New Risk • Jun 09
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 10% 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 Risk Share price has been highly volatile over the past 3 months (10% average weekly change). Minor Risk Large one-off items impacting financial results. Announcement • Jun 09
Sichuan Em Technology Co., Ltd., Annual General Meeting, Jun 29, 2026 Sichuan Em Technology Co., Ltd., Annual General Meeting, Jun 29, 2026, at 14:00 China Standard Time. Location: No. 209, Jingde Road, Pidu District, Chengdu, Sichuan China New Risk • May 12
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 28% 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: Minor Risks Share price has been volatile over the past 3 months (9.3% average weekly change). Large one-off items impacting financial results. Reported Earnings • Apr 24
First quarter 2026 earnings released: EPS: CN¥0.18 (vs CN¥0.10 in 1Q 2025) First quarter 2026 results: EPS: CN¥0.18 (up from CN¥0.10 in 1Q 2025). Revenue: CN¥1.44b (up 27% from 1Q 2025). Net income: CN¥186.8m (up 103% from 1Q 2025). Profit margin: 13% (up from 8.1% in 1Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 25% p.a. on average during the next 3 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 15% per year but the company’s share price has increased by 41% per year, which means it is well ahead of earnings. Announcement • Mar 30
Sichuan Em Technology Co., Ltd. to Report Q1, 2026 Results on Apr 23, 2026 Sichuan Em Technology Co., Ltd. announced that they will report Q1, 2026 results on Apr 23, 2026 Major Estimate Revision • Feb 03
Consensus EPS estimates fall by 22% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate fell from CN¥0.43 to CN¥0.335. Revenue forecast unchanged from CN¥5.31b at last update. Net income forecast to grow 180% next year vs 47% growth forecast for Chemicals industry in China. Consensus price target up from CN¥20.57 to CN¥27.36. Share price rose 3.8% to CN¥27.90 over the past week. Price Target Changed • Jan 13
Price target increased by 12% to CN¥20.57 Up from CN¥18.30, the current price target is an average from 3 analysts. New target price is 21% below last closing price of CN¥26.02. Stock is up 238% over the past year. The company is forecast to post earnings per share of CN¥0.43 for next year compared to CN¥0.20 last year. Announcement • Dec 26
Sichuan Em Technology Co., Ltd. to Report Fiscal Year 2025 Results on Apr 23, 2026 Sichuan Em Technology Co., Ltd. announced that they will report fiscal year 2025 results on Apr 23, 2026 New Risk • Oct 25
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 126% 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 Share price has been highly volatile over the past 3 months (11% average weekly change). Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Reported Earnings • Oct 24
Third quarter 2025 earnings: EPS and revenues miss analyst expectations Third quarter 2025 results: EPS: CN¥0.10 (up from CN¥0.08 in 3Q 2024). Revenue: CN¥1.37b (up 22% from 3Q 2024). Net income: CN¥92.6m (up 21% from 3Q 2024). Profit margin: 6.8% (in line with 3Q 2024). Revenue missed analyst estimates by 6.8%. Earnings per share (EPS) also missed analyst estimates by 24%. Revenue is forecast to grow 21% 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 27% per year but the company’s share price has increased by 22% per year, which means it is well ahead of earnings. Announcement • Sep 30
Sichuan Em Technology Co., Ltd. to Report Q3, 2025 Results on Oct 24, 2025 Sichuan Em Technology Co., Ltd. announced that they will report Q3, 2025 results on Oct 24, 2025 Valuation Update With 7 Day Price Move • Aug 15
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥19.22, the stock trades at a forward P/E ratio of 37x. Average forward P/E is 23x in the Chemicals industry in China. Total returns to shareholders of 34% over the past three years. Price Target Changed • Jul 24
Price target increased by 10% to CN¥12.92 Up from CN¥11.70, the current price target is an average from 4 analysts. New target price is 14% below last closing price of CN¥15.10. Stock is up 136% over the past year. The company is forecast to post earnings per share of CN¥0.48 for next year compared to CN¥0.20 last year. Valuation Update With 7 Day Price Move • Jul 22
