Announcement • Jun 30
Shenzhen Leaguer Co., Ltd. to Report First Half, 2026 Results on Aug 21, 2026 Shenzhen Leaguer Co., Ltd. announced that they will report first half, 2026 results on Aug 21, 2026 Valuation Update With 7 Day Price Move • Jun 10
Investor sentiment deteriorates as stock falls 22% After last week's 22% share price decline to CN¥7.28, the stock trades at a trailing P/E ratio of 50.1x. Average trailing P/E is 54x in the Packaging industry in China. Total loss to shareholders of 14% over the past three years. Declared Dividend • May 23
Dividend reduced to CN¥0.05 Dividend of CN¥0.05 is 29% lower than last year. Ex-date: 28th May 2026 Payment date: 28th May 2026 Dividend yield will be 0.6%, which is lower than the industry average of 2.3%. Sustainability & Growth Dividend is covered by earnings (34% 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 remained flat since 9 years ago. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to decline by 62% to shift the payout ratio to a potentially unsustainable range, which is more than the 22% EPS decline seen over the last 5 years. New Risk • Apr 28
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: 7.2% Last year net profit margin: 11% 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 27% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (7.2% net profit margin). Reported Earnings • Apr 28
First quarter 2026 earnings released: CN¥0.018 loss per share (vs CN¥0.017 loss in 1Q 2025) First quarter 2026 results: CN¥0.018 loss per share (further deteriorated from CN¥0.017 loss in 1Q 2025). Revenue: CN¥554.2m (up 19% from 1Q 2025). Net loss: CN¥21.5m (loss widened 3.8% from 1Q 2025). Over the last 3 years on average, earnings per share has fallen by 34% per year but the company’s share price has only fallen by 1% per year, which means it has not declined as severely as earnings. New Risk • Apr 03
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 45% 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 Earnings have declined by 25% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Board Change • Apr 01
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Director Zhaoyang Gao was the last director to join the board, commencing their role in 2026. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Announcement • Mar 31
Shenzhen Leaguer Co., Ltd. to Report Q1, 2026 Results on Apr 28, 2026 Shenzhen Leaguer Co., Ltd. announced that they will report Q1, 2026 results on Apr 28, 2026 Reported Earnings • Mar 27
Full year 2025 earnings released: EPS: CN¥0.15 (vs CN¥0.20 in FY 2024) Full year 2025 results: EPS: CN¥0.15 (down from CN¥0.20 in FY 2024). Revenue: CN¥2.36b (up 1.7% from FY 2024). Net income: CN¥176.8m (down 28% from FY 2024). Profit margin: 7.5% (down from 11% in FY 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 32% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Announcement • Mar 26
Shenzhen Leaguer Co., Ltd., Annual General Meeting, Apr 16, 2026 Shenzhen Leaguer Co., Ltd., Annual General Meeting, Apr 16, 2026, at 14:30 China Standard Time. Location: 10F, No. 1, Xindong Road, North District, Science Park, Nanshan District, Shenzhen, Guangdong China Announcement • Mar 06
Shenzhen Leaguer Co., Ltd. Approves Election of Gao Zhaoyang as Director Shenzhen Leaguer Co., Ltd. at the Extraordinary General Meeting of 2026 on 04 March 2026 approved election of Gao Zhaoyang as a director. Announcement • Dec 31
Shenzhen Leaguer Co., Ltd. to Report Fiscal Year 2025 Results on Mar 27, 2026 Shenzhen Leaguer Co., Ltd. announced that they will report fiscal year 2025 results on Mar 27, 2026 Reported Earnings • Oct 28
Third quarter 2025 earnings released: CN¥0.001 loss per share (vs CN¥0.045 profit in 3Q 2024) Third quarter 2025 results: CN¥0.001 loss per share (down from CN¥0.045 profit in 3Q 2024). Revenue: CN¥571.4m (up 4.6% from 3Q 2024). Net loss: CN¥673.4k (down 101% from profit in 3Q 2024). Over the last 3 years on average, earnings per share has fallen by 29% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Announcement • Sep 30
Shenzhen Leaguer Co., Ltd. to Report Q3, 2025 Results on Oct 28, 2025 Shenzhen Leaguer Co., Ltd. announced that they will report Q3, 2025 results on Oct 28, 2025 New Risk • Sep 04
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 29% 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 Earnings have declined by 19% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Announcement • Jul 02
