Valuation Update With 7 Day Price Move • Jul 10
Investor sentiment deteriorates as stock falls 20% After last week's 20% share price decline to CN¥18.39, the stock trades at a trailing P/E ratio of 21.1x. Average trailing P/E is 47x in the Chemicals industry in China. Total returns to shareholders of 15% over the past three years. Announcement • Jun 30
Wankai New Materials Co., Ltd. to Report First Half, 2026 Results on Aug 24, 2026 Wankai New Materials Co., Ltd. announced that they will report first half, 2026 results on Aug 24, 2026 New Risk • May 16
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended September 2025. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (11% 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. Earnings have declined by 34% per year over the past 5 years. Minor Risk Latest financial reports are more than 6 months old (reported September 2025 fiscal period end). Announcement • Apr 28
Wankai New Materials Co., Ltd., Annual General Meeting, May 19, 2026 Wankai New Materials Co., Ltd., Annual General Meeting, May 19, 2026, at 14:00 China Standard Time. Location: The Company's Meeting Room, Jiaxing, Zhejiang China Announcement • Mar 31
Wankai New Materials Co., Ltd. to Report Q1, 2026 Results on Apr 28, 2026 Wankai New Materials Co., Ltd. announced that they will report Q1, 2026 results on Apr 28, 2026 Announcement • Dec 31
Wankai New Materials Co., Ltd. to Report Fiscal Year 2025 Results on Apr 28, 2026 Wankai New Materials Co., Ltd. announced that they will report fiscal year 2025 results on Apr 28, 2026 Reported Earnings • Oct 29
Third quarter 2025 earnings released: EPS: CN¥0.04 (vs CN¥0.29 loss in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.04 (up from CN¥0.29 loss in 3Q 2024). Revenue: CN¥4.22b (down 6.5% from 3Q 2024). Net income: CN¥21.3m (up CN¥157.5m from 3Q 2024). Profit margin: 0.5% (up from net loss in 3Q 2024). The move to profitability was driven by lower expenses. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 108 percentage points per year, which is a significant difference in performance. Announcement • Sep 30
Wankai New Materials Co., Ltd. to Report Q3, 2025 Results on Oct 29, 2025 Wankai New Materials Co., Ltd. announced that they will report Q3, 2025 results on Oct 29, 2025 New Risk • Sep 23
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 7.1% 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 (17% 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. Earnings have declined by 31% per year over the past 5 years. Minor Risk Share price has been volatile over the past 3 months (7.1% average weekly change). New Risk • Sep 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: 18% 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 (18% 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. Earnings have declined by 31% per year over the past 5 years. Announcement • Jul 02
Wankai New Materials Co., Ltd. to Report First Half, 2025 Results on Aug 28, 2025 Wankai New Materials Co., Ltd. announced that they will report first half, 2025 results on Aug 28, 2025 New Risk • Jun 30
New major risk - Revenue and earnings growth Earnings have declined by 25% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks 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. Earnings have declined by 25% per year over the past 5 years. Minor Risk High level of debt (84% net debt to equity). New Risk • Jun 24
New major risk - Revenue and earnings growth Earnings have declined by 25% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks 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. Earnings have declined by 25% per year over the past 5 years. Minor Risk High level of debt (84% net debt to equity). Announcement • Apr 22
Wankai New Materials Co., Ltd. Proposes Final Dividend for 2024 Wankai New Materials Co., Ltd. announced on 21 April 2025 the final profit distribution proposal for 2024 as follows: Cash dividend/10 shares (tax included): CNY 1.50000000. Reported Earnings • Apr 21
Full year 2024 earnings released: CN¥0.58 loss per share (vs CN¥0.85 profit in FY 2023) Full year 2024 results: CN¥0.58 loss per share (down from CN¥0.85 profit in FY 2023). Revenue: CN¥17.2b (down 1.7% from FY 2023). Net loss: CN¥300.0m (down 169% from profit in FY 2023). Revenue is forecast to grow 27% 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 62% per year but the company’s share price has only fallen by 12% per year, which means it has not declined as severely as earnings. Announcement • Apr 21
Wankai New Materials Co., Ltd., Annual General Meeting, May 13, 2025 Wankai New Materials Co., Ltd., Annual General Meeting, May 13, 2025, at 14:00 China Standard Time. Location: The Company's Meeting Room, Jiaxing, Zhejiang China Announcement • Mar 31
Wankai New Materials Co., Ltd. to Report Q1, 2025 Results on Apr 29, 2025 Wankai New Materials Co., Ltd. announced that they will report Q1, 2025 results on Apr 29, 2025 Announcement • Dec 31
Wankai New Materials Co., Ltd. to Report Fiscal Year 2024 Results on Apr 21, 2025 Wankai New Materials Co., Ltd. announced that they will report fiscal year 2024 results on Apr 21, 2025 New Risk • Nov 09
