Announcement • May 30
Chen Ke Ming Food Manufacturing Co., Ltd. Announces Final Cash Dividend on A Shares for the Year 2025, Payable on 04 June 2026 Chen Ke Ming Food Manufacturing Co., Ltd. announced final cash dividend of CNY 1.50 per 10 shares (tax included) on A shares for the year 2025. Record date: 03 June 2026, Ex-date: 04 June 2026 and Payment date: 04 June 2026. New Risk • Apr 29
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: 2.1% Last year net profit margin: 3.2% 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 Earnings have declined by 13% per year over the past 5 years. Minor Risks High level of debt (75% net debt to equity). Dividend is not well covered by earnings (124% payout ratio). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (2.1% net profit margin). Reported Earnings • Apr 29
Full year 2025 earnings released: EPS: CN¥0.30 (vs CN¥0.45 in FY 2024) Full year 2025 results: EPS: CN¥0.30 (down from CN¥0.45 in FY 2024). Revenue: CN¥4.33b (down 5.2% from FY 2024). Net income: CN¥92.3m (down 37% from FY 2024). Profit margin: 2.1% (down from 3.2% in FY 2024). Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has fallen by 9% per year, which means it is significantly lagging earnings. Announcement • Apr 29
Chen Ke Ming Food Manufacturing Co., Ltd., Annual General Meeting, May 20, 2026 Chen Ke Ming Food Manufacturing Co., Ltd., Annual General Meeting, May 20, 2026, at 15:00 China Standard Time. Location: 4F, R and D Building, No. 28, Zhenhua Road, Environmental Protection Technology Industrial Park, Yuhua District, Changsha, Hunan China Announcement • Mar 31
Chen Ke Ming Food Manufacturing Co., Ltd. to Report Q1, 2026 Results on Apr 29, 2026 Chen Ke Ming Food Manufacturing Co., Ltd. announced that they will report Q1, 2026 results on Apr 29, 2026 New Risk • Jan 02
New major risk - Dividend sustainability The dividend is not well covered by earnings and cash flows. Payout ratio: 124% The company is paying a dividend despite having no free cash flows. Dividend yield: 4.9% This is considered a major risk. Companies that pay out too much of their earnings and cash flows are at risk of having to reduce or cut their dividend in future. If earnings or cash flows stagnate or fall, then there may not be enough 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. 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 (6.7% operating cash flow to total debt). Dividend is not well covered by earnings and cash flows. Payout ratio: 124% Paying a dividend despite having no free cash flows. Earnings have declined by 21% per year over the past 5 years. Minor Risk Large one-off items impacting financial results. Announcement • Dec 31
Chen Ke Ming Food Manufacturing Co., Ltd. to Report Fiscal Year 2025 Results on Apr 29, 2026 Chen Ke Ming Food Manufacturing Co., Ltd. announced that they will report fiscal year 2025 results on Apr 29, 2026 Announcement • Oct 30
Chen Ke Ming Food Manufacturing Co., Ltd. Proposes Profit Distribution Plan for Third Quarter 2025 Chen Ke Ming Food Manufacturing Co., Ltd. proposed profit distribution plan for third quarter 2025. For the period, the company reported Cash dividend/10 shares (tax included): CNY 1.50000000. Reported Earnings • Oct 29
Third quarter 2025 earnings released: EPS: CN¥0.08 (vs CN¥0.17 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.08 (down from CN¥0.17 in 3Q 2024). Revenue: CN¥1.06b (down 1.9% from 3Q 2024). Net income: CN¥23.4m (down 55% from 3Q 2024). Profit margin: 2.2% (down from 4.8% in 3Q 2024). 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 • Sep 30
Chen Ke Ming Food Manufacturing Co., Ltd. to Report Q3, 2025 Results on Oct 29, 2025 Chen Ke Ming Food Manufacturing Co., Ltd. announced that they will report Q3, 2025 results on Oct 29, 2025 Announcement • Jul 02
Chen Ke Ming Food Manufacturing Co., Ltd. to Report First Half, 2025 Results on Aug 29, 2025 Chen Ke Ming Food Manufacturing Co., Ltd. announced that they will report first half, 2025 results on Aug 29, 2025 New Risk • May 05
