New Risk • May 12
New minor risk - Dividend sustainability The dividend is not well covered by earnings. The company is paying a dividend despite being loss-making. Dividend yield: 0.4% This is considered a minor risk. Companies that pay out too much of their earnings are at risk of having to reduce or cut their dividend in future. If earnings growth slows or earnings fall, then there may not be enough earnings to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. However, this risk is mitigated by the fact the dividend is covered by cash flows. 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 (12% operating cash flow to total debt). Earnings have declined by 41% per year over the past 5 years. Minor Risks Paying a dividend despite being loss-making. Share price has been volatile over the past 3 months (8.8% average weekly change). New Risk • Apr 24
New major risk - Revenue and earnings growth Earnings have declined by 41% 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 (12% operating cash flow to total debt). Earnings have declined by 41% per year over the past 5 years. Minor Risk Share price has been volatile over the past 3 months (9.4% average weekly change). Reported Earnings • Apr 23
First quarter 2026 earnings released: EPS: CN¥0.11 (vs CN¥0.036 in 1Q 2025) First quarter 2026 results: EPS: CN¥0.11 (up from CN¥0.036 in 1Q 2025). Revenue: CN¥412.3m (up 60% from 1Q 2025). Net income: CN¥74.3m (up 212% from 1Q 2025). Profit margin: 18% (up from 9.3% in 1Q 2025). Revenue is forecast to grow 52% 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, earnings per share has fallen by 62% per year but the company’s share price has only fallen by 3% per year, which means it has not declined as severely as earnings. Aankondiging • Apr 23
Fujian Kuncai Material Technology Co., Ltd., Annual General Meeting, May 20, 2026 Fujian Kuncai Material Technology Co., Ltd., Annual General Meeting, May 20, 2026, at 14:30 China Standard Time. Location: The Company's Meeting Room, Fuzhou, Fujian China Aankondiging • Mar 30
Fujian Kuncai Material Technology Co., Ltd. to Report Q1, 2026 Results on Apr 23, 2026 Fujian Kuncai Material Technology Co., Ltd. announced that they will report Q1, 2026 results on Apr 23, 2026 New Risk • Mar 18
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 7.9% 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 Interest payments are not well covered by earnings (1.4x net interest cover). Minor Risks Share price has been volatile over the past 3 months (7.9% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (3.5% net profit margin). Aankondiging • Dec 26
Fujian Kuncai Material Technology Co., Ltd. to Report Fiscal Year 2025 Results on Apr 23, 2026 Fujian Kuncai Material Technology Co., Ltd. announced that they will report fiscal year 2025 results on Apr 23, 2026 Reported Earnings • Oct 25
Third quarter 2025 earnings released: EPS: CN¥0.018 (vs CN¥0.025 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.018 (down from CN¥0.025 in 3Q 2024). Revenue: CN¥283.5m (up 8.3% from 3Q 2024). Net income: CN¥11.7m (down 28% from 3Q 2024). Profit margin: 4.1% (down from 6.2% in 3Q 2024). Revenue is forecast to grow 55% 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 21% per year whereas the company’s share price has fallen by 24% per year. Aankondiging • Sep 30
Fujian Kuncai Material Technology Co., Ltd. to Report Q3, 2025 Results on Oct 31, 2025 Fujian Kuncai Material Technology Co., Ltd. announced that they will report Q3, 2025 results on Oct 31, 2025 Major Estimate Revision • Sep 26
Consensus revenue estimates fall by 72% The consensus outlook for revenues in fiscal year 2025 has deteriorated. 2025 revenue forecast decreased from CN¥4.77b to CN¥1.32b. EPS estimate fell from CN¥1.63 to CN¥0.17 per share. Net income forecast to grow 342% next year vs 51% growth forecast for Chemicals industry in China. Consensus price target down from CN¥45.00 to CN¥22.00. Share price fell 2.3% to CN¥18.88 over the past week. Reported Earnings • Aug 31
Second quarter 2025 earnings released: EPS: CN¥0.039 (vs CN¥0.036 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.039 (up from CN¥0.036 in 2Q 2024). Revenue: CN¥314.6m (up 14% from 2Q 2024). Net income: CN¥25.6m (up 7.2% from 2Q 2024). Profit margin: 8.1% (down from 8.6% in 2Q 2024). Revenue is forecast to grow 25% 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 17% per year whereas the company’s share price has fallen by 22% per year. Aankondiging • Jun 30
Fujian Kuncai Material Technology Co., Ltd. to Report First Half, 2025 Results on Aug 26, 2025 Fujian Kuncai Material Technology Co., Ltd. announced that they will report first half, 2025 results on Aug 26, 2025 Aankondiging • May 13
