Board Change • May 20
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 9 experienced directors. 3 highly experienced directors. Chairman of Supervisory Board Guangmin Wang was the last director to join the board, commencing their role in 2022. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Announcement • Mar 31
Dayu Irrigation Group Co.,Ltd to Report Q1, 2026 Results on Apr 28, 2026 Dayu Irrigation Group Co.,Ltd announced that they will report Q1, 2026 results on Apr 28, 2026 Announcement • Dec 31
Dayu Irrigation Group Co.,Ltd to Report Fiscal Year 2025 Results on Apr 23, 2026 Dayu Irrigation Group Co.,Ltd announced that they will report fiscal year 2025 results on Apr 23, 2026 Announcement • Jul 02
Dayu Irrigation Group Co.,Ltd to Report First Half, 2025 Results on Aug 26, 2025 Dayu Irrigation Group Co.,Ltd announced that they will report first half, 2025 results on Aug 26, 2025 Announcement • May 18
Dayu Irrigation Group Co.,Ltd Appoints Wang Haoyu as Non-Independent Director Dayu Irrigation Co. Ltd. at its Extraordinary General Meeting of 2025 held on 15 May 2025 appointed Wang Haoyu as non-independent director. Announcement • Apr 25
Dayu Irrigation Group Co.,Ltd Proposes Final Cash Dividend for 2024 Dayu Irrigation Group Co.,Ltd proposed final cash dividend of CNY 0.60000000 (tax included) per ten shares for 2024. Announcement • Apr 23
Dayu Irrigation Group Co.,Ltd, Annual General Meeting, May 13, 2025 Dayu Irrigation Group Co.,Ltd, Annual General Meeting, May 13, 2025, at 14:00 China Standard Time. Location: The Company's Meeting Room, Jiuquan, Gansu China Announcement • Mar 31
Dayu Irrigation Group Co.,Ltd to Report Q1, 2025 Results on Apr 28, 2025 Dayu Irrigation Group Co.,Ltd announced that they will report Q1, 2025 results on Apr 28, 2025 Announcement • Dec 31
Dayu Irrigation Group Co.,Ltd to Report Fiscal Year 2024 Results on Apr 15, 2025 Dayu Irrigation Group Co.,Ltd announced that they will report fiscal year 2024 results on Apr 15, 2025 Reported Earnings • Oct 28
Third quarter 2024 earnings released: EPS: CN¥0.013 (vs CN¥0.014 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.013 (down from CN¥0.014 in 3Q 2023). Revenue: CN¥667.0m (down 8.7% from 3Q 2023). Net income: CN¥11.0m (down 6.6% from 3Q 2023). Profit margin: 1.7% (up from 1.6% in 3Q 2023). Over the last 3 years on average, earnings per share has fallen by 40% per year but the company’s share price has only fallen by 5% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 27% After last week's 27% share price gain to CN¥3.92, the stock trades at a trailing P/E ratio of 74.3x. Average trailing P/E is 29x in the Machinery industry in China. Total loss to shareholders of 20% over the past three years. Announcement • Sep 30
Dayu Irrigation Group Co.,Ltd to Report Q3, 2024 Results on Oct 28, 2024 Dayu Irrigation Group Co.,Ltd announced that they will report Q3, 2024 results on Oct 28, 2024 New Risk • Aug 22
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 104% 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 Risks Interest payments are not well covered by earnings (1.9x net interest cover). Earnings have declined by 9.6% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.3% net profit margin). Reported Earnings • Aug 22
Second quarter 2024 earnings released: EPS: CN¥0.012 (vs CN¥0.013 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.012 (down from CN¥0.013 in 2Q 2023). Revenue: CN¥753.6m (up 15% from 2Q 2023). Net income: CN¥9.97m (down 30% from 2Q 2023). Profit margin: 1.3% (down from 2.2% in 2Q 2023). Over the last 3 years on average, earnings per share has fallen by 32% per year but the company’s share price has only fallen by 14% per year, which means it has not declined as severely as earnings. Announcement • Jun 29
Dayu Irrigation Group Co.,Ltd. to Report First Half, 2024 Results on Aug 22, 2024 Dayu Irrigation Group Co.,Ltd. announced that they will report first half, 2024 results on Aug 22, 2024 Announcement • Jun 22
Dayu Irrigation Group Co.,Ltd. (SZSE:300021) announces an Equity Buyback for CNY 30 million worth of its shares. Dayu Irrigation Group Co.,Ltd. (SZSE:300021) announces a share repurchase program. Under the program, the company will repurchase up to CNY 30 million worth of its A shares. The shares will be purchased at a price not exceeding CNY 4.5 per share. The repurchased shares will be used for the implementation of ESOP or equity incentive plan. The program will be funded from company's own funds. The program will be valid for 12 months. New Risk • Jun 18