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 16% 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 (16% operating cash flow to total debt). Earnings have declined by 31% per year over the past 5 years. Minor Risk Dividend is not well covered by cash flows (231% cash payout ratio). Reported Earnings • May 03
First quarter 2025 earnings released: EPS: CN¥0.27 (vs CN¥0.15 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.27 (up from CN¥0.15 in 1Q 2024). Revenue: CN¥1.12b (down 14% from 1Q 2024). Net income: CN¥85.8m (up 76% from 1Q 2024). Profit margin: 7.7% (up from 3.8% in 1Q 2024). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Buy Or Sell Opportunity • Apr 15
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 2.6% to CN¥10.40. The fair value is estimated to be CN¥8.60, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Meanwhile, the company has become profitable. Valuation Update With 7 Day Price Move • Apr 14
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to CN¥10.29, the stock trades at a trailing P/E ratio of 21.7x. Average trailing P/E is 34x in the Food industry in China. Total loss to shareholders of 8.6% over the past three years. Announcement • Mar 31
Chen Ke Ming Food Manufacturing Co., Ltd. to Report Q1, 2025 Results on Apr 29, 2025 Chen Ke Ming Food Manufacturing Co., Ltd. announced that they will report Q1, 2025 results on Apr 29, 2025 Announcement • Mar 25
Chen Ke Ming Food Manufacturing Co., Ltd. Proposes Dividend for the Year 2024 On March 24, 2025, Chen Ke Ming Food Manufacturing Co., Ltd. proposed profit distribution proposal for 2024 as follows: Cash dividend per 10 shares (tax included) of CNY 3.00000000. Announcement • Mar 24
Chen Ke Ming Food Manufacturing Co., Ltd., Annual General Meeting, Apr 18, 2025 Chen Ke Ming Food Manufacturing Co., Ltd., Annual General Meeting, Apr 18, 2025, at 15:00 China Standard Time. Location: The Company's Meeting Room, Zhumadian, Zhejiang China Reported Earnings • Mar 22
Full year 2024 earnings released: EPS: CN¥0.45 (vs CN¥0.20 loss in FY 2023) Full year 2024 results: EPS: CN¥0.45 (up from CN¥0.20 loss in FY 2023). Revenue: CN¥4.57b (down 12% from FY 2023). Net income: CN¥145.9m (up CN¥211.6m from FY 2023). Profit margin: 3.2% (up from net loss in FY 2023). Over the last 3 years on average, earnings per share has fallen by 10% 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. Announcement • Dec 31
Chen Ke Ming Food Manufacturing Co., Ltd. to Report Fiscal Year 2024 Results on Mar 22, 2025 Chen Ke Ming Food Manufacturing Co., Ltd. announced that they will report fiscal year 2024 results on Mar 22, 2025 Valuation Update With 7 Day Price Move • Dec 12
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to CN¥11.59, the stock trades at a trailing P/E ratio of 48.1x. Average trailing P/E is 34x in the Food industry in China. Total returns to shareholders of 6.4% over the past three years. Announcement • Nov 13
Chen Ke Ming Food Manufacturing Co., Ltd. (SZSE:002661) announces an Equity Buyback for CNY 200 million worth of its shares. Chen Ke Ming Food Manufacturing Co., Ltd. (SZSE:002661) announces a share repurchase program. Under the program, the company will repurchase up to CNY 200 million worth of its shares. The repurchase price will not more than CNY 11.5 per share. The repurchased shares will be used for for equity incentive plans, employee stock ownership plans or conversion of corporate bonds issued by listed company that can be converted into shares. The repurchases will be funded using company's own funds or special repurchase loans. The repurchase period will be not more than 12 months. New Risk • Oct 31
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 1.3x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (1.3x net interest cover). Earnings have declined by 36% 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. Large one-off items impacting financial results. Reported Earnings • Oct 29
