New Risk • Apr 23
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 9.9% 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 (9.3% operating cash flow to total debt). Share price has been highly volatile over the past 3 months (9.9% average weekly change). Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.8% net profit margin). Announcement • Apr 10
Guangdong HEC Technology Holding Co., Ltd, Annual General Meeting, May 08, 2026 Guangdong HEC Technology Holding Co., Ltd, Annual General Meeting, May 08, 2026, at 10:00 China Standard Time. Location: HEC Industrial Park, Hougongdu Town, Ruyuan County, Shaoguan, Guangdong China Reported Earnings • Apr 10
Full year 2025 earnings: EPS and revenues miss analyst expectations Full year 2025 results: EPS: CN¥0.09 (down from CN¥0.13 in FY 2024). Revenue: CN¥14.9b (up 22% from FY 2024). Net income: CN¥275.5m (down 27% from FY 2024). Profit margin: 1.8% (down from 3.1% in FY 2024). Revenue missed analyst estimates by 6.3%. Earnings per share (EPS) also missed analyst estimates by 80%. Revenue is forecast to grow 18% p.a. on average during the next 2 years, compared to a 11% growth forecast for the Metals and Mining industry in China. Over the last 3 years on average, earnings per share has fallen by 10% per year but the company’s share price has increased by 55% per year, which means it is well ahead of earnings. Announcement • Mar 30
Guangdong HEC Technology Holding Co., Ltd to Report Q1, 2026 Results on Apr 28, 2026 Guangdong HEC Technology Holding Co., Ltd announced that they will report Q1, 2026 results on Apr 28, 2026 Board Change • Mar 09
Less than half of directors are independent There are 5 new directors who have joined the board in the last 3 years. Of these new board members, 1 was an independent director. The company's board is composed of: 3 independent directors. 6 non-independent directors. Independent Director Xie Bin was the last independent director to join the board, commencing their role in 2024. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Price Target Changed • Mar 09
Price target increased by 78% to CN¥16.21 Up from CN¥9.11, the current price target is an average from 2 analysts. New target price is 59% below last closing price of CN¥40.00. Stock is up 265% over the past year. The company is forecast to post earnings per share of CN¥0.43 for next year compared to CN¥0.13 last year. Announcement • Feb 25
Guangdong HEC Technology Holding Co., Ltd (SHSE:600673) signed purchase intention agreement to acquire an additional unknown minority stake in Yichang Dongshu No. 1 Investment Co., Ltd.. Guangdong HEC Technology Holding Co., Ltd (SHSE:600673) signed purchase intention agreement to acquire an additional unknown minority stake in Yichang Dongshu No. 1 Investment Co., Ltd. on February 24, 2026. The consideration consists of common equity of Guangdong HEC Technology Holding Co., Ltd to be issued for common equity of Yichang Dongshu No. 1 Investment Co., Ltd. As part of consideration, an undisclosed value is paid towards common equity of Yichang Dongshu No. 1 Investment Co., Ltd. Announcement • Dec 26
Guangdong HEC Technology Holding Co., Ltd to Report Fiscal Year 2025 Results on Apr 10, 2026 Guangdong HEC Technology Holding Co., Ltd announced that they will report fiscal year 2025 results on Apr 10, 2026 Valuation Update With 7 Day Price Move • Dec 10
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥24.12, the stock trades at a forward P/E ratio of 42x. Average forward P/E is 19x in the Metals and Mining industry in China. Total returns to shareholders of 184% over the past three years. Reported Earnings • Oct 28
Third quarter 2025 earnings released: EPS: CN¥0.10 (vs CN¥0.03 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.10 (up from CN¥0.03 in 3Q 2024). Revenue: CN¥3.85b (up 34% from 3Q 2024). Net income: CN¥292.9m (up 240% from 3Q 2024). Profit margin: 7.6% (up from 3.0% in 3Q 2024). 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 9.4% growth forecast for the Metals and Mining industry in China. Over the last 3 years on average, earnings per share has fallen by 21% per year but the company’s share price has increased by 35% per year, which means it is well ahead of earnings. Announcement • Sep 30
Guangdong HEC Technology Holding Co., Ltd to Report Q3, 2025 Results on Oct 28, 2025 Guangdong HEC Technology Holding Co., Ltd announced that they will report Q3, 2025 results on Oct 28, 2025 Valuation Update With 7 Day Price Move • Aug 21