New major risk - Revenue and earnings growth Earnings have declined by 6.6% 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 6.6% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (1.4% net profit margin). Declared Dividend • May 13
Dividend reduced to CN¥0.03 Dividend of CN¥0.03 is 70% lower than last year. Ex-date: 17th May 2024 Payment date: 17th May 2024 Dividend yield will be 0.8%, which is lower than the industry average of 2.0%. Sustainability & Growth Dividend is covered by earnings (56% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 2.3% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 68% over the next year, which should provide support to the dividend and adequate earnings cover. Announcement • May 11
Dayu Irrigation Group Co.,Ltd. Announces Cash Dividend of A Share for the Year 2023, Payable on May 17, 2024 Dayu Irrigation Group Co.,Ltd. announced cash dividend/10 shares (tax included) of CNY 0.30000000 of A share for the year 2023. Record date is May 16, 2024. Ex-date is May 17, 2024. Payment date is May 17, 2024. Reported Earnings • Apr 11
Full year 2023 earnings released: EPS: CN¥0.059 (vs CN¥0.12 in FY 2022) Full year 2023 results: EPS: CN¥0.059 (down from CN¥0.12 in FY 2022). Revenue: CN¥3.45b (up 1.5% from FY 2022). Net income: CN¥50.1m (down 48% from FY 2022). Profit margin: 1.5% (down from 2.9% in FY 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 36% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Machinery industry in China. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has only fallen by 6% per year, which means it has not declined as severely as earnings. Announcement • Apr 10
Dayu Irrigation Group Co.,Ltd., Annual General Meeting, May 07, 2024 Dayu Irrigation Group Co.,Ltd., Annual General Meeting, May 07, 2024, at 14:30 China Standard Time. Location: The Company's Meeting Room, Jiuquan, Gansu China Announcement • Mar 30
Dayu Irrigation Group Co.,Ltd. to Report Q1, 2024 Results on Apr 26, 2024 Dayu Irrigation Group Co.,Ltd. announced that they will report Q1, 2024 results on Apr 26, 2024 Valuation Update With 7 Day Price Move • Feb 02
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥3.75, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 14x in the Machinery industry in China. Total loss to shareholders of 11% over the past three years. Announcement • Dec 29
Dayu Irrigation Group Co.,Ltd. to Report Fiscal Year 2023 Results on Apr 10, 2024 Dayu Irrigation Group Co.,Ltd. announced that they will report fiscal year 2023 results on Apr 10, 2024 Reported Earnings • Oct 27
Third quarter 2023 earnings released: EPS: CN¥0.014 (vs CN¥0.015 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.014 (down from CN¥0.015 in 3Q 2022). Revenue: CN¥730.6m (up 7.3% from 3Q 2022). Net income: CN¥11.8m (down 14% from 3Q 2022). Profit margin: 1.6% (down from 2.0% in 3Q 2022). Revenue is forecast to grow 33% p.a. on average during the next 3 years, compared to a 21% growth forecast for the Machinery industry in China. Over the last 3 years on average, earnings per share has fallen by 5% per year whereas the company’s share price has fallen by 3% per year. Reported Earnings • Aug 22
Second quarter 2023 earnings released: EPS: CN¥0.013 (vs CN¥0.021 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.013 (down from CN¥0.021 in 2Q 2022). Revenue: CN¥655.5m (down 22% from 2Q 2022). Net income: CN¥14.3m (down 11% from 2Q 2022). Profit margin: 2.2% (up from 1.9% in 2Q 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 31% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Machinery industry in China. Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has fallen by 6% per year, which means it is significantly lagging earnings. Announcement • Jul 01
Dayu Irrigation Group Co.,Ltd. to Report First Half, 2023 Results on Aug 22, 2023 Dayu Irrigation Group Co.,Ltd. announced that they will report first half, 2023 results on Aug 22, 2023 Announcement • May 12
Dayu Irrigation Group Co.,Ltd. Announces Final Dividend on A Shares for the Year 2022, Payable on May 17, 2023 Dayu Irrigation Group Co.,Ltd. announced final cash dividend/10 shares (tax included) of CNY 1.00000000 on A shares for the year 2022. Record date is May 16, 2023. Ex-date is May 17, 2023. Payment date is May 17, 2023. Reported Earnings • Apr 12
Full year 2022 earnings released: EPS: CN¥0.12 (vs CN¥0.17 in FY 2021) Full year 2022 results: EPS: CN¥0.12 (down from CN¥0.17 in FY 2021). Revenue: CN¥3.40b (down 3.2% from FY 2021). Net income: CN¥97.1m (down 28% from FY 2021). Profit margin: 2.9% (down from 3.8% in FY 2021). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Board Change • Nov 16