Fujian Kuncai Material Technology Co., Ltd., Annual General Meeting, Jun 12, 2025 Fujian Kuncai Material Technology Co., Ltd., Annual General Meeting, Jun 12, 2025, at 14:30 China Standard Time. Location: The Company Wholly-owned Subsidiary's Meeting Room, Fuqing, Fujian China Reported Earnings • Apr 28
First quarter 2025 earnings released First quarter 2025 results: Revenue: CN¥257.8m (up 1.1% from 1Q 2024). Net income: CN¥23.9m (up 18% from 1Q 2024). Profit margin: 9.3% (up from 8.0% in 1Q 2024). Revenue is forecast to grow 25% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Chemicals industry in China. New Risk • Apr 27
New major risk - Revenue and earnings growth Earnings have declined by 19% 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 Interest payments are not well covered by earnings (2.1x net interest cover). Earnings have declined by 19% per year over the past 5 years. Minor Risk Large one-off items impacting financial results. Aankondiging • Mar 28
Fujian Kuncai Material Technology Co., Ltd. to Report Q1, 2025 Results on Apr 26, 2025 Fujian Kuncai Material Technology Co., Ltd. announced that they will report Q1, 2025 results on Apr 26, 2025 Aankondiging • Dec 27
Fujian Kuncai Material Technology Co., Ltd. to Report Fiscal Year 2024 Results on Apr 26, 2025 Fujian Kuncai Material Technology Co., Ltd. announced that they will report fiscal year 2024 results on Apr 26, 2025 New Risk • Nov 14
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 27% 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 Interest payments are not well covered by earnings (2.1x net interest cover). Minor Risk Large one-off items impacting financial results. Reported Earnings • Oct 30
Third quarter 2024 earnings released: EPS: CN¥0.025 (vs CN¥0.042 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.025 (down from CN¥0.042 in 3Q 2023). Revenue: CN¥261.7m (up 23% from 3Q 2023). Net income: CN¥16.2m (down 41% from 3Q 2023). Profit margin: 6.2% (down from 13% in 3Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 38% 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 24% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Major Estimate Revision • Oct 01
Consensus revenue estimates fall by 60% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥3.32b to CN¥1.34b. EPS estimate fell from CN¥1.30 to CN¥0.18 per share. Net income forecast to grow 549% next year vs 45% growth forecast for Chemicals industry in China. Consensus price target down from CN¥46.43 to CN¥45.00. Share price rose 14% to CN¥31.25 over the past week. Aankondiging • Sep 30
Fujian Kuncai Material Technology Co., Ltd. to Report Q3, 2024 Results on Oct 30, 2024 Fujian Kuncai Material Technology Co., Ltd. announced that they will report Q3, 2024 results on Oct 30, 2024 New Risk • Aug 19
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 8.9% 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 Risks Debt is not well covered by operating cash flow (3.6% operating cash flow to total debt). Share price has been highly volatile over the past 3 months (8.9% average weekly change). Reported Earnings • Aug 10
Second quarter 2024 earnings released: EPS: CN¥0.085 (vs CN¥0.036 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.085. Revenue: CN¥276.9m (up 41% from 2Q 2023). Net income: CN¥23.8m (flat on 2Q 2023). Profit margin: 8.6% (down from 12% in 2Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 91% p.a. on average during the next 2 years, compared to a 15% growth forecast for the Chemicals industry in China. Aankondiging • Jun 29
Fujian Kuncai Material Technology Co., Ltd. to Report First Half, 2024 Results on Aug 10, 2024 Fujian Kuncai Material Technology Co., Ltd. announced that they will report first half, 2024 results on Aug 10, 2024 Aankondiging • Apr 27
Fujian Kuncai Material Technology Co., Ltd., Annual General Meeting, May 16, 2024 Fujian Kuncai Material Technology Co., Ltd., Annual General Meeting, May 16, 2024, at 14:30 China Standard Time. Location: The Company Wholly-owned Subsidiary's Meeting Room, Fuqing, Fujian China Major Estimate Revision • Apr 22
Consensus revenue estimates decrease by 22%, EPS upgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast fell from CN¥4.25b to CN¥3.32b. EPS estimate increased from CN¥1.63 to CN¥1.82 per share. Net income forecast to grow 914% next year vs 43% growth forecast for Chemicals industry in China. Consensus price target of CN¥65.00 unchanged from last update. Share price rose 6.4% to CN¥43.75 over the past week. Reported Earnings • Apr 17