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to CN¥18.36, the stock trades at a forward P/E ratio of 35x. Average forward P/E is 18x in the Metals and Mining industry in China. Total returns to shareholders of 71% over the past three years. New Risk • Aug 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 6.6% 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 Risks Debt is not well covered by operating cash flow (3.5% operating cash flow to total debt). Dividend is not well covered by earnings and cash flows. Payout ratio: 408% Paying a dividend despite having no free cash flows. Minor Risks Share price has been volatile over the past 3 months (6.6% average weekly change). Large one-off items impacting financial results. New Risk • Aug 17
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 Risks Debt is not well covered by operating cash flow (3.5% operating cash flow to total debt). Dividend is not well covered by earnings and cash flows. Payout ratio: 408% Paying a dividend despite having no free cash flows. Minor Risk Large one-off items impacting financial results. Reported Earnings • Aug 16
Second quarter 2025 earnings released: EPS: CN¥0.11 (vs CN¥0.043 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.11 (up from CN¥0.043 in 2Q 2024). Revenue: CN¥3.78b (up 19% from 2Q 2024). Net income: CN¥334.6m (up 162% from 2Q 2024). Profit margin: 8.9% (up from 4.0% in 2Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 18% p.a. on average during the next 3 years, compared to a 9.4% growth forecast for the Metals and Mining industry in China. Over the last 3 years on average, earnings per share has fallen by 49% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Jul 07
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to CN¥13.85, the stock trades at a forward P/E ratio of 29x. Average forward P/E is 17x in the Metals and Mining industry in China. Total returns to shareholders of 58% over the past three years. Announcement • Jun 30
Guangdong HEC Technology Holding Co., Ltd to Report First Half, 2025 Results on Aug 15, 2025 Guangdong HEC Technology Holding Co., Ltd announced that they will report first half, 2025 results on Aug 15, 2025 Valuation Update With 7 Day Price Move • Jun 18
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥11.65, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 17x in the Metals and Mining industry in China. Total returns to shareholders of 42% over the past three years. Announcement • Apr 10
Guangdong HEC Technology Holding Co., Ltd, Annual General Meeting, May 08, 2025 Guangdong HEC Technology Holding Co., Ltd, Annual General Meeting, May 08, 2025, at 10:00 China Standard Time. Location: HEC Industrial Park, Hougongdu Town, Ruyuan County, Shaoguan, Guangdong China Announcement • Mar 28
Guangdong HEC Technology Holding Co., Ltd to Report Q1, 2025 Results on Apr 30, 2025 Guangdong HEC Technology Holding Co., Ltd announced that they will report Q1, 2025 results on Apr 30, 2025 New Risk • Feb 05
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 8.7% 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 Risks Interest payments are not well covered by earnings (2.0x net interest cover). Dividend is not well covered by earnings and cash flows. Payout ratio: 400% Paying a dividend despite having no free cash flows. Minor Risks Share price has been volatile over the past 3 months (8.7% average weekly change). Large one-off items impacting financial results. Major Estimate Revision • Dec 28
Consensus EPS estimates fall by 28% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥15.1b to CN¥14.9b. EPS estimate also fell from CN¥0.355 per share to CN¥0.255 per share. Net income forecast to grow 423% next year vs 34% growth forecast for Metals and Mining industry in China. Consensus price target up from CN¥9.11 to CN¥11.36. Share price rose 21% to CN¥11.19 over the past week. Announcement • Dec 27
Guangdong HEC Technology Holding Co., Ltd to Report Fiscal Year 2024 Results on Apr 10, 2025 Guangdong HEC Technology Holding Co., Ltd announced that they will report fiscal year 2024 results on Apr 10, 2025 Reported Earnings • Oct 31