Third quarter 2024 earnings released: EPS: CN¥0.17 (vs CN¥0 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.17 (up from CN¥0 in 3Q 2023). Revenue: CN¥1.08b (down 14% from 3Q 2023). Net income: CN¥52.2m (up CN¥52.1m from 3Q 2023). Profit margin: 4.8% (up from 0% in 3Q 2023). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 26% 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. Announcement • Sep 30
Chen Ke Ming Food Manufacturing Co., Ltd. to Report Q3, 2024 Results on Oct 29, 2024 Chen Ke Ming Food Manufacturing Co., Ltd. announced that they will report Q3, 2024 results on Oct 29, 2024 Announcement • Sep 20
Chen Ke Ming Food Manufacturing Co., Ltd. Announces Interim Cash Dividend on A Shares for the Year 2024, Payable on 27 September 2024 Chen Ke Ming Food Manufacturing Co., Ltd. announced interim cash dividend of CNY 2.00 per 10 shares on A shares (tax included) for the year 2024. Record date: 26 September 2024, Ex-date: 27 September 2024 and Payment date: 27 September 2024. Announcement • Aug 30
Chen Ke Ming Food Manufacturing Co., Ltd. Announces the Profit Distribution Proposal for the First Half of 2024 Chen Ke Ming Food Manufacturing Co., Ltd. announced the profit distribution proposal for the first half of 2024 as follows: Cash dividend per 10 shares (tax included) of CNY 2.00000000. Announcement • Jul 09
Chen Ke Ming Food Manufacturing Co., Ltd. (SZSE:002661) announces an Equity Buyback for CNY 150 million worth of its shares. Chen Ke Ming Food Manufacturing Co., Ltd. (SZSE:002661) announces a share repurchase program. Under the program, the company will repurchase up to CNY 150 million worth of its shares. The repurchase price will not more than CNY 11.50 per Share. The repurchased shares will be used for for equity incentive plans, employee stock ownership plans or conversion of corporate bonds issued by listed company that can be converted into shares. The repurchases will be funded using company's own funds or self-raised funds. The repurchase period will be not more than 12 months. Announcement • Jun 29
Chen Ke Ming Food Manufacturing Co., Ltd. to Report First Half, 2024 Results on Aug 29, 2024 Chen Ke Ming Food Manufacturing Co., Ltd. announced that they will report first half, 2024 results on Aug 29, 2024 New Risk • May 18
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 3.3% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 31% per year over the past 5 years. Minor Risks High level of debt (55% net debt to equity). Shareholders have been diluted in the past year (3.3% increase in shares outstanding). Reported Earnings • May 03
First quarter 2024 earnings released: EPS: CN¥0.15 (vs CN¥0.11 in 1Q 2023) First quarter 2024 results: EPS: CN¥0.15 (up from CN¥0.11 in 1Q 2023). Revenue: CN¥1.30b (down 11% from 1Q 2023). Net income: CN¥48.8m (up 40% from 1Q 2023). Profit margin: 3.8% (up from 2.4% in 1Q 2023). Over the last 3 years on average, earnings per share has fallen by 52% per year but the company’s share price has only fallen by 17% per year, which means it has not declined as severely as earnings. Announcement • Mar 30
Chen Ke Ming Food Manufacturing Co., Ltd. to Report Q1, 2024 Results on Apr 29, 2024 Chen Ke Ming Food Manufacturing Co., Ltd. announced that they will report Q1, 2024 results on Apr 29, 2024 Reported Earnings • Mar 16
Full year 2023 earnings released: CN¥0.20 loss per share (vs CN¥0.48 profit in FY 2022) Full year 2023 results: CN¥0.20 loss per share (down from CN¥0.48 profit in FY 2022). Revenue: CN¥5.18b (up 3.3% from FY 2022). Net loss: CN¥65.7m (down 142% from profit in FY 2022). Over the last 3 years on average, earnings per share has fallen by 51% per year but the company’s share price has only fallen by 20% per year, which means it has not declined as severely as earnings. Announcement • Mar 16
