Declared Dividend • May 30
Dividend increased to CN¥0.12 Dividend of CN¥0.12 is 20% higher than last year. Ex-date: 3rd June 2026 Payment date: 3rd June 2026 Dividend yield will be 0.9%, which is lower than the industry average of 2.6%. Sustainability & Growth Dividend is well covered by both earnings (40% earnings payout ratio) and cash flows (19% cash payout ratio). The dividend has decreased over the past 86 years, indicating a lack of growth and stability in payments. EPS is expected to grow by 109% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Board Change • May 20
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. 4 non-independent directors. Independent Director Qijun Yu 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. Announcement • Apr 16
Sobute New Materials Co., Ltd, Annual General Meeting, May 12, 2026 Sobute New Materials Co., Ltd, Annual General Meeting, May 12, 2026, at 09:30 China Standard Time. Location: The Company's Meeting Room, Nanjing, Jiangsu China Announcement • Mar 30
Sobute New Materials Co., Ltd to Report Q1, 2026 Results on Apr 28, 2026 Sobute New Materials Co., Ltd announced that they will report Q1, 2026 results on Apr 28, 2026 Announcement • Dec 26
Sobute New Materials Co., Ltd to Report Fiscal Year 2025 Results on Apr 16, 2026 Sobute New Materials Co., Ltd announced that they will report fiscal year 2025 results on Apr 16, 2026 Announcement • Sep 30
Sobute New Materials Co., Ltd to Report Q3, 2025 Results on Oct 29, 2025 Sobute New Materials Co., Ltd announced that they will report Q3, 2025 results on Oct 29, 2025 Announcement • Jun 30
Sobute New Materials Co., Ltd to Report First Half, 2025 Results on Aug 29, 2025 Sobute New Materials Co., Ltd announced that they will report first half, 2025 results on Aug 29, 2025 Announcement • Apr 29
Sobute New Materials Co., Ltd, Annual General Meeting, May 20, 2025 Sobute New Materials Co., Ltd, Annual General Meeting, May 20, 2025, at 09:30 China Standard Time. Announcement • Mar 28
Sobute New Materials Co., Ltd to Report Q1, 2025 Results on Apr 29, 2025 Sobute New Materials Co., Ltd announced that they will report Q1, 2025 results on Apr 29, 2025 Announcement • Dec 27
Sobute New Materials Co., Ltd to Report Fiscal Year 2024 Results on Apr 29, 2025 Sobute New Materials Co., Ltd announced that they will report fiscal year 2024 results on Apr 29, 2025 Reported Earnings • Oct 26
Third quarter 2024 earnings released: EPS: CN¥0.06 (vs CN¥0.11 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.06 (down from CN¥0.11 in 3Q 2023). Revenue: CN¥912.4m (flat on 3Q 2023). Net income: CN¥25.3m (down 43% from 3Q 2023). Profit margin: 2.8% (down from 4.9% in 3Q 2023). Revenue is forecast to grow 9.0% 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 55% per year but the company’s share price has only fallen by 23% per year, which means it has not declined as severely as earnings. Announcement • Sep 30
Sobute New Materials Co., Ltd to Report Q3, 2024 Results on Oct 26, 2024 Sobute New Materials Co., Ltd announced that they will report Q3, 2024 results on Oct 26, 2024 Valuation Update With 7 Day Price Move • Sep 27
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥7.57, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 16x in the Chemicals industry in China. Total loss to shareholders of 56% over the past three years. Reported Earnings • Aug 27
Second quarter 2024 earnings released: EPS: CN¥0.069 (vs CN¥0.13 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.069 (down from CN¥0.13 in 2Q 2023). Revenue: CN¥984.5m (down 1.0% from 2Q 2023). Net income: CN¥32.2m (down 43% from 2Q 2023). Profit margin: 3.3% (down from 5.7% in 2Q 2023). The decrease in margin was primarily driven by higher expenses. 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. Over the last 3 years on average, earnings per share has fallen by 49% per year but the company’s share price has only fallen by 31% per year, which means it has not declined as severely as earnings. Announcement • Jun 28
Sobute New Materials Co., Ltd to Report First Half, 2024 Results on Aug 27, 2024 Sobute New Materials Co., Ltd announced that they will report first half, 2024 results on Aug 27, 2024 Valuation Update With 7 Day Price Move • May 20
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥9.48, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 18x in the Chemicals industry in China. Total loss to shareholders of 56% over the past three years. Announcement • Apr 28
Sobute New Materials Co., Ltd, Annual General Meeting, May 28, 2024 Sobute New Materials Co., Ltd, Annual General Meeting, May 28, 2024, at 09:30 China Standard Time. Location: The Company's Meeting Room, Nanjing, Jiangsu China Reported Earnings • Apr 27
First quarter 2024 earnings released: EPS: CN¥0.05 (vs CN¥0.10 in 1Q 2023) First quarter 2024 results: EPS: CN¥0.05 (down from CN¥0.10 in 1Q 2023). Revenue: CN¥578.6m (down 13% from 1Q 2023). Net income: CN¥21.1m (down 48% from 1Q 2023). Profit margin: 3.6% (down from 6.1% in 1Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 11% 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 41% per year but the company’s share price has only fallen by 32% per year, which means it has not declined as severely as earnings. Announcement • Mar 29
Sobute New Materials Co., Ltd to Report Q1, 2024 Results on Apr 26, 2024 Sobute New Materials Co., Ltd announced that they will report Q1, 2024 results on Apr 26, 2024 Valuation Update With 7 Day Price Move • Feb 02