Third quarter 2024 earnings released: EPS: CN¥0.03 (vs CN¥0.028 loss in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.03 (up from CN¥0.028 loss in 3Q 2023). Revenue: CN¥2.87b (down 22% from 3Q 2023). Net income: CN¥86.0m (up CN¥168.7m from 3Q 2023). Profit margin: 3.0% (up from net loss in 3Q 2023). Revenue is forecast to grow 27% p.a. on average during the next 3 years, compared to a 9.6% growth forecast for the Metals and Mining industry in China. Over the last 3 years on average, earnings per share has fallen by 59% 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
Guangdong HEC Technology Holding Co., Ltd to Report Q3, 2024 Results on Oct 31, 2024 Guangdong HEC Technology Holding Co., Ltd announced that they will report Q3, 2024 results on Oct 31, 2024 Price Target Changed • Aug 28
Price target decreased by 8.9% to CN¥9.11 Down from CN¥10.00, the current price target is an average from 2 analysts. New target price is 41% above last closing price of CN¥6.46. Stock is down 8.1% over the past year. The company is forecast to post earnings per share of CN¥0.35 next year compared to a net loss per share of CN¥0.10 last year. Reported Earnings • Aug 20
Second quarter 2024 earnings released: EPS: CN¥0.043 (vs CN¥0.067 loss in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.043 (up from CN¥0.067 loss in 2Q 2023). Revenue: CN¥3.18b (up 23% from 2Q 2023). Net income: CN¥127.7m (up CN¥332.2m from 2Q 2023). Profit margin: 4.0% (up from net loss in 2Q 2023). Revenue is forecast to grow 24% p.a. on average during the next 3 years, compared to a 9.6% growth forecast for the Metals and Mining industry in China. Over the last 3 years on average, earnings per share has fallen by 45% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Announcement • Jul 26
Guangdong HEC Technology Holding Co., Ltd (SHSE:600673) announces an Equity Buyback for CNY 400 million worth of its shares. Guangdong HEC Technology Holding Co., Ltd (SHSE:600673) announces a share repurchase program. Under the program, the company will repurchase up to CNY 400 million worth of its shares. The shares will be repurchased at a price not more than CNY 9.10 per share. The repurchased shares will be used for employee stock ownership plans and equity incentives. The source of fund for the repurchases will be own funds of the company. The program will be valid for a period of 6 months. Announcement • Jun 28
Guangdong HEC Technology Holding Co., Ltd to Report First Half, 2024 Results on Aug 20, 2024 Guangdong HEC Technology Holding Co., Ltd announced that they will report first half, 2024 results on Aug 20, 2024 Announcement • Apr 29
Guangdong HEC Technology Holding Co., Ltd, Annual General Meeting, May 17, 2024 Guangdong HEC Technology Holding Co., Ltd, Annual General Meeting, May 17, 2024, at 10:00 China Standard Time. Location: The Company's Meeting Room, Shantou, Guangdong China New Risk • Apr 24
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 2.1% 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 Risks Debt is not well covered by operating cash flow (4.1% operating cash flow to total debt). Dividend is not well covered by earnings and cash flows. Paying a dividend despite being loss-making. Paying a dividend despite having no free cash flows. Minor Risk Shareholders have been diluted in the past year (2.1% increase in shares outstanding). New Risk • Apr 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: 4.1% 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 (4.1% operating cash flow to total debt). Dividend is not well covered by earnings and cash flows. Paying a dividend despite being loss-making. Paying a dividend despite having no free cash flows. New Risk • Apr 03
New major risk - Dividend sustainability The dividend is not well covered by earnings and cash flows. The company is paying a dividend despite being loss-making. The company is paying a dividend despite having no free cash flows. Dividend yield: 3.8% 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. This is currently the only risk that has been identified for the company. Reported Earnings • Mar 31
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: CN¥0.10 loss per share (down from CN¥0.43 profit in FY 2022). Revenue: CN¥10.9b (down 7.2% from FY 2022). Net loss: CN¥294.3m (down 124% from profit in FY 2022). Revenue missed analyst estimates by 23%. Earnings per share (EPS) also missed analyst estimates by 11%. Revenue is forecast to grow 26% p.a. on average during the next 2 years, compared to a 10% growth forecast for the Metals and Mining industry in China. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has increased by 22% per year, which means it is well ahead of earnings. Announcement • Mar 29