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥15.10, the stock trades at a forward P/E ratio of 30x. Average forward P/E is 23x in the Chemicals industry in China. Total returns to shareholders of 39% over the past three years. New Risk • Jul 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 6.7% 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 Risk Debt is not well covered by operating cash flow (2.2% operating cash flow to total debt). Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (6.7% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (4.7% net profit margin). Valuation Update With 7 Day Price Move • Jul 08
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to CN¥11.97, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 22x in the Chemicals industry in China. Total returns to shareholders of 16% over the past three years. Announcement • Jun 30
Sichuan Em Technology Co., Ltd. to Report First Half, 2025 Results on Aug 28, 2025 Sichuan Em Technology Co., Ltd. announced that they will report first half, 2025 results on Aug 28, 2025 Declared Dividend • Jun 12
Dividend reduced to CN¥0.10 Dividend of CN¥0.10 is 33% lower than last year. Ex-date: 17th June 2025 Payment date: 17th June 2025 Dividend yield will be 1.1%, which is lower than the industry average of 2.6%. Sustainability & Growth Dividend is covered by earnings (42% 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 2.7% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 148% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Board Change • Jun 05
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. 4 non-independent directors. Independent Director Sheng Zhong was the last independent director to join the board, commencing their role in 2022. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. New Risk • May 15
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 61% 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 Debt is not well covered by operating cash flow (2.2% operating cash flow to total debt). 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 (4.7% net profit margin). Reported Earnings • Apr 25
First quarter 2025 earnings released: EPS: CN¥0.10 (vs CN¥0.06 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.10 (up from CN¥0.06 in 1Q 2024). Revenue: CN¥1.13b (up 23% from 1Q 2024). Net income: CN¥91.9m (up 81% from 1Q 2024). Profit margin: 8.1% (up from 5.5% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 20% 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 22% 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 25
Sichuan Em Technology Co., Ltd., Annual General Meeting, May 15, 2025 Sichuan Em Technology Co., Ltd., Annual General Meeting, May 15, 2025, at 14:00 China Standard Time. Location: The Company's Meeting Room, Mianyang, Sichuan China Price Target Changed • Apr 16
Price target increased by 15% to CN¥11.70 Up from CN¥10.20, the current price target is an average from 2 analysts. New target price is 39% above last closing price of CN¥8.43. Stock is up 2.4% over the past year. The company is forecast to post earnings per share of CN¥0.41 for next year compared to CN¥0.37 last year. Price Target Changed • Apr 09
Price target increased by 8.3% to CN¥10.47 Up from CN¥9.66, the current price target is an average from 3 analysts. New target price is 26% above last closing price of CN¥8.29. Stock is down 2.2% over the past year. The company is forecast to post earnings per share of CN¥0.39 for next year compared to CN¥0.37 last year. Valuation Update With 7 Day Price Move • Apr 08
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to CN¥8.03, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 19x in the Chemicals industry in China. Total loss to shareholders of 29% over the past three years. Announcement • Mar 28
Sichuan Em Technology Co., Ltd. to Report Q1, 2025 Results on Apr 25, 2025 Sichuan Em Technology Co., Ltd. announced that they will report Q1, 2025 results on Apr 25, 2025 Valuation Update With 7 Day Price Move • Feb 21
Investor sentiment improves as stock rises 24% After last week's 24% share price gain to CN¥9.98, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 21x in the Chemicals industry in China. Total loss to shareholders of 33% over the past three years. Announcement • Dec 27
Sichuan Em Technology Co., Ltd. to Report Fiscal Year 2024 Results on Apr 25, 2025 Sichuan Em Technology Co., Ltd. announced that they will report fiscal year 2024 results on Apr 25, 2025 Major Estimate Revision • Nov 23
Consensus EPS estimates fall by 14% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥5.21b to CN¥4.69b. EPS estimate also fell from CN¥0.46 per share to CN¥0.396 per share. Net income forecast to grow 77% next year vs 53% growth forecast for Chemicals industry in China. Consensus price target up from CN¥9.66 to CN¥10.20. Share price fell 3.8% to CN¥8.14 over the past week. Reported Earnings • Oct 26