Chen Ke Ming Food Manufacturing Co., Ltd., Annual General Meeting, Apr 12, 2024 Chen Ke Ming Food Manufacturing Co., Ltd., Annual General Meeting, Apr 12, 2024, at 15:00 China Standard Time. New Risk • Mar 15
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended June 2023. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (2.6x net interest cover). Earnings have declined by 13% per year over the past 5 years. Minor Risks Latest financial reports are more than 6 months old (reported June 2023 fiscal period end). Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Large one-off items impacting financial results. 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¥6.91, the stock trades at a trailing P/E ratio of 20.6x. Average trailing P/E is 26x in the Food industry in China. Total loss to shareholders of 54% over the past three years. Announcement • Dec 29
Chen Ke Ming Food Manufacturing Co., Ltd. to Report Fiscal Year 2023 Results on Mar 12, 2024 Chen Ke Ming Food Manufacturing Co., Ltd. announced that they will report fiscal year 2023 results on Mar 12, 2024 Announcement • Sep 30
Chen Ke Ming Food Manufacturing Co., Ltd. to Report Q3, 2023 Results on Oct 26, 2023 Chen Ke Ming Food Manufacturing Co., Ltd. announced that they will report Q3, 2023 results on Oct 26, 2023 New Risk • Sep 02
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 2.6x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (2.6x net interest cover). Earnings have declined by 13% 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. Large one-off items impacting financial results. Reported Earnings • Aug 29
Second quarter 2023 earnings released: CN¥0.071 loss per share (vs CN¥0.066 profit in 2Q 2022) Second quarter 2023 results: CN¥0.071 loss per share (down from CN¥0.066 profit in 2Q 2022). Revenue: CN¥1.22b (down 7.4% from 2Q 2022). Net loss: CN¥23.7m (down 213% from profit in 2Q 2022). Over the last 3 years on average, earnings per share has fallen by 46% 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. Announcement • May 31
Chen Ke Ming Food Manufacturing Co., Ltd. Announces Final Cash Dividend on A Shares for the Year 2022, Payable on 05 June 2023 Chen Ke Ming Food Manufacturing Co., Ltd. announced final cash dividend of CNY 2.00000000 per 10 shares (tax included) on A shares for the year 2022. Record date is 02 June 2023, Ex-date is 05 June 2023 and Payment date is 05 June 2023. Announcement • May 25
Chen Ke Ming Food Manufacturing Co., Ltd. Approves Cash Dividend for 2022 Chen Ke Ming Food Manufacturing Co., Ltd. announced that at the Annual General Meeting of 2022 held on 22 May 2023 approved Cash dividend/10 shares (tax included) of CNY 2.00000000 for 2022. Reported Earnings • Apr 28
Full year 2022 earnings released: EPS: CN¥0.48 (vs CN¥0.20 in FY 2021) Full year 2022 results: EPS: CN¥0.48 (up from CN¥0.20 in FY 2021). Revenue: CN¥5.02b (up 16% from FY 2021). Net income: CN¥154.8m (up 130% from FY 2021). Profit margin: 3.1% (up from 1.6% in FY 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 41% 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. Board Change • Nov 16
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was an independent director. The company's board is composed of: 1 new director. 7 experienced directors. 3 highly experienced directors. 2 independent directors (7 non-independent directors). Independent Director Xianwu Zhao was the last independent director to join the board, commencing their role in 2021. 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 25
Third quarter 2022 earnings released Third quarter 2022 results: EPS: CN¥0.14. Net income: CN¥46.3m (up CN¥46.3m from 3Q 2021). Revenue is forecast to grow 5.6% p.a. on average during the next 2 years, compared to a 16% growth forecast for the Food 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 2% per year, which means it has not declined as severely as earnings. Major Estimate Revision • Aug 29