High number of new and inexperienced directors There are 7 new directors who have joined the board in the last 3 years. The company's board is composed of: 7 new directors. 4 experienced directors. No highly experienced directors. Executive VP & Non-Independent Director Liqun Yan is the most experienced director on the board, commencing their role in 2022. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Reported Earnings • Oct 25
Third quarter 2022 earnings released: EPS: CN¥0.015 (vs CN¥0.038 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.015 (down from CN¥0.038 in 3Q 2021). Revenue: CN¥681.1m (up 2.1% from 3Q 2021). Net income: CN¥13.7m (down 56% from 3Q 2021). Profit margin: 2.0% (down from 4.6% in 3Q 2021). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 31% p.a. on average during the next 3 years, compared to a 23% growth forecast for the Machinery industry in China. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Reported Earnings • Aug 24
Second quarter 2022 earnings released: EPS: CN¥0.021 (vs CN¥0.02 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.021 (up from CN¥0.02 in 2Q 2021). Revenue: CN¥840.6m (up 40% from 2Q 2021). Net income: CN¥16.0m (up 1.5% from 2Q 2021). Profit margin: 1.9% (down from 2.6% in 2Q 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 6% per year whereas the company’s share price has increased by 1% per year. Reported Earnings • Apr 29
First quarter 2022 earnings released: EPS: CN¥0.021 (vs CN¥0.02 in 1Q 2021) First quarter 2022 results: EPS: CN¥0.021 (up from CN¥0.02 in 1Q 2021). Revenue: CN¥542.4m (up 25% from 1Q 2021). Net income: CN¥16.3m (up 4.3% from 1Q 2021). Profit margin: 3.0% (down from 3.6% in 1Q 2021). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 11%, compared to a 30% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has fallen by 15% per year, which means it is significantly lagging 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. 12 experienced directors. No highly experienced directors. 3 independent directors (7 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 • Apr 13
Full year 2021 earnings released: EPS: CN¥0.17 (vs CN¥0.12 in FY 2020) Full year 2021 results: EPS: CN¥0.17 (up from CN¥0.12 in FY 2020). Revenue: CN¥3.52b (up 74% from FY 2020). Net income: CN¥135.3m (up 37% from FY 2020). Profit margin: 3.8% (down from 4.9% in FY 2020). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 7.6%, compared to a 29% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has fallen by 9% per year, which means it is significantly lagging earnings. Reported Earnings • Oct 26
Third quarter 2021 earnings released: EPS CN¥0.038 (vs CN¥0.027 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¥667.4m (up 79% from 3Q 2020). Net income: CN¥31.0m (up 47% from 3Q 2020). Profit margin: 4.6% (down from 5.7% 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 6% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. Reported Earnings • Aug 24
Second quarter 2021 earnings released: EPS CN¥0.02 (vs CN¥0.033 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: CN¥602.1m (up 11% from 2Q 2020). Net income: CN¥15.8m (down 39% from 2Q 2020). Profit margin: 2.6% (down from 4.8% 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 8% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Jun 23
Investor sentiment improved over the past week After last week's 18% share price gain to CN¥5.68, the stock trades at a trailing P/E ratio of 41.1x. Average trailing P/E is 32x in the Machinery industry in China. Total returns to shareholders of 18% over the past three years. Reported Earnings • Apr 20
Full year 2020 earnings released: EPS CN¥0.12 (vs CN¥0.16 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥2.02b (down 6.8% from FY 2019). Net income: CN¥98.8m (down 24% from FY 2019). Profit margin: 4.9% (down from 6.0% 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 whereas the company’s share price has fallen by 9% per year. Is New 90 Day High Low • Feb 04
New 90-day low: CN¥4.67 The company is down 17% from its price of CN¥5.66 on 06 November 2020. The Chinese market is up 5.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Machinery industry, which is up 3.0% over the same period. Is New 90 Day High Low • Jan 07
New 90-day low: CN¥5.00 The company is down 7.0% from its price of CN¥5.39 on 09 October 2020. The Chinese market is up 11% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Machinery industry, which is up 11% 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¥93.8m, down 26% from the prior year. Total revenue was CN¥1.96b over the last 12 months, down 7.7% from the prior year.