Shenzhen Leaguer Co., Ltd. to Report First Half, 2025 Results on Aug 28, 2025 Shenzhen Leaguer Co., Ltd. announced that they will report first half, 2025 results on Aug 28, 2025 Board Change • Jul 01
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Director Anbi Xu was the last director to join the board, commencing their role in 2025. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Announcement • Jun 12
Shenzhen Leaguer Co., Ltd. Elects Xu Anbi as Director Shenzhen Leaguer Co., Ltd. at the Extraordinary General Meeting of 2025 on 09 June 2025 approved election of directors, cumulative voting system applicable: Xu Anbi, director. Declared Dividend • May 23
Dividend reduced to CN¥0.07 Dividend of CN¥0.07 is 22% lower than last year. Ex-date: 28th May 2025 Payment date: 28th May 2025 Dividend yield will be 0.9%, which is lower than the industry average of 2.3%. Sustainability & Growth Dividend is covered by earnings (32% 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 8.8% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to decline by 64% to shift the payout ratio to a potentially unsustainable range, which is more than the 11% EPS decline seen over the last 5 years. Reported Earnings • Apr 25
First quarter 2025 earnings released: CN¥0.017 loss per share (vs CN¥0.03 loss in 1Q 2024) First quarter 2025 results: CN¥0.017 loss per share (improved from CN¥0.03 loss in 1Q 2024). Revenue: CN¥467.0m (up 5.2% from 1Q 2024). Net loss: CN¥20.7m (loss narrowed 43% from 1Q 2024). Over the last 3 years on average, earnings per share has fallen by 35% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Announcement • Apr 18
Shenzhen Leaguer Co., Ltd. Approves Cash Dividend for the Year 2024 Shenzhen Leaguer Co., Ltd. at its Annual General Meeting held on 16 April 2025, approved cash dividend/10 shares (tax included) of CNY 0.70000000 for the year 2024. Announcement • Mar 31
Shenzhen Leaguer Co., Ltd. to Report Q1, 2025 Results on Apr 25, 2025 Shenzhen Leaguer Co., Ltd. announced that they will report Q1, 2025 results on Apr 25, 2025 Announcement • Mar 28
Shenzhen Leaguer Co., Ltd. Proposes Final Cash Dividend for the Year 2024 Shenzhen Leaguer Co., Ltd. announced on 27 March 2025 the profit distribution proposal for the year 2024 as final cash dividend/10 shares (tax included) of CNY 0.70000000. Reported Earnings • Mar 27
Full year 2024 earnings released: EPS: CN¥0.20 (vs CN¥0.27 in FY 2023) Full year 2024 results: EPS: CN¥0.20 (down from CN¥0.27 in FY 2023). Revenue: CN¥2.32b (down 7.7% from FY 2023). Net income: CN¥245.5m (down 25% from FY 2023). Profit margin: 11% (down from 13% in FY 2023). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 36% 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 • Mar 27
Shenzhen Leaguer Co., Ltd., Annual General Meeting, Apr 16, 2025 Shenzhen Leaguer Co., Ltd., Annual General Meeting, Apr 16, 2025, at 14:30 China Standard Time. Location: 10F, Keyan Building, No. 1, Xindong Road, North District, Science Park, Nanshan District, Shenzhen, Guangdong China New Risk • Jan 19
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 9.1% 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 (currently running at an operating cash loss). Earnings have declined by 13% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (9.1% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (7.4% net profit margin). Announcement • Dec 31
Shenzhen Leaguer Co., Ltd. to Report Fiscal Year 2024 Results on Mar 27, 2025 Shenzhen Leaguer Co., Ltd. announced that they will report fiscal year 2024 results on Mar 27, 2025 Valuation Update With 7 Day Price Move • Nov 01
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to CN¥9.53, the stock trades at a trailing P/E ratio of 66.2x. Average trailing P/E is 32x in the Packaging industry in China. Total returns to shareholders of 1.9% over the past three years. New Risk • Oct 26
New major risk - Financial position The company's debt is not well covered by operating cash flow. Currently running at an operating cash loss. 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 (currently running at an operating cash loss). Earnings have declined by 13% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (7.4% net profit margin). Reported Earnings • Oct 25
Third quarter 2024 earnings released: EPS: CN¥0.045 (vs CN¥0.055 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.045 (down from CN¥0.055 in 3Q 2023). Revenue: CN¥546.4m (down 14% from 3Q 2023). Net income: CN¥54.2m (down 19% from 3Q 2023). Profit margin: 9.9% (in line with 3Q 2023). Over the last 3 years on average, earnings per share has fallen by 35% 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. Announcement • Sep 30