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 revenue forecast increased from CN¥4.60b to CN¥4.90b. EPS estimate fell from CN¥0.57 to CN¥0.51 per share. Net income forecast to grow 91% next year vs 35% growth forecast for Food industry in China. Consensus price target up from CN¥15.00 to CN¥16.00. Share price was steady at CN¥12.94 over the past week. Reported Earnings • Aug 24
Second quarter 2022 earnings released: EPS: CN¥0.066 (vs CN¥0.26 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.066 (down from CN¥0.26 in 2Q 2021). Revenue: CN¥1.32b (up 19% from 2Q 2021). Net income: CN¥20.9m (down 76% from 2Q 2021). Profit margin: 1.6% (down from 7.7% in 2Q 2021). Over the next year, revenue is forecast to grow 7.4%, compared to a 23% growth forecast for the Food 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 remained flat, which means it is well ahead of earnings. Announcement • Jun 11
Chen Ke Ming Food Manufacturing Co., Ltd. Announces Final Cash Dividend on A Shares for the Year 2021, Payable on 17 June 2022 Chen Ke Ming Food Manufacturing Co., Ltd. announced final cash dividend/10 shares (tax included) of CNY 2.00000000 on A shares for the year 2021. Record date is 16 June 2022. Ex-date is 17 June 2022. Payment date is 17 June 2022. Announcement • Jun 10
Chen Ke Ming Food Manufacturing Co., Ltd. announced that it expects to receive CNY 423.45 million in funding Chen Ke Ming Food Manufacturing Co., Ltd. announced that it has entered into agreement for a private placement of 45,000,000 A shares at an issue price of CNY 9.41 per share for gross proceeds of CNY 423,450,000 on June 8, 2022. The transaction will include participation from Chen Hong for 25,000,000 shares for proceeds of CNY 235,250,000 and Duan Juxiang for 15,000,000 shares for proceeds of CNY 141,150,000 and Chen Hui for 5,000,000 shares for proceeds of CNY 47,050,000. The issuance price of 80% of the average trading price of the company's A shares in the 20 trading days before the pricing reference date. The shares to be issued will have a hold period of 36 months. The transaction was approved by the board of directors of the company at its second meeting of the sixth board of directors and the twenty-sixth meeting of the fifth board of supervisors, and the independent directors of the company expressed their independent opinions and is subject to company's general meeting of shareholders and The China Securities Regulatory Commission. Announcement • May 20
Chen Ke Ming Food Manufacturing Co., Ltd. Approves Cash Dividend Chen Ke Ming Food Manufacturing Co., Ltd. held its Annual General Meeting of 2021 on 18 May 2022, during which it approved: Cash dividend/10 shares (tax included): CNY 2.00000000. Announcement • Apr 27
Chen Ke Ming Food Manufacturing Co., Ltd. Proposes Final Cash Dividend for 2021 Chen Ke Ming Food Manufacturing Co., Ltd. proposed final Cash dividend per 10 shares (tax included): CNY 2.00000000 for 2021. Reported Earnings • Apr 27
First quarter 2022 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2022 results: EPS: CN¥0.18 (down from CN¥0.26 in 1Q 2021). Revenue: CN¥1.10b (flat on 1Q 2021). Net income: CN¥60.5m (down 29% from 1Q 2021). Profit margin: 5.5% (down from 7.7% in 1Q 2021). Revenue exceeded analyst estimates by 9.6%. Earnings per share (EPS) missed analyst estimates by 6.1%. Over the last 3 years on average, earnings per share has fallen by 18% 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. 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. 5 independent directors (6 non-independent directors). Deputy GM & Non-Independent Director Hong Chen was the last independent director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Announcement • Aug 16