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to CN¥7.94, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 13x in the Chemicals industry in China. Total loss to shareholders of 62% over the past three years. New Risk • Jan 19
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 3.0% 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: Minor Risks Dividend is not well covered by cash flows (109% cash payout ratio). Profit margins are more than 30% lower than last year (5.4% net profit margin). Shareholders have been diluted in the past year (3.0% increase in shares outstanding). Announcement • Dec 30
Sobute New Materials Co., Ltd to Report Fiscal Year 2023 Results on Apr 26, 2024 Sobute New Materials Co., Ltd announced that they will report fiscal year 2023 results on Apr 26, 2024 Reported Earnings • Oct 27
Third quarter 2023 earnings released: EPS: CN¥0.11 (vs CN¥0.17 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.11 (down from CN¥0.17 in 3Q 2022). Revenue: CN¥915.6m (down 5.1% from 3Q 2022). Net income: CN¥44.5m (down 38% from 3Q 2022). Profit margin: 4.9% (down from 7.4% in 3Q 2022). Revenue is forecast to grow 18% p.a. on average during the next 3 years, compared to a 19% growth forecast for the Chemicals industry in China. Reported Earnings • Aug 26
Second quarter 2023 earnings released: EPS: CN¥0.13 (vs CN¥0.20 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.13 (down from CN¥0.20 in 2Q 2022). Revenue: CN¥994.9m (down 3.7% from 2Q 2022). Net income: CN¥56.6m (down 33% from 2Q 2022). Profit margin: 5.7% (down from 8.1% 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. Reported Earnings • Apr 23
Full year 2022 earnings released: EPS: CN¥0.69 (vs CN¥1.27 in FY 2021) Full year 2022 results: EPS: CN¥0.69 (down from CN¥1.27 in FY 2021). Revenue: CN¥3.71b (down 18% from FY 2021). Net income: CN¥287.9m (down 46% from FY 2021). Profit margin: 7.8% (down from 12% in FY 2021). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 19% p.a. on average during the next 2 years, compared to a 17% growth forecast for the Chemicals industry in China. Valuation Update With 7 Day Price Move • Nov 30
Investor sentiment improved over the past week After last week's 17% share price gain to CN¥18.41, 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 8.9% over the past year. Board Change • Nov 16
Less than half of directors are independent There are 4 new directors who have joined the board in the last 3 years. Of these new board members, 2 were independent directors. The company's board is composed of: 4 new directors. 2 experienced directors. No highly experienced directors. 2 independent directors (3 non-independent directors). Employees Representative Member of the Supervisory Board Hua Li is the most experienced director on the board, commencing their role in 2021. Independent Director Lily Li was the last independent director to join the board, commencing their role in 2021. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of experienced directors. Reported Earnings • Oct 27
Third quarter 2022 earnings released: EPS: CN¥0.17 (vs CN¥0.36 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.17 (down from CN¥0.36 in 3Q 2021). Revenue: CN¥965.3m (down 19% from 3Q 2021). Net income: CN¥71.4m (down 53% from 3Q 2021). Profit margin: 7.4% (down from 13% in 3Q 2021). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 23% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Chemicals industry in China. Reported Earnings • Aug 29
Second quarter 2022 earnings released: EPS: CN¥0.20 (vs CN¥0.33 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.20 (down from CN¥0.33 in 2Q 2021). Revenue: CN¥1.03b (down 19% from 2Q 2021). Net income: CN¥83.9m (down 39% from 2Q 2021). Profit margin: 8.1% (down from 11% in 2Q 2021). The decrease in margin was driven by lower revenue. Over the next year, revenue is forecast to grow 38%, compared to a 40% growth forecast for the Chemicals industry in China. Reported Earnings • Apr 30
First quarter 2022 earnings released: EPS: CN¥0.19 (vs CN¥0.18 in 1Q 2021) First quarter 2022 results: EPS: CN¥0.19 (up from CN¥0.18 in 1Q 2021). Revenue: CN¥716.2m (down 7.3% from 1Q 2021). Net income: CN¥80.2m (up 2.8% from 1Q 2021). Profit margin: 11% (up from 10% in 1Q 2021). The increase in margin was driven by lower expenses. Over the next year, revenue is forecast to grow 27%, compared to a 43% growth forecast for the industry in China. Reported Earnings • Apr 17
Full year 2021 earnings released: EPS: CN¥1.27 (vs CN¥1.16 in FY 2020) Full year 2021 results: EPS: CN¥1.27 (up from CN¥1.16 in FY 2020). Revenue: CN¥4.52b (up 24% from FY 2020). Net income: CN¥532.8m (up 21% from FY 2020). Profit margin: 12% (in line with FY 2020). Over the next year, revenue is forecast to grow 25%, compared to a 50% growth forecast for the industry in China. Valuation Update With 7 Day Price Move • Dec 22
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥25.19, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 20x in the Chemicals industry in China. Total returns to shareholders of 35% over the past year. Valuation Update With 7 Day Price Move • Nov 20
Investor sentiment improved over the past week After last week's 26% share price gain to CN¥21.95, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 20x in the Chemicals industry in China. Reported Earnings • Oct 31