Shenzhen Leaguer Co., Ltd. to Report Q3, 2024 Results on Oct 25, 2024 Shenzhen Leaguer Co., Ltd. announced that they will report Q3, 2024 results on Oct 25, 2024 Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 24% After last week's 24% share price gain to CN¥7.21, the stock trades at a trailing P/E ratio of 46.7x. Average forward P/E is 19x in the Packaging industry in China. Total loss to shareholders of 21% over the past three years. Reported Earnings • Aug 28
Second quarter 2024 earnings released: EPS: CN¥0.097 (vs CN¥0.14 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.097 (down from CN¥0.14 in 2Q 2023). Revenue: CN¥604.0m (up 7.2% from 2Q 2023). Net income: CN¥117.3m (down 32% from 2Q 2023). Profit margin: 19% (down from 31% in 2Q 2023). Revenue is forecast to grow 26% p.a. on average during the next 2 years, compared to a 15% growth forecast for the Packaging industry in China. Over the last 3 years on average, earnings per share has fallen by 30% per year but the company’s share price has only fallen by 21% per year, which means it has not declined as severely as earnings. Announcement • Jun 29
Shenzhen Leaguer Co., Ltd. to Report First Half, 2024 Results on Aug 28, 2024 Shenzhen Leaguer Co., Ltd. announced that they will report first half, 2024 results on Aug 28, 2024 Declared Dividend • Jun 01
Dividend increased to CN¥0.09 Dividend of CN¥0.09 is 13% higher than last year. Ex-date: 7th June 2024 Payment date: 7th June 2024 Dividend yield will be 1.6%, which is lower than the industry average of 2.3%. Sustainability & Growth Dividend is covered by earnings (45% 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 12% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to decline by 50% to shift the payout ratio to a potentially unsustainable range, which is more than the 9.4% EPS decline seen over the last 5 years. Announcement • May 31
Shenzhen Leaguer Co., Ltd. Announces 2023 Final Profit Distribution Plan to Be Implemented (A Shares), Payable on 07 June 2024 Shenzhen Leaguer Co., Ltd. announced 2023 final profit distribution plan to be implemented (A shares): Cash dividend/10 shares (tax included): CNY 0.90000000. Record date: 06 June 2024. Ex-date: 07 June 2024. Payment date: 07 June 2024. Reported Earnings • Apr 26
First quarter 2024 earnings released: CN¥0.03 loss per share (vs CN¥0.041 profit in 1Q 2023) First quarter 2024 results: CN¥0.03 loss per share (down from CN¥0.041 profit in 1Q 2023). Revenue: CN¥444.0m (down 21% from 1Q 2023). Net loss: CN¥36.1m (down 172% from profit in 1Q 2023). Revenue is forecast to grow 24% p.a. on average during the next 2 years, compared to a 15% growth forecast for the Packaging 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 13% per year, which means it has not declined as severely as earnings. Announcement • Mar 30
Shenzhen Leaguer Co., Ltd. to Report Q1, 2024 Results on Apr 26, 2024 Shenzhen Leaguer Co., Ltd. announced that they will report Q1, 2024 results on Apr 26, 2024 Announcement • Mar 27
Shenzhen Leaguer Co., Ltd., Annual General Meeting, Apr 16, 2024 Shenzhen Leaguer Co., Ltd., Annual General Meeting, Apr 16, 2024, at 14:30 China Standard Time. Location: 10F, No. 1, Xindong Road, North District, Science Park, Nanshan District, Shenzhen, Guangdong China Reported Earnings • Mar 27
Full year 2023 earnings released: EPS: CN¥0.27 (vs CN¥0.34 in FY 2022) Full year 2023 results: EPS: CN¥0.27 (down from CN¥0.34 in FY 2022). Revenue: CN¥2.52b (down 4.3% from FY 2022). Net income: CN¥329.1m (down 19% from FY 2022). Profit margin: 13% (down from 16% in FY 2022). Revenue is forecast to grow 19% p.a. on average during the next 2 years, compared to a 15% growth forecast for the Packaging industry in China. 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 11% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Feb 05
Investor sentiment deteriorates as stock falls 20% After last week's 20% share price decline to CN¥5.57, the stock trades at a trailing P/E ratio of 12.9x. Average trailing P/E is 30x in the Packaging industry in China. Total loss to shareholders of 36% over the past three years. Announcement • Dec 29
Shenzhen Leaguer Co., Ltd. to Report Fiscal Year 2023 Results on Mar 27, 2024 Shenzhen Leaguer Co., Ltd. announced that they will report fiscal year 2023 results on Mar 27, 2024 Reported Earnings • Oct 25