Chen Ke Ming Food Manufacturing Co., Ltd. (SZSE:002661) commences an Equity Buyback Plan for CNY 120 million worth of its shares, under the authorization approved on July 30, 2021. Chen Ke Ming Food Manufacturing Co., Ltd. (SZSE:002661) commences share repurchases on August 13, 2021, under the program mandated by the shareholders in the Extraordinary Shareholders Meeting held on July 30, 2021. As per the mandate, the company is authorized to repurchase up to CNY 120 million worth of class A shares. The shares will be repurchased at a price no more than CNY 16 per share. The repurchased shares will be used to implement the company’s employee stock ownership plan or equity incentives. The company will use its own funds to repurchase the company’s shares. The program is valid till 12 months from the shareholders' approval. Reported Earnings • Aug 13
Second quarter 2021 earnings released: CN¥0.13 loss per share (vs CN¥0.37 profit in 2Q 2020) The company reported a poor second quarter result with weaker earnings, revenues and control over costs. Second quarter 2021 results: Revenue: CN¥946.1m (down 10% from 2Q 2020). Net loss: CN¥42.2m (down 136% from profit in 2Q 2020). Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Jul 17
Investor sentiment deteriorated over the past week After last week's 16% share price decline to CN¥11.51, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 25x in the Food industry in China. Total loss to shareholders of 15% over the past three years. Announcement • May 19
Kemen Noodle Manufacturing Co.,Ltd Announces 2020 Final Profit Distribution Plan to Be Implemented (A Shares), Payable on 26 May 2021 Kemen Noodle Manufacturing Co.,Ltd announced 2020 final profit distribution plan to be implemented (A shares) of CNY 3.00000000 per 10 shares (tax included), with Record date: 25 May 2021; Ex-date: 26 May 2021; and Payment date: 26 May 2021. Price Target Changed • Apr 25
Price target decreased to CN¥20.00 Down from CN¥26.50, the current price target is provided by 1 analyst. New target price is 32% above last closing price of CN¥15.18. Stock is down 20% over the past year. Reported Earnings • Apr 20
First quarter 2021 earnings released: EPS CN¥0.26 (vs CN¥0.33 in 1Q 2020) The company reported a soft first quarter result with weaker earnings and profit margins, although revenues improved. First quarter 2021 results: Revenue: CN¥1.10b (up 25% from 1Q 2020). Net income: CN¥85.3m (down 18% from 1Q 2020). Profit margin: 7.7% (down from 12% in 1Q 2020). The decrease in margin was driven by higher expenses. Is New 90 Day High Low • Mar 09
New 90-day low: CN¥15.82 The company is down 20% from its price of CN¥19.83 on 09 December 2020. The Chinese market is down 2.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Food industry, which is down 2.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥10.18 per share. Announcement • Mar 09
Kemen Noodle Manufacturing Co.,Ltd to Report Fiscal Year 2020 Results on Apr 20, 2021 Kemen Noodle Manufacturing Co.,Ltd announced that they will report fiscal year 2020 results on Apr 20, 2021 Is New 90 Day High Low • Feb 04
New 90-day low: CN¥16.42 The company is down 16% from its price of CN¥19.58 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 Food industry, which is up 20% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥10.18 per share. Is New 90 Day High Low • Dec 22
New 90-day low: CN¥18.80 The company is down 10.0% from its price of CN¥20.96 on 23 September 2020. The Chinese market is up 5.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Food industry, which is up 4.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥9.38 per share. Announcement • Nov 26