Guangdong HEC Technology Holding Co., Ltd to Report Q1, 2024 Results on Apr 24, 2024 Guangdong HEC Technology Holding Co., Ltd announced that they will report Q1, 2024 results on Apr 24, 2024 Valuation Update With 7 Day Price Move • Feb 07
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to CN¥7.47, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 11x in the Metals and Mining industry in China. Total returns to shareholders of 67% over the past three years. Announcement • Dec 29
Guangdong HEC Technology Holding Co., Ltd to Report Fiscal Year 2023 Results on Mar 30, 2024 Guangdong HEC Technology Holding Co., Ltd announced that they will report fiscal year 2023 results on Mar 30, 2024 Reported Earnings • Nov 01
Third quarter 2023 earnings released: CN¥0.028 loss per share (vs CN¥0.031 profit in 3Q 2022) Third quarter 2023 results: CN¥0.028 loss per share (down from CN¥0.031 profit in 3Q 2022). Revenue: CN¥3.68b (up 32% from 3Q 2022). Net loss: CN¥82.6m (down 191% from profit in 3Q 2022). Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Metals and Mining industry in China. Over the last 3 years on average, earnings per share has increased by 23% per year but the company’s share price has only increased by 9% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Oct 31
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥7.12, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 13x in the Metals and Mining industry in China. Total returns to shareholders of 34% over the past three years. Announcement • Sep 30
Guangdong HEC Technology Holding Co., Ltd to Report Q3, 2023 Results on Oct 28, 2023 Guangdong HEC Technology Holding Co., Ltd announced that they will report Q3, 2023 results at 3:00 PM, China Standard Time on Oct 28, 2023 New Risk • Aug 29
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 5.1% 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 Risk Debt is not well covered by operating cash flow (5.1% operating cash flow to total debt). Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (4.3% net profit margin). Announcement • Jun 28
Guangdong HEC Technology Holding Co., Ltd to Report First Half, 2023 Results on Aug 26, 2023 Guangdong HEC Technology Holding Co., Ltd announced that they will report first half, 2023 results on Aug 26, 2023 Reported Earnings • Apr 08
Full year 2022 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2022 results: EPS: CN¥0.43 (up from CN¥0.29 in FY 2021). Revenue: CN¥11.7b (down 8.6% from FY 2021). Net income: CN¥1.24b (up 42% from FY 2021). Profit margin: 11% (up from 6.8% in FY 2021). Revenue missed analyst estimates by 7.2%. Earnings per share (EPS) exceeded analyst estimates by 7.5%. Revenue is forecast to grow 26% p.a. on average during the next 2 years, compared to a 11% growth forecast for the Metals and Mining industry in China. Over the last 3 years on average, earnings per share has increased by 21% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 6 non-independent directors. Independent Director Hailiang Fu was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Nov 07
Investor sentiment improved over the past week After last week's 19% share price gain to CN¥11.09, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 14x in the Metals and Mining industry in China. Total returns to shareholders of 45% over the past three years. Reported Earnings • Oct 31
Third quarter 2022 earnings released: EPS: CN¥0.031 (vs CN¥0.077 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.031 (down from CN¥0.077 in 3Q 2021). Revenue: CN¥2.79b (down 12% from 3Q 2021). Net income: CN¥91.0m (down 60% from 3Q 2021). Profit margin: 3.3% (down from 7.1% in 3Q 2021). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Metals and Mining industry in China. Over the last 3 years on average, earnings per share has increased by 11% per year whereas the company’s share price has increased by 7% per year. Valuation Update With 7 Day Price Move • Aug 18
Investor sentiment improved over the past week After last week's 23% share price gain to CN¥13.10, the stock trades at a trailing P/E ratio of 26.8x. Average trailing P/E is 31x in the Metals and Mining industry in China. Total returns to shareholders of 65% over the past three years. Reported Earnings • Jul 31