Third quarter 2024 earnings: EPS and revenues miss analyst expectations Third quarter 2024 results: EPS: CN¥0.08 (down from CN¥0.091 in 3Q 2023). Revenue: CN¥1.12b (up 13% from 3Q 2023). Net income: CN¥76.4m (down 11% from 3Q 2023). Profit margin: 6.8% (down from 8.6% in 3Q 2023). Revenue missed analyst estimates by 10%. Earnings per share (EPS) also missed analyst estimates by 37%. Revenue is forecast to grow 20% 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 9% per year but the company’s share price has fallen by 17% per year, which means it is performing significantly worse than earnings. Valuation Update With 7 Day Price Move • Oct 15
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to CN¥7.60, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 16x in the Chemicals industry in China. Total loss to shareholders of 46% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥3.06 per share. Announcement • Sep 30
Sichuan Em Technology Co., Ltd. to Report Q3, 2024 Results on Oct 26, 2024 Sichuan Em Technology Co., Ltd. announced that they will report Q3, 2024 results on Oct 26, 2024 Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to CN¥8.44, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 16x in the Chemicals industry in China. Total loss to shareholders of 45% over the past three years. Valuation Update With 7 Day Price Move • Sep 03
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥7.27, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 14x in the Chemicals industry in China. Total loss to shareholders of 56% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥3.07 per share. Reported Earnings • Aug 22
Second quarter 2024 earnings: EPS and revenues miss analyst expectations Second quarter 2024 results: EPS: CN¥0.12 (down from CN¥0.16 in 2Q 2023). Revenue: CN¥1.20b (up 24% from 2Q 2023). Net income: CN¥109.1m (down 27% from 2Q 2023). Profit margin: 9.1% (down from 15% in 2Q 2023). Revenue missed analyst estimates by 11%. Earnings per share (EPS) also missed analyst estimates by 11%. Revenue is forecast to grow 20% 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 4% per year but the company’s share price has fallen by 28% per year, which means it is performing significantly worse than earnings. Announcement • Jun 28
Sichuan Em Technology Co., Ltd. to Report First Half, 2024 Results on Aug 22, 2024 Sichuan Em Technology Co., Ltd. announced that they will report first half, 2024 results on Aug 22, 2024 Declared Dividend • Jun 01
Dividend increased to CN¥0.15 Dividend of CN¥0.15 is 50% higher than last year. Ex-date: 5th June 2024 Payment date: 5th June 2024 Dividend yield will be 1.9%, which is lower than the industry average of 2.6%. Sustainability & Growth Dividend is covered by earnings (43% 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 6.9% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 106% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Price Target Changed • Apr 27
Price target decreased by 11% to CN¥12.59 Down from CN¥14.21, the current price target is an average from 5 analysts. New target price is 49% above last closing price of CN¥8.45. Stock is down 31% over the past year. The company is forecast to post earnings per share of CN¥0.49 for next year compared to CN¥0.37 last year. Major Estimate Revision • Apr 27
Consensus revenue estimates fall by 10% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥5.32b to CN¥4.78b. EPS estimate fell from CN¥0.544 to CN¥0.494 per share. Net income forecast to grow 61% next year vs 45% growth forecast for Chemicals industry in China. Consensus price target down from CN¥14.21 to CN¥12.59. Share price rose 4.8% to CN¥8.45 over the past week. Major Estimate Revision • Apr 19
Consensus revenue estimates fall by 23% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥6.47b to CN¥4.96b. EPS estimate fell from CN¥0.646 to CN¥0.544 per share. Net income forecast to grow 77% next year vs 44% growth forecast for Chemicals industry in China. Consensus price target broadly unchanged at CN¥14.21. Share price fell 6.0% to CN¥8.10 over the past week. Reported Earnings • Apr 16
Third quarter 2023 earnings released: EPS: CN¥0.091 (vs CN¥0.09 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.091 (up from CN¥0.09 in 3Q 2022). Revenue: CN¥996.9m (up 14% from 3Q 2022). Net income: CN¥85.5m (up 5.3% from 3Q 2022). Profit margin: 8.6% (down from 9.3% in 3Q 2022). Revenue is forecast to grow 27% p.a. on average during the next 4 years, compared to a 16% growth forecast for the Chemicals industry in China. Over the last 3 years on average, earnings per share has increased by 19% per year but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Announcement • Apr 13