Third quarter 2023 earnings released: EPS: CN¥0.055 (vs CN¥0.058 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.055 (down from CN¥0.058 in 3Q 2022). Revenue: CN¥632.9m (up 10% from 3Q 2022). Net income: CN¥66.9m (down 5.2% from 3Q 2022). Profit margin: 11% (down from 12% in 3Q 2022). Over the last 3 years on average, earnings per share has fallen by 8% per year but the company’s share price has fallen by 16% per year, which means it is performing significantly worse than earnings. Announcement • Oct 19
Shenzhen Leaguer Co., Ltd. Announces Directors Appointments Shenzhen Leaguer Co., Ltd. held its 4th Extraordinary General Meeting of 2023 on 16 October 2023 were approved Pan Zesheng as non-independent directors, Wu Guangquan as independent directors and Liu Yanzi as supervisors. Reported Earnings • Aug 25
Second quarter 2023 earnings released: EPS: CN¥0.14 (vs CN¥0.066 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.14 (up from CN¥0.066 in 2Q 2022). Revenue: CN¥563.4m (down 14% from 2Q 2022). Net income: CN¥173.2m (up 117% from 2Q 2022). Profit margin: 31% (up from 12% in 2Q 2022). Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has fallen by 18% per year, which means it is performing significantly worse than earnings. Reported Earnings • Jul 28
Second quarter 2023 earnings released: CN¥0.023 loss per share (vs CN¥0.066 profit in 2Q 2022) Second quarter 2023 results: CN¥0.023 loss per share (down from CN¥0.066 profit in 2Q 2022). Net loss: CN¥27.8m (down 135% from profit in 2Q 2022). 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 18% per year, which means it is performing significantly worse than earnings. Board Change • Jul 01
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. 11 experienced directors. 1 highly experienced director. Director Kangcheng Deng was the last director to join the board, commencing their role in 2020. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Announcement • Jul 01
Shenzhen Leaguer Co., Ltd. to Report First Half, 2023 Results on Aug 25, 2023 Shenzhen Leaguer Co., Ltd. announced that they will report first half, 2023 results on Aug 25, 2023 Announcement • May 19
Shenzhen Leaguer Co., Ltd. Implements Final Profit Distribution Plan of A Shares for 2022, Payable on 26 May 2023 Shenzhen Leaguer Co., Ltd. implemented 2022 final profit distribution plan to be implemented (A shares): Cash dividend/10 shares (tax included): CNY 0.80000000. Record date: 25 May 2023, Ex-date: 26 May 2023, Payment date: 26 May 2023. Reported Earnings • Mar 24
Full year 2022 earnings released: EPS: CN¥0.34 (vs CN¥0.52 in FY 2021) Full year 2022 results: EPS: CN¥0.34 (down from CN¥0.52 in FY 2021). Revenue: CN¥2.62b (down 13% from FY 2021). Net income: CN¥416.7m (down 34% from FY 2021). Profit margin: 16% (down from 21% in FY 2021). Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has fallen by 10% per year, which means it is performing significantly worse than earnings. Board Change • Nov 16
High number of new and inexperienced directors There are 11 new directors who have joined the board in the last 3 years. The company's board is composed of: 11 new directors. No experienced directors. 1 highly experienced director. Director Hai Cheng Cao is the most experienced director on the board, commencing their role in 2008. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Reported Earnings • Oct 28
Third quarter 2022 earnings released: EPS: CN¥0.058 (vs CN¥0.15 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.058 (down from CN¥0.15 in 3Q 2021). Revenue: CN¥574.3m (down 11% from 3Q 2021). Net income: CN¥70.5m (down 62% from 3Q 2021). Profit margin: 12% (down from 28% in 3Q 2021). Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 19% growth forecast for the Packaging industry in China. 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 20% per year, which means it is significantly lagging earnings. Reported Earnings • Aug 26
Second quarter 2022 earnings released: EPS: CN¥0.066 (vs CN¥0.12 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.066 (down from CN¥0.12 in 2Q 2021). Revenue: CN¥657.7m (up 10% from 2Q 2021). Net income: CN¥80.0m (down 46% from 2Q 2021). Profit margin: 12% (down from 25% in 2Q 2021). Over the next year, revenue is forecast to grow 15%, compared to a 35% growth forecast for the Packaging industry in China. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has fallen by 15% per year, which means it is significantly lagging earnings. Reported Earnings • Jul 28