Kemen Noodle Manufacturing Co.,Ltd, Annual General Meeting, Dec 10, 2020 Kemen Noodle Manufacturing Co.,Ltd, Annual General Meeting, Dec 10, 2020, at 15:00 China Standard Time. Agenda: To consider the company's eligibility for non-public A-share offering; to consider plan for 2020 non-public A-share offering; to consider preplan for 2020 non-public A-share offering; to consider feasibility analysis report on the use of funds to be raised from the 2020 non-public A-share offering; to consider report on the use of previously raised funds; to consider diluted immediate return after the non-public A-share offering, filling measures and commitments of relevant parties; to consider setting up a deposit account for raised funds; to consider connected transactions involved in the non-public A-share offering and to consider other matters. Is New 90 Day High Low • Nov 11
New 90-day low: CN¥19.12 The company is down 15% from its price of CN¥22.55 on 13 August 2020. The Chinese market is up 2.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Food industry, which is down 7.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥8.05 per share. Reported Earnings • Oct 28
Third quarter earnings released Over the last 12 months the company has reported total profits of CN¥362.7m, up 133% from the prior year. Total revenue was CN¥3.70b over the last 12 months, up 19% from the prior year. Is New 90 Day High Low • Oct 23
New 90-day low: CN¥19.65 The company is down 15% from its price of CN¥23.19 on 24 July 2020. The Chinese market is up 4.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Food industry, which is up 3.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥15.23 per share. Announcement • Oct 20
Kemen Noodle Manufacturing Co.,Ltd to Report Q3, 2020 Results on Oct 28, 2020 Kemen Noodle Manufacturing Co.,Ltd announced that they will report Q3, 2020 results on Oct 28, 2020 Is New 90 Day High Low • Sep 28
New 90-day low: CN¥20.36 The company is down 12% from its price of CN¥23.18 on 30 June 2020. The Chinese market is up 9.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Food industry, which is up 12% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥15.23 per share. Announcement • Sep 26
Hunan Kemen Food Group Co., Ltd. signed an equity transfer agreement to acquire 36.78% stake in Nanxian Kemen Small Loan Co., Ltd. from Kemen Noodle Manufacturing Co.,Ltd (SZSE:002661) for CNY 35.3 million. Hunan Kemen Food Group Co., Ltd. signed an equity transfer agreement to acquire 36.8% stake in Nanxian Kemen Small Loan Co., Ltd. from Kemen Noodle Manufacturing Co.,Ltd (SZSE:002661) for CNY 35.3 million on July 29, 2020. The agreement stipulates that the equity transfer payment shall be paid in three installments and Hunan Kemen Food Group shall pay the consideration in cash. At present, Kemen Noodle Manufacturing has received the first transfer payment of CNY 3.5 million as agreed in the agreement. As of August 19, 2020, Hunan Kemen Food and Kemen Noodle Manufacturing signed a supplementary agreement to acquire 36.8% stake in Nanxian Kemen Small Loan for CNY 39.05 million and as of the date of signing the agreement Kemen Noodle Manufacturing received payment of CNY 3.91 million. The deal terms were revised based on the equity value assets assessment report. Kemen Noodle Manufacturing will perform its information disclosure obligations in a timely manner based on the progress of the matter. According to the "Shenzhen Stock Exchange Stock Listing Rules" and other relevant regulations, this transaction constitutes a connected transaction, but does not constitute a major asset reorganization as required by the "Administrative Measures for the Major Asset Reorganization of Listed Companies".
For the year ending December 31, 2019, Nanxian Kemen Small Loan reported revenues as CNY 4.8 million, total assets as CNY 106.2 million, operating profit as CNY 3.2 million, net profit of CNY 3.4 million and net assets of CNY 106.1 million. As on July 29, 2020, Kemen Noodle Manufacturing held the tenth meeting of the fifth Directorate, and reviewed and approved the deal. Announcement • Aug 08
Kemen Noodle Manufacturing Co.,Ltd to Report First Half, 2020 Results on Aug 26, 2020 Kemen Noodle Manufacturing Co.,Ltd announced that they will report first half, 2020 results on Aug 26, 2020 