Second quarter 2022 earnings released Second quarter 2022 results: Revenue: CN¥3.08b (down 6.0% from 2Q 2021). Net income: CN¥336.3m (up 443% from 2Q 2021). Profit margin: 11% (up from 1.9% in 2Q 2021). The increase in margin was driven by lower expenses. Valuation Update With 7 Day Price Move • Jun 10
Investor sentiment improved over the past week After last week's 15% share price gain to CN¥8.47, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 14x in the Metals and Mining industry in China. Total returns to shareholders of 5.9% over the past three years. Reported Earnings • Apr 27
First quarter 2022 earnings: EPS and revenues exceed analyst expectations First quarter 2022 results: EPS: CN¥0.099 (up from CN¥0.008 in 1Q 2021). Revenue: CN¥2.84b (up 8.9% from 1Q 2021). Net income: CN¥287.9m (up CN¥266.1m from 1Q 2021). Profit margin: 10% (up from 0.8% in 1Q 2021). The increase in margin was primarily driven by higher revenue. Revenue exceeded analyst estimates by 7.7%. Earnings per share (EPS) also surpassed analyst estimates by 76%. Over the next year, revenue is expected to shrink by 17% compared to a 35% growth forecast for the industry in China. 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 13% per year, which means it has not declined as severely as earnings. Board Change • Apr 27
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 7 non-independent directors. Independent Director Hailiang Fu was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Mar 12
Full year 2021 earnings: EPS and revenues exceed analyst expectations Full year 2021 results: EPS: CN¥0.29 (up from CN¥0.14 in FY 2020). Revenue: CN¥12.8b (up 23% from FY 2020). Net income: CN¥860.1m (up 107% from FY 2020). Profit margin: 6.7% (up from 4.0% in FY 2020). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 7.7%. Earnings per share (EPS) also surpassed analyst estimates by 76%. Over the next year, revenue is expected to shrink by 8.3% compared to a 10,788% growth forecast for the mining 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 only fallen by 5% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Nov 22
Investor sentiment improved over the past week After last week's 20% share price gain to CN¥11.41, the stock trades at a forward P/E ratio of 55x. Average forward P/E is 18x in the Metals and Mining industry in China. Total returns to shareholders of 46% over the past three years. Reported Earnings • Oct 31
Third quarter 2021 earnings released: EPS CN¥0.077 (vs CN¥0.026 loss in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: CN¥3.18b (up 45% from 3Q 2020). Net income: CN¥227.2m (up CN¥305.9m from 3Q 2020). Profit margin: 7.1% (up from net loss in 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 41% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Announcement • Sep 01
Guangdong Hec Pharmaceutical Co., Ltd. intends to acquire 51.4% stake in Yichang Dongyangguang Pharmaceutical Co., Ltd. from Guangdong Hec Technologyholding Co., Ltd (SHSE:600673). Guangdong Hec Pharmaceutical Co., Ltd. intends to acquire 51.4% stake in Yichang Dongyangguang Pharmaceutical Co., Ltd. from Guangdong Hec Technologyholding Co., Ltd (SHSE:600673) on September 1, 2021. As per the transaction, Guangdong Hec Technologyholding Co., Ltd will sell 4.52 billion share. As of June 30, 2021, Yichang Dongyangguang Pharmaceutical Co., Ltd. has reported total assets of CNY 8.9 billion and net assets of CNY 4.59 billion. The transaction will be approved by the Board of Directors of Guangdong Hec Technologyholding Co., Ltd. Reported Earnings • Aug 29
Second quarter 2021 earnings released: EPS CN¥0.02 (vs CN¥0.017 loss in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: CN¥3.28b (up 41% from 2Q 2020). Net income: CN¥61.9m (up CN¥113.0m from 2Q 2020). Profit margin: 1.9% (up from net loss in 2Q 2020). 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 6% per year, which means it has not declined as severely as earnings. Reported Earnings • May 02
First quarter 2021 earnings released: EPS CN¥0.008 (vs CN¥0.10 in 1Q 2020) The company reported a poor first quarter result with weaker earnings, revenues and profit margins. First quarter 2021 results: Revenue: CN¥2.61b (down 26% from 1Q 2020). Net income: CN¥21.8m (down 93% from 1Q 2020). Profit margin: 0.8% (down from 8.6% in 1Q 2020). 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 22% per year, which means it has not declined as severely as earnings. Reported Earnings • Mar 28