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 18% 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 (18% 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 • Oct 30
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: 1.4% This is considered a major risk. Companies that pay out too much of their earnings and cash flows are at risk of having to reduce or cut their dividend in future. If earnings or cash flows stagnate or fall, then there may not be enough to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risk 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 High level of debt (56% net debt to equity). Reported Earnings • Oct 30
Third quarter 2024 earnings released: CN¥0.29 loss per share (vs CN¥0.25 profit in 3Q 2023) Third quarter 2024 results: CN¥0.29 loss per share (down from CN¥0.25 profit in 3Q 2023). Revenue: CN¥4.52b (up 3.3% from 3Q 2023). Net loss: CN¥136.2m (down 204% from profit in 3Q 2023). Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Chemicals industry in China. Announcement • Sep 30
Wankai New Materials Co., Ltd. to Report Q3, 2024 Results on Oct 30, 2024 Wankai New Materials Co., Ltd. announced that they will report Q3, 2024 results on Oct 30, 2024 Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 27% After last week's 27% share price gain to CN¥11.68, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 16x in the Chemicals industry in China. Total loss to shareholders of 20% over the past year. Reported Earnings • Aug 28
Second quarter 2024 earnings released: CN¥0.004 loss per share (vs CN¥0.29 profit in 2Q 2023) Second quarter 2024 results: CN¥0.004 loss per share (down from CN¥0.29 profit in 2Q 2023). Revenue: CN¥4.39b (up 6.0% from 2Q 2023). Net loss: CN¥2.09m (down 101% from profit in 2Q 2023). Profit margin: 0% (down from 3.5% in 2Q 2023). Revenue is forecast to grow 26% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Chemicals industry in China. Announcement • Jun 29
Wankai New Materials Co., Ltd. to Report First Half, 2024 Results on Aug 28, 2024 Wankai New Materials Co., Ltd. announced that they will report first half, 2024 results on Aug 28, 2024 New Risk • May 05
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 1.3% 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 (1.3% operating cash flow to total debt). High level of non-cash earnings (33% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (1.6% net profit margin). Announcement • Apr 21
Wankai New Materials Co., Ltd., Annual General Meeting, May 10, 2024 Wankai New Materials Co., Ltd., Annual General Meeting, May 10, 2024, at 14:00 China Standard Time. Location: The Company's Meeting Room, Jiaxing, Zhejiang China Reported Earnings • Apr 20
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: CN¥0.85 (down from CN¥1.98 in FY 2022). Revenue: CN¥17.5b (down 9.6% from FY 2022). Net income: CN¥436.5m (down 54% from FY 2022). Profit margin: 2.5% (down from 4.9% in FY 2022). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 10%. Earnings per share (EPS) also missed analyst estimates by 27%. Revenue is forecast to grow 23% p.a. on average during the next 2 years, compared to a 16% growth forecast for the Chemicals industry in China. Announcement • Mar 30
Wankai New Materials Co., Ltd. to Report Q1, 2024 Results on Apr 26, 2024 Wankai New Materials Co., Ltd. announced that they will report Q1, 2024 results on Apr 26, 2024 Valuation Update With 7 Day Price Move • Feb 05
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to CN¥10.38, the stock trades at a trailing P/E ratio of 9.6x. Average forward P/E is 12x in the Chemicals industry in China. Total loss to shareholders of 47% over the past year. Announcement • Dec 30
Wankai New Materials Co., Ltd. to Report Fiscal Year 2023 Results on Apr 20, 2024 Wankai New Materials Co., Ltd. announced that they will report fiscal year 2023 results on Apr 20, 2024 Price Target Changed • Nov 04
Price target decreased by 16% to CN¥20.83 Down from CN¥24.67, the current price target is an average from 2 analysts. New target price is 47% above last closing price of CN¥14.13. Stock is down 32% over the past year. The company is forecast to post earnings per share of CN¥2.15 for next year compared to CN¥1.98 last year. Announcement • Nov 02
Wankai New Materials Co., Ltd. (SZSE:301216) announces an Equity Buyback for CNY 100 million worth of its shares. Wankai New Materials Co., Ltd. (SZSE:301216) announces a share repurchase program. Under the program, the company will repurchase not more than CNY 100 million worth of its shares. The program will be valid for not more than 12 months. Reported Earnings • Oct 25
Third quarter 2023 earnings released: EPS: CN¥0.25 (vs CN¥0.40 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.25 (down from CN¥0.40 in 3Q 2022). Revenue: CN¥4.37b (down 16% from 3Q 2022). Net income: CN¥130.5m (down 37% from 3Q 2022). Profit margin: 3.0% (down from 4.0% in 3Q 2022). Revenue is forecast to grow 23% p.a. on average during the next 3 years, compared to a 19% growth forecast for the Chemicals industry in China. Reported Earnings • Aug 30