Sichuan Em Technology Co., Ltd., Annual General Meeting, May 07, 2024 Sichuan Em Technology Co., Ltd., Annual General Meeting, May 07, 2024, at 13:30 China Standard Time. Announcement • Mar 30
Sichuan Em Technology Co., Ltd. to Report Q1, 2024 Results on Apr 13, 2024 Sichuan Em Technology Co., Ltd. announced that they will report Q1, 2024 results on Apr 13, 2024 Valuation Update With 7 Day Price Move • Mar 26
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥8.93, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 15x in the Chemicals industry in China. Total loss to shareholders of 8.0% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥3.73 per share. Valuation Update With 7 Day Price Move • Feb 20
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥11.48, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 14x in the Chemicals industry in China. Total returns to shareholders of 26% over the past three years. Valuation Update With 7 Day Price Move • Feb 01
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥8.89, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 13x in the Chemicals industry in China. Total returns to shareholders of 9.3% over the past three years. Announcement • Jan 29
Sichuan Em Technology Co., Ltd. (SHSE:601208) announces an Equity Buyback for CNY 100 million worth of its shares. Sichuan Em Technology Co., Ltd. (SHSE:601208) announces a share repurchase program. Under the program, the company will repurchase up to CNY 100 million worth of its Class A shares. The shares will be repurchased at no more than CNY 12 per share. The purpose of the program is to use the repurchased shares for equity incentive plans. The plan will be valid for 12 months. Announcement • Dec 30
Sichuan Em Technology Co., Ltd. to Report Fiscal Year 2023 Results on Mar 28, 2024 Sichuan Em Technology Co., Ltd. announced that they will report fiscal year 2023 results on Mar 28, 2024 Announcement • Sep 30
Sichuan Em Technology Co., Ltd. to Report Q3, 2023 Results on Oct 18, 2023 Sichuan Em Technology Co., Ltd. announced that they will report Q3, 2023 results on Oct 18, 2023 Reported Earnings • Aug 18
Second quarter 2023 earnings: EPS exceeds analyst expectations while revenues lag behind Second quarter 2023 results: EPS: CN¥0.16 (down from CN¥0.18 in 2Q 2022). Revenue: CN¥970.6m (up 4.3% from 2Q 2022). Net income: CN¥149.6m (down 6.7% from 2Q 2022). Profit margin: 15% (down from 17% in 2Q 2022). Revenue missed analyst estimates by 31%. Earnings per share (EPS) exceeded analyst estimates by 12%. Revenue is forecast to grow 22% 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 increased by 27% per year but the company’s share price has only increased by 22% per year, which means it is significantly lagging earnings growth. Announcement • Jun 28
Sichuan Em Technology Co., Ltd. to Report First Half, 2023 Results on Aug 18, 2023 Sichuan Em Technology Co., Ltd. announced that they will report first half, 2023 results on Aug 18, 2023 Valuation Update With 7 Day Price Move • Jun 15
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥12.64, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 15x in the Chemicals industry in China. Total returns to shareholders of 168% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥19.40 per share. Reported Earnings • Mar 30
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: EPS: CN¥0.46 (up from CN¥0.40 in FY 2021). Revenue: CN¥3.64b (up 13% from FY 2021). Net income: CN¥415.0m (up 22% from FY 2021). Profit margin: 11% (in line with FY 2021). Revenue missed analyst estimates by 17%. Earnings per share (EPS) also missed analyst estimates by 7.9%. Revenue is forecast to grow 31% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Chemicals industry in China. Over the last 3 years on average, earnings per share has increased by 44% per year whereas the company’s share price has increased by 47% per year. Board Change • Nov 16
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: 5 new directors. 3 experienced directors. 1 highly experienced director. 2 independent directors (4 non-independent directors). Director XingLing Yao is the most experienced director on the board, commencing their role in 2008. Independent Director Yong Huang 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. Lack of board continuity. Lack of experienced directors. Valuation Update With 7 Day Price Move • Nov 04