Second quarter 2022 earnings released: EPS: CN¥0.069 (vs CN¥0.12 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.069 (down from CN¥0.12 in 2Q 2021). Revenue: CN¥656.2m (up 9.8% from 2Q 2021). Net income: CN¥83.7m (down 43% from 2Q 2021). Profit margin: 13% (down from 25% in 2Q 2021). Over the next year, revenue is forecast to grow 15%, compared to a 33% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. Announcement • May 21
Shenzhen Leaguer Co., Ltd. Announces Final Dividend on A Shares for the Year 2021, Payable on 27 May 2022 Shenzhen Leaguer Co., Ltd. announced final cash dividend/10 shares (tax included) of CNY 0.80000000 on A shares for the year 2021. Record date is 26 May 2022. Ex-date is 27 May 2022. Payment date is 27 May 2022. Valuation Update With 7 Day Price Move • May 18
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥8.84, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 13x in the Packaging industry in China. Total loss to shareholders of 44% over the past three years. Reported Earnings • Apr 28
First quarter 2022 earnings: EPS and revenues exceed analyst expectations First quarter 2022 results: EPS: CN¥0.029 (down from CN¥0.032 in 1Q 2021). Revenue: CN¥469.3m (up 13% from 1Q 2021). Net income: CN¥34.8m (down 9.5% from 1Q 2021). Profit margin: 7.4% (down from 9.3% in 1Q 2021). Revenue exceeded analyst estimates by 22%. Earnings per share (EPS) also surpassed analyst estimates by 17%. Over the next year, revenue is forecast to grow 11%, compared to a 26% growth forecast for the industry in China. 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 24% per year, which means it is significantly lagging earnings. Board Change • Apr 27
High number of new and inexperienced directors There are 10 new directors who have joined the board in the last 3 years. The company's board is composed of: 10 new directors. 1 experienced director. 1 highly experienced director. Director Hai Cheng Cao is the most experienced director on the board, commencing their role in 2008. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Announcement • Apr 15
Shenzhen Leaguer Co., Ltd. Announces Final Cash Dividend for the Year 2021 Shenzhen Leaguer Co., Ltd. announced final cash dividend per ten shares (tax included) of CNY 0.80000000 for the year 2021. Major Estimate Revision • Mar 30
Consensus revenue estimates increase by 17% The consensus outlook for revenues in 2022 has improved. 2022 revenue forecast increased from CN¥2.84b to CN¥3.33b. EPS estimate increased from CN¥0.50 to CN¥0.58 per share. Net income forecast to grow 11% next year vs 31% growth forecast for Packaging industry in China. Consensus price target of CN¥13.08 unchanged from last update. Share price was steady at CN¥10.73 over the past week. Reported Earnings • Feb 27
Full year 2021 earnings: EPS and revenues exceed analyst expectations Full year 2021 results: EPS: CN¥0.54 (up from CN¥0.49 in FY 2020). Revenue: CN¥3.07b (up 40% from FY 2020). Net income: CN¥656.4m (up 12% from FY 2020). Profit margin: 21% (down from 27% in FY 2020). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 22%. Earnings per share (EPS) also surpassed analyst estimates by 17%. Over the next year, revenue is expected to shrink by 7.3% compared to a 23% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has fallen by 16% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Jan 27
Investor sentiment deteriorated over the past week After last week's 16% share price decline to CN¥10.89, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 21x in the Packaging industry in China. Total loss to shareholders of 13% over the past three years. Valuation Update With 7 Day Price Move • Nov 30
Investor sentiment improved over the past week After last week's 21% share price gain to CN¥12.84, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 20x in the Packaging industry in China. Total returns to shareholders of 99% over the past three years. Reported Earnings • Oct 28
Third quarter 2021 earnings released: EPS CN¥0.15 (vs CN¥0.12 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: CN¥631.6m (up 6.8% from 3Q 2020). Net income: CN¥177.1m (up 21% from 3Q 2020). Profit margin: 28% (up from 25% in 3Q 2020). Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has only increased by 10% per year, which means it is significantly lagging earnings growth. Reported Earnings • Aug 27