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: CN¥0.18 (down from CN¥0.19 in FY 2022). Revenue: CN¥829.0m (up 1.2% from FY 2022). Net income: CN¥83.9m (down 4.6% from FY 2022). Profit margin: 10% (in line with FY 2022). Revenue missed analyst estimates by 29%. Earnings per share (EPS) also missed analyst estimates by 34%. Revenue is forecast to grow 73% 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 33% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Aankondiging • Mar 30
Fujian Kuncai Material Technology Co., Ltd. to Report Q1, 2024 Results on Apr 26, 2024 Fujian Kuncai Material Technology Co., Ltd. announced that they will report Q1, 2024 results on Apr 26, 2024 Aankondiging • Dec 29
Fujian Kuncai Material Technology Co., Ltd. to Report Fiscal Year 2023 Results on Apr 26, 2024 Fujian Kuncai Material Technology Co., Ltd. announced that they will report fiscal year 2023 results on Apr 26, 2024 New Risk • Oct 31
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 23% 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 Interest payments are not well covered by earnings (2.2x net interest cover). Minor Risk Large one-off items impacting financial results. Reported Earnings • Oct 26
Third quarter 2023 earnings released: EPS: CN¥0.059 (vs CN¥0.05 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.059 (up from CN¥0.05 in 3Q 2022). Revenue: CN¥212.7m (down 14% from 3Q 2022). Net income: CN¥27.7m (up 19% from 3Q 2022). Profit margin: 13% (up from 9.4% in 3Q 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 67% p.a. on average during the next 3 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 30% per year but the company’s share price has increased by 13% per year, which means it is well ahead of earnings. Reported Earnings • Aug 26
Second quarter 2023 earnings released: EPS: CN¥0.051 (vs CN¥0.065 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.051 (down from CN¥0.065 in 2Q 2022). Revenue: CN¥196.7m (down 4.9% from 2Q 2022). Net income: CN¥23.9m (down 21% from 2Q 2022). Profit margin: 12% (down from 15% in 2Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 50% p.a. on average during the next 3 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 24% per year but the company’s share price has increased by 17% per year, which means it is well ahead of earnings. Reported Earnings • Apr 29
First quarter 2023 earnings released: EPS: CN¥0.029 (vs CN¥0.057 in 1Q 2022) First quarter 2023 results: EPS: CN¥0.029 (down from CN¥0.057 in 1Q 2022). Revenue: CN¥241.9m (up 22% from 1Q 2022). Net income: CN¥13.5m (down 50% from 1Q 2022). Profit margin: 5.6% (down from 13% in 1Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 18% per year but the company’s share price has increased by 27% per year, which means it is well ahead of earnings. Board Change • Nov 16
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 8 experienced directors. No highly experienced directors. 2 independent directors (3 non-independent directors). was the last director to join the board, commencing their role in . The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Oct 26
Third quarter 2022 earnings released: EPS: CN¥0.05 (vs CN¥0.089 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.05 (down from CN¥0.089 in 3Q 2021). Revenue: CN¥247.0m (up 16% from 3Q 2021). Net income: CN¥23.3m (down 44% from 3Q 2021). Profit margin: 9.4% (down from 20% in 3Q 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 8% per year but the company’s share price has increased by 59% per year, which means it is well ahead of earnings. Reported Earnings • Aug 26
Second quarter 2022 earnings released: EPS: CN¥0.065 (vs CN¥0.092 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.065 (down from CN¥0.092 in 2Q 2021). Revenue: CN¥206.9m (down 14% from 2Q 2021). Net income: CN¥30.4m (down 29% from 2Q 2021). Profit margin: 15% (down from 18% in 2Q 2021). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 59% per year, which means it is well ahead of earnings. Reported Earnings • May 02
First quarter 2022 earnings: EPS and revenues miss analyst expectations First quarter 2022 results: EPS: CN¥0.057 (down from CN¥0.094 in 1Q 2021). Revenue: CN¥198.8m (down 7.0% from 1Q 2021). Net income: CN¥26.7m (down 39% from 1Q 2021). Profit margin: 13% (down from 21% in 1Q 2021). The decrease in margin was primarily driven by lower revenue. Revenue missed analyst estimates by 23%. Earnings per share (EPS) also missed analyst estimates by 20%. 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 54% per year, which means it is well ahead of earnings. Board Change • Apr 27