Investor sentiment improved over the past week After last week's 18% share price gain to CN¥12.14, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 14x in the Chemicals industry in China. Total returns to shareholders of 246% over the past three years. Reported Earnings • Oct 28
Third quarter 2022 earnings: EPS and revenues miss analyst expectations Third quarter 2022 results: EPS: CN¥0.09 (down from CN¥0.10 in 3Q 2021). Revenue: CN¥872.9m (flat on 3Q 2021). Net income: CN¥81.3m (down 11% from 3Q 2021). Profit margin: 9.3% (down from 11% in 3Q 2021). Revenue missed analyst estimates by 34%. Earnings per share (EPS) also missed analyst estimates by 39%. Revenue is forecast to grow 32% 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 increased by 53% per year but the company’s share price has only increased by 41% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Sep 15
Investor sentiment deteriorated over the past week After last week's 15% share price decline to CN¥11.38, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 16x in the Chemicals industry in China. Total returns to shareholders of 204% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥4.62 per share. Reported Earnings • Aug 18
Second quarter 2022 earnings: EPS exceeds analyst expectations while revenues lag behind Second quarter 2022 results: EPS: CN¥0.18 (up from CN¥0.11 in 2Q 2021). Revenue: CN¥930.3m (up 10% from 2Q 2021). Net income: CN¥160.4m (up 68% from 2Q 2021). Profit margin: 17% (up from 11% in 2Q 2021). Revenue missed analyst estimates by 22%. Earnings per share (EPS) exceeded analyst estimates by 64%. Over the next year, revenue is forecast to grow 66%, compared to a 41% growth forecast for the Chemicals industry in China. Over the last 3 years on average, earnings per share has increased by 59% per year whereas the company’s share price has increased by 60% per year. Valuation Update With 7 Day Price Move • Aug 01
Investor sentiment improved over the past week After last week's 21% share price gain to CN¥13.32, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 17x in the Chemicals industry in China. Total returns to shareholders of 277% over the past three years. Valuation Update With 7 Day Price Move • May 11
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥12.62, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 15x in the Chemicals industry in China. Total returns to shareholders of 244% over the past three years. Reported Earnings • May 02
First quarter 2022 earnings: EPS misses analyst expectations First quarter 2022 results: EPS: CN¥0.11 (up from CN¥0.11 in 1Q 2021). Revenue: CN¥904.4m (up 21% from 1Q 2021). Net income: CN¥101.8m (up 20% from 1Q 2021). Profit margin: 11% (in line with 1Q 2021). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 7.0%. Over the next year, revenue is forecast to grow 58%, compared to a 42% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has increased by 66% per year but the company’s share price has only increased by 46% per year, which means it is significantly lagging earnings growth. Price Target Changed • Apr 27
Price target increased to CN¥22.44 Up from CN¥6.97, the current price target is an average from 2 analysts. New target price is 117% above last closing price of CN¥10.34. Stock is down 4.6% over the past year. The company is forecast to post earnings per share of CN¥0.68 for next year compared to CN¥0.40 last year. Board Change • Apr 27
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. 7 experienced directors. No highly experienced 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: Insufficient board refreshment. Reported Earnings • Apr 03
Full year 2021 earnings: EPS misses analyst expectations Full year 2021 results: EPS: CN¥0.40 (up from CN¥0.22 in FY 2020). Revenue: CN¥3.23b (up 72% from FY 2020). Net income: CN¥340.9m (up 94% from FY 2020). Profit margin: 11% (up from 9.3% in FY 2020). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 7.0%. Over the next year, revenue is forecast to grow 57%, compared to a 48% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has increased by 73% per year but the company’s share price has only increased by 42% per year, which means it is significantly lagging earnings growth. Reported Earnings • Oct 19
Third quarter 2021 earnings released: EPS CN¥0.10 (vs CN¥0.066 in 3Q 2020) The company reported a solid third quarter result with improved earnings and revenues, although profit margins were flat. Third quarter 2021 results: Revenue: CN¥864.9m (up 77% from 3Q 2020). Net income: CN¥91.1m (up 70% from 3Q 2020). Profit margin: 11% (in line with 3Q 2020). Over the last 3 years on average, earnings per share has increased by 76% per year whereas the company’s share price has increased by 79% per year. Reported Earnings • Aug 18