Second quarter 2021 earnings released: EPS CN¥0.12 (vs CN¥0.092 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: CN¥597.5m (up 19% from 2Q 2020). Net income: CN¥147.7m (up 37% from 2Q 2020). Profit margin: 25% (up from 21% in 2Q 2020). Over the last 3 years on average, earnings per share has increased by 31% per year but the company’s share price has only increased by 10% per year, which means it is significantly lagging earnings growth. Reported Earnings • Jul 28
Second quarter 2021 earnings released: EPS CN¥0.12 (vs CN¥0.092 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: CN¥597.5m (up 19% from 2Q 2020). Net income: CN¥147.1m (up 37% from 2Q 2020). Profit margin: 25% (up from 21% in 2Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 31% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Reported Earnings • Apr 25
First quarter 2021 earnings released: EPS CN¥0.032 (vs CN¥0.031 in 1Q 2020) The company reported a solid first quarter result with improved earnings and revenues, although profit margins were weaker. First quarter 2021 results: Revenue: CN¥415.5m (up 31% from 1Q 2020). Net income: CN¥38.5m (up 5.5% from 1Q 2020). Profit margin: 9.3% (down from 12% in 1Q 2020). Over the last 3 years on average, earnings per share has increased by 36% per year but the company’s share price has only increased by 14% per year, which means it is significantly lagging earnings growth. Reported Earnings • Mar 24
Full year 2020 earnings released: EPS CN¥0.49 (vs CN¥0.46 in FY 2019) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥2.18b (up 1.6% from FY 2019). Net income: CN¥588.2m (up 9.6% from FY 2019). Profit margin: 27% (up from 25% in FY 2019). The increase in margin was primarily driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 41% per year but the company’s share price has only increased by 9% per year, which means it is significantly lagging earnings growth. Announcement • Feb 20
Shenzhen Leaguer Co., Ltd. to Report Fiscal Year 2020 Results on Mar 24, 2021 Shenzhen Leaguer Co., Ltd. announced that they will report fiscal year 2020 results on Mar 24, 2021 Valuation Update With 7 Day Price Move • Feb 01
Investor sentiment deteriorated over the past week After last week's 16% share price decline to CN¥9.90, the stock is trading at a trailing P/E ratio of 24.3x, down from the previous P/E ratio of 28.7x. This compares to an average P/E of 29x in the Packaging industry in China. Total returns to shareholders over the past three years are 46%. Is New 90 Day High Low • Jan 28
New 90-day low: CN¥10.47 The company is down 14% from its price of CN¥12.13 on 30 October 2020. The Chinese market is up 9.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Packaging industry, which is up 7.0% over the same period. Is New 90 Day High Low • Dec 28
New 90-day low: CN¥10.50 The company is down 19% from its price of CN¥12.93 on 29 September 2020. The Chinese market is up 6.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Packaging industry, which is up 9.0% over the same period. Is New 90 Day High Low • Dec 12
New 90-day low: CN¥11.39 The company is down 14% from its price of CN¥13.22 on 11 September 2020. The Chinese market is up 2.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Packaging industry, which is flat over the same period. Is New 90 Day High Low • Nov 17
New 90-day low: CN¥11.99 The company is down 28% from its price of CN¥16.62 on 19 August 2020. The Chinese market is down 3.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Packaging industry, which is up 1.0% over the same period. Is New 90 Day High Low • Oct 29
New 90-day low: CN¥12.72 The company is down 22% from its price of CN¥16.28 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 Packaging industry, which is up 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¥589.8m, up 12% from the prior year. Total revenue was CN¥2.17b over the last 12 months, down 18% from the prior year. Announcement • Oct 20
Shenzhen Beauty Star Co., Ltd. to Report Q3, 2020 Results on Oct 28, 2020 Shenzhen Beauty Star 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¥12.78 The company is down 11% from its price of CN¥14.40 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 Packaging industry, which is up 16% over the same period. Announcement • Jul 25
Shenzhen Beauty Star Co., Ltd. to Report First Half, 2020 Results on Aug 21, 2020 Shenzhen Beauty Star Co., Ltd. announced that they will report first half, 2020 results on Aug 21, 2020 