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 8 experienced directors. No highly experienced directors. 2 independent directors (3 non-independent directors). was the last director to join the board, commencing their role in . The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Aankondiging • Apr 15
Fujian Kuncai Material Technology Co., Ltd. announced that it expects to receive CNY 3.85 billion in funding Fujian Kuncai Material Technology Co., Ltd. announced a private placement of not more than 60,000,000 shares for gross proceeds of not more than CNY 3,850,000,000 on April 13, 2022. The transaction will include participation from not more than 35 investors including, securities investment fund management companies, securities companies, asset management companies, trust investment companies, financial companies, insurance institutional investors, and qualified foreign institutions Investors, other legal person investors and natural persons. The pricing base date of this offering is the first day of the company's non-public offering of shares. The number of shares in this non-public offering shall not exceed 30% of the company's total share capital. The issue price of this offering shall not be lower than 80% of the company's average stock trading price in the 20 trading days prior to the pricing benchmark date. The shares will not be transferred within six months from the date of the end of the transaction. The transaction has been reviewed and approved at ninth meeting of the third board of directors and subject to the approval of the shareholders, and China Securities Regulatory Commission. Reported Earnings • Mar 03
Full year 2021 earnings: EPS and revenues miss analyst expectations Full year 2021 results: EPS: CN¥0.31 (down from CN¥0.34 in FY 2020). Revenue: CN¥893.1m (up 19% from FY 2020). Net income: CN¥143.7m (down 8.5% from FY 2020). Profit margin: 16% (down from 21% in FY 2020). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 23%. Earnings per share (EPS) also missed analyst estimates by 20%. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has increased by 49% per year, which means it is well ahead of earnings. Reported Earnings • Oct 28
Third quarter 2021 earnings released: EPS CN¥0.089 (vs CN¥0.11 in 3Q 2020) The company reported a soft third quarter result with weaker earnings and profit margins, although revenues improved. Third quarter 2021 results: Revenue: CN¥212.4m (up 6.3% from 3Q 2020). Net income: CN¥41.7m (down 16% from 3Q 2020). Profit margin: 20% (down from 25% in 3Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has increased by 43% per year, which means it is well ahead of earnings. Reported Earnings • Aug 26
Second quarter 2021 earnings released: EPS CN¥0.092 (vs CN¥0.068 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¥241.8m (up 45% from 2Q 2020). Net income: CN¥42.9m (up 34% from 2Q 2020). Profit margin: 18% (down from 19% in 2Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has increased by 45% per year, which means it is well ahead of earnings. Reported Earnings • Apr 27
First quarter 2021 earnings released: EPS CN¥0.094 (vs CN¥0.076 in 1Q 2020) The company reported a solid first quarter result with improved earnings and revenues, although profit margins were flat. First quarter 2021 results: Revenue: CN¥213.8m (up 29% from 1Q 2020). Net income: CN¥44.0m (up 25% from 1Q 2020). Profit margin: 21% (in line with 1Q 2020). Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has increased by 55% per year, which means it is well ahead of earnings. Is New 90 Day High Low • Jan 26
New 90-day low: CN¥33.06 The company is down 10.0% from its price of CN¥36.93 on 28 October 2020. The Chinese market is up 12% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Chemicals industry, which is up 24% over the same period. Is New 90 Day High Low • Nov 10
New 90-day high: CN¥38.99 The company is up 49% from its price of CN¥26.20 on 12 August 2020. The Chinese market is up 1.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is up 4.0% 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¥148.6m, down 4.5% from the prior year. Total revenue was CN¥710.6m over the last 12 months, up 21% from the prior year. Is New 90 Day High Low • Oct 21
New 90-day high: CN¥36.30 The company is up 17% from its price of CN¥31.05 on 23 July 2020. The Chinese market is flat over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is up 5.0% over the same period. Aankondiging • Jul 09
Fujian Kuncai Material Technology Co., Ltd. to Report First Half, 2020 Results on Aug 26, 2020 Fujian Kuncai Material Technology Co., Ltd. announced that they will report first half, 2020 results on Aug 26, 2020 