0.73 (down from US$0.86 in 1H 2021). Revenue: US$369.6m (up 14% from 1H 2021). Net income: US$44.3m (down 15% from 1H 2021). Profit margin: 12% (down from 16% in 1H 2021). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 100%. Over the next year, revenue is expected to shrink by 4.5% compared to a 7.6% growth forecast for the industry in the United Kingdom. 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 11% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Mar 15
Investor sentiment improved over the past week After last week's 18% share price gain to US$16.35, the stock trades at a trailing P/E ratio of 9.2x. Average forward P/E is 22x in the Electronic industry in the United Kingdom. Total loss to shareholders of 25% over the past three years. Valuation Update With 7 Day Price Move • Jan 27
Investor sentiment deteriorated over the past week After last week's 25% share price decline to US$12.32, the stock trades at a forward P/E ratio of 6x. Average forward P/E is 25x in the Electronic industry in the United Kingdom. Total loss to shareholders of 14% over the past year. Valuation Update With 7 Day Price Move • Jan 06
Investor sentiment improved over the past week After last week's 15% share price gain to US$16.33, the stock trades at a forward P/E ratio of 8x. Average forward P/E is 31x in the Electronic industry in the United Kingdom. Simply Wall St's valuation model estimates the intrinsic value at US$25.21 per share. Valuation Update With 7 Day Price Move • Dec 16
Investor sentiment deteriorated over the past week After last week's 21% share price decline to US$12.31, the stock trades at a forward P/E ratio of 6x. Average forward P/E is 28x in the Electronic industry in the United Kingdom. Total loss to shareholders of 32% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at US$23.77 per share. Valuation Update With 7 Day Price Move • Nov 03
Investor sentiment deteriorated over the past week After last week's 21% share price decline to US$15.43, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 30x in the Electronic industry in the United Kingdom. Simply Wall St's valuation model estimates the intrinsic value at US$19.37 per share. Valuation Update With 7 Day Price Move • Aug 03
Investor sentiment improved over the past week After last week's 31% share price gain to US$19.62, the stock trades at a forward P/E ratio of 8x. Average forward P/E is 32x in the Electronic industry in the United Kingdom. Simply Wall St's valuation model estimates the intrinsic value at US$25.21 per share. Valuation Update With 7 Day Price Move • Jun 16
Investor sentiment improved over the past week After last week's 15% share price gain to US$15.15, the stock trades at a forward P/E ratio of 8x. Average forward P/E is 37x in the Electronic industry in the United Kingdom. Total loss to shareholders of 35% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at US$20.36 per share. Reported Earnings • May 17
Third quarter 2021 earnings released: EPS US$0.26 (vs US$0.23 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: US$109.9m (up 36% from 3Q 2020). Net income: US$15.9m (up 14% from 3Q 2020). Profit margin: 14% (down from 17% in 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 16% per year whereas the company’s share price has fallen by 20% per year. Reported Earnings • Mar 05
Second quarter 2021 earnings released: EPS US$0.52 (vs US$0.56 in 2Q 2020) The company reported a soft second quarter result with weaker earnings and profit margins, although revenues improved. Second quarter 2021 results: Revenue: US$195.3m (up 15% from 2Q 2020). Net income: US$31.4m (down 7.9% from 2Q 2020). Profit margin: 16% (down from 20% in 2Q 2020). Over the last 3 years on average, earnings per share has fallen by 10% per year whereas the company’s share price has fallen by 15% per year. Valuation Update With 7 Day Price Move • Nov 20
Market bids up stock over the past week After last week's 126% share price gain to US$25.35, the stock is trading at a trailing P/E ratio of 10x, up from the previous P/E ratio of 4.4x. This compares to an average P/E of 33x in the Electronic industry in the United Kingdom. Reported Earnings • Sep 29
Full year earnings released - EPS US$1.31 Over the last 12 months the company has reported total profits of US$79.3m, down 37% from the prior year. Total revenue was US$503.3m over the last 12 months, down 12% from the prior year. Profit margins were 16%, which is lower than the 22% margin from last year. The decrease in margin was driven by lower revenue. 