Full year 2020 earnings released: EPS CN¥0.14 (vs CN¥0.38 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥10.4b (down 30% from FY 2019). Net income: CN¥415.7m (down 63% from FY 2019). Profit margin: 4.0% (down from 7.5% in FY 2019). Over the last 3 years on average, earnings per share has fallen by 18% per year whereas the company’s share price has fallen by 21% per year. Announcement • Mar 05
Guangdong Hec Technologyholding Co., Ltd to Report Fiscal Year 2020 Results on Mar 27, 2021 Guangdong Hec Technologyholding Co., Ltd announced that they will report fiscal year 2020 results on Mar 27, 2021 Is New 90 Day High Low • Jan 26
New 90-day low: CN¥4.71 The company is down 21% from its price of CN¥5.95 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 Metals and Mining industry, which is up 20% over the same period. Is New 90 Day High Low • Dec 24
New 90-day low: CN¥5.11 The company is down 17% from its price of CN¥6.13 on 25 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 Metals and Mining industry, which is up 13% over the same period. Is New 90 Day High Low • Dec 09
New 90-day low: CN¥5.34 The company is down 16% from its price of CN¥6.38 on 10 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 Metals and Mining industry, which is up 7.0% over the same period. Reported Earnings • Nov 01
Third quarter earnings released Over the last 12 months the company has reported total profits of CN¥489.0m, down 53% from the prior year. Total revenue was CN¥12.3b over the last 12 months, down 10% from the prior year. Announcement • Oct 29
Guangdong Hec Technologyholding Co., Ltd to Report Q3, 2020 Results on Oct 31, 2020 Guangdong Hec Technologyholding Co., Ltd announced that they will report Q3, 2020 results on Oct 31, 2020 Is New 90 Day High Low • Oct 29
New 90-day low: CN¥5.95 The company is down 18% from its price of CN¥7.23 on 31 July 2020. The Chinese market is down 1.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Metals and Mining industry, which is down 6.0% over the same period. Announcement • Aug 08
Guangdong Hec Technologyholding Co., Ltd (SHSE:600673) agreed to acquire Yichang Hec Biochemical Pharmaceutical Co., Ltd. from Yichang Hec Pharmaceutical Co., Ltd. Guangdong Hec Technologyholding Co., Ltd (SHSE:600673) agreed to acquire Yichang Hec Biochemical Pharmaceutical Co., Ltd. from Yichang Hec Pharmaceutical Co., Ltd. on July 28, 2020. Guangdong Hec Technologyholding Co., Ltd will issue shares to purchase 100% stake in Yichang Hec Biochemical Pharmaceutical Co., Ltd. Guangdong Hec Technologyholding Co., Ltd will raise supporting funds for the transaction by issuing shares to nore than 35 specific investors. For the year ending December 31, 2019, Yichang Hec Biochemical Pharmaceutical Co., Ltd reported total assets of CNY 4.39 billion, owners' equity of CNY 1.06 billion, revenues of CNY 21.3 billion and net profit of CNY 327.2 million. The transaction is subject to the approval of shareholders of Guangdong Hec Technologyholding Co., Ltd, shareholders of Yichang Hec Pharmaceutical Co., Ltd., antitrust approval, consent of relevant creditors and regulatory approvals. The transaction has been approved by the boards of Guangdong Hec Technologyholding Co., Ltd and Yichang Hec Pharmaceutical Co., Ltd. Huatai United Securities Co., Ltd. acted as financial advisor to Guangdong Hec Technologyholding Co., Ltd. Announcement • Jul 31
Guangdong Hec Technologyholding Co., Ltd announced a financing transaction Guangdong Hec Technologyholding Co., Ltd (SHSE:600673) announced a private placement of common shares on July 28, 2020. The total amount raised in the transaction shall not exceed 100% of the transaction consideration for the purchase of the target assets of the issuance of shares, and the number of issued shares shall not exceed 30% of the company’s total share capital before the transaction. The transaction will include participation from not more than 35 investors. The shares to be issued in the transaction will have hold period of 6 months. The transaction has been approved by the company in its 24th meeting of the 10th directorate. Announcement • Jul 18
Guangdong Hec Technologyholding Co., Ltd announced a financing transaction Guangdong Hec Technologyholding Co., Ltd (SHSE:600673) announced a private placement of common shares on July 14, 2020. Announcement • Jul 09
Guangdong Hec Technologyholding Co., Ltd to Report First Half, 2020 Results on Aug 22, 2020 Guangdong Hec Technologyholding Co., Ltd announced that they will report first half, 2020 results on Aug 22, 2020 