Second quarter 2021 earnings released: EPS CN¥0.11 (vs CN¥0.24 in 2Q 2020) The company reported a mediocre second quarter result with weaker earnings and profit margins, although revenues improved. Second quarter 2021 results: Revenue: CN¥842.7m (up 75% from 2Q 2020). Net income: CN¥95.3m (down 53% from 2Q 2020). Profit margin: 11% (down from 42% in 2Q 2020). Over the last 3 years on average, earnings per share has increased by 63% per year but the company’s share price has increased by 74% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Jul 07
Investor sentiment deteriorated over the past week After last week's 21% share price decline to CN¥12.85, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 19x in the Chemicals industry in China. Total returns to shareholders of 237% over the past three years. Reported Earnings • May 02
Full year 2020 earnings released: EPS CN¥0.29 (vs CN¥0.12 in FY 2019) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥1.88b (up 8.4% from FY 2019). Net income: CN¥175.5m (up 141% from FY 2019). Profit margin: 9.3% (up from 4.2% in FY 2019). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 54% per year but the company’s share price has only increased by 41% per year, which means it is significantly lagging earnings growth. Announcement • May 01
Sichuan Em Technology Co., Ltd. announced that it has received CNY 767 million in funding from Gaojin Fuheng Group Co., Ltd and other investors On April 29, 2021, Sichuan Em Technology Co., Ltd. (SHSE:601208) closed the transaction. Is New 90 Day High Low • Feb 22
New 90-day high: CN¥12.38 The company is up 3.0% from its price of CN¥12.06 on 24 November 2020. The Chinese market is up 8.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Chemicals industry, which is up 18% over the same period. Is New 90 Day High Low • Jan 20
New 90-day high: CN¥12.14 The company is up 25% from its price of CN¥9.70 on 22 October 2020. The Chinese market is up 7.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is up 17% over the same period. Is New 90 Day High Low • Nov 05
New 90-day high: CN¥10.53 The company is up 18% from its price of CN¥8.90 on 07 August 2020. The Chinese market is down 4.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is down 2.0% 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¥158.1m, up 248% from the prior year. Total revenue was CN¥1.97b over the last 12 months, up 17% from the prior year. Valuation Update With 7 Day Price Move • Oct 15
Market bids up stock over the past week After last week's 15% share price gain to CN¥10.36, the stock is trading at a trailing P/E ratio of 23.1x, up from the previous P/E ratio of 20x. This compares to an average P/E of 40x in the Chemicals industry in China. Total returns to shareholders over the past three years are 53%. Is New 90 Day High Low • Oct 10
New 90-day high: CN¥9.46 The company is up 19% from its price of CN¥7.97 on 10 July 2020. The Chinese market is down 4.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is up 3.0% over the same period. Announcement • Aug 19
Sichuan Em Technology Co., Ltd. announced that it expects to receive CNY 800 million in funding from Gaojin Fuheng Group Co., Ltd Sichuan Em Technology Co., Ltd. (SHSE:601208) announced that it will issue not more than 187,980,300 A shares of par value CNY 1 for gross proceeds of not more than CNY 800,000,000 on August 18, 2020. The transaction will include participation from not more than 35 special investors including Gaojin Fuheng Group Co., Ltd., individual investors, Xiong Lingyao, Ning Hongtao, Zhang Jun, Qin Li, Yang Yang, Li Jixing, Cai Jiangang, and Yin Zhuwei will be subscribe in cash for not more than CNY 113,000,000. The transaction is valid for 12 months from the date of deliberation and approval by the company's shareholders meeting. The pricing base date is the first day of the issue period, and the issue price is not less than 80% of the average price of the company's stocks 20 trading days before the first day of the issue period. The lock-up period for Gaojin Fuheng Group Co., Ltd is 18 months and for the remaining investors is 6 months. The transaction has been approved by the board of directors in the fourth meeting of its fifth board of supervisors. Announcement • Jul 09
Sichuan Em Technology Co., Ltd. to Report First Half, 2020 Results on Aug 26, 2020 Sichuan Em Technology Co., Ltd. announced that they will report first half, 2020 results on Aug 26, 2020