Second quarter 2023 earnings released: EPS: CN¥0.29 (vs CN¥0.49 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.29 (down from CN¥0.49 in 2Q 2022). Revenue: CN¥4.14b (down 8.1% from 2Q 2022). Net income: CN¥146.0m (down 42% from 2Q 2022). Profit margin: 3.5% (down from 5.6% in 2Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Chemicals industry in China. Valuation Update With 7 Day Price Move • Jun 06
Investor sentiment deteriorates as stock falls 33% After last week's 33% share price decline to CN¥17.66, the stock trades at a forward P/E ratio of 5x. Average forward P/E is 16x in the Chemicals industry in China. Total loss to shareholders of 43% over the past year. Simply Wall St's valuation model estimates the intrinsic value at CN¥10.37 per share. Announcement • Jun 01
Wankai New Materials Co., Ltd. Approves Cash Dividend for 2022 Payable on 07 June 2023 Wankai New Materials Co., Ltd. approved Cash dividend/10 shares (tax included): CNY 3.00000000 for the year 2022. Record date: 06 June 2023. Ex-date: 07 June 2023. Payment date: 07 June 2023. Major Estimate Revision • Apr 03
Consensus EPS estimates increase by 11% The consensus outlook for fiscal year 2023 has been updated. 2023 EPS estimate increased from CN¥3.01 to CN¥3.35. Revenue forecast unchanged at CN¥19.2b. Net income forecast to grow 8.1% next year vs 38% growth forecast for Chemicals industry in China. Consensus price target of CN¥38.45 unchanged from last update. Share price fell 2.9% to CN¥28.30 over the past week. Reported Earnings • Mar 14
Full year 2022 earnings: EPS and revenues exceed analyst expectations Full year 2022 results: EPS: CN¥2.97 (up from CN¥1.72 in FY 2021). Revenue: CN¥19.4b (up 102% from FY 2021). Net income: CN¥956.8m (up 117% from FY 2021). Profit margin: 4.9% (up from 4.6% in FY 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 14%. Earnings per share (EPS) also surpassed analyst estimates by 3.5%. Revenue is forecast to grow 3.3% p.a. on average during the next 2 years, compared to a 19% growth forecast for the Chemicals industry in China. Announcement • Feb 17
Wankai New Materials Co., Ltd. (SZSE:301216) signed an equity transfer agreement to acquire Sichuan Zhengdakai New Materials Co., Ltd. from Zhejiang Zhengkai Investment Ltd. for approximately CNY 350 million. Wankai New Materials Co., Ltd. (SZSE:301216) signed an equity transfer agreement to acquire Sichuan Zhengdakai New Materials Co., Ltd. from Zhejiang Zhengkai Investment Ltd. for approximately CNY 350 million on February 15, 2023. As per the terms of agreement, Wankai New Materials shall pay the price of this equity transfer by bank transfer within ten working days from the date of completion of the industrial and commercial change registration of this equity transfer. Sichuan Zhengdakai New Materials has reported total assets of CNY 428.6083 million and net assets of CNY 200.3557 million on January 31, 2023. The board of Wankai New Materials has approved the deal on February 15, 2023. Reported Earnings • Oct 27
Third quarter 2022 earnings released: EPS: CN¥1.00 (vs CN¥0.49 in 3Q 2021) Third quarter 2022 results: EPS: CN¥1.00 (up from CN¥0.49 in 3Q 2021). Revenue: CN¥5.75b (up 123% from 3Q 2021). Net income: CN¥341.5m (up 169% from 3Q 2021). Profit margin: 5.9% (up from 4.9% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue is forecast to grow 6.7% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Chemicals industry in China. Reported Earnings • Aug 26
Second quarter 2022 earnings released: EPS: CN¥0.73 (vs CN¥0.17 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.73 (up from CN¥0.17 in 2Q 2021). Revenue: CN¥4.50b (up 132% from 2Q 2021). Net income: CN¥253.3m (up 463% from 2Q 2021). Profit margin: 5.6% (up from 2.3% in 2Q 2021). The increase in margin was driven by higher revenue. Over the next year, revenue is forecast to grow 22%, compared to a 42% growth forecast for the Chemicals industry in China. Valuation Update With 7 Day Price Move • Jul 22
Investor sentiment improved over the past week After last week's 20% share price gain to CN¥35.68, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 17x in the Chemicals industry in China. Announcement • Jun 17
Wankai New Materials Co., Ltd. Announces Final Profit Distribution Plan to Be Implemented on A Shares for the Year 2021, Payable on 23 June 2022 Wankai New Materials Co., Ltd. announced final profit distribution plan to be implemented on A shares as cash dividend per ten shares (tax included) of CNY2.00000000 for the year 2021, payable on 23 June 2022. Record date: 22 June 2022. Ex-date: 23 June 2022. Net cash dividend per ten shares after tax: CNY 1.80000000 (CNY 2.00000000 – CNY 0.20000000). Announcement • May 24
Wankai New Materials Co., Ltd. Approves Cash Dividend for 2021 Wankai New Materials Co., Ltd. at the AGM held on May 20, 2022, approved Cash dividend per 10 shares (tax included) of CNY 2.00000000 for 2021. Announcement • May 02
Wankai New Materials Co., Ltd. Proposes Final Cash Dividend for the Year 2021 Wankai New Materials Co., Ltd. proposed final cash dividend/10 shares (tax included) of CNY 2.00000000 for the year 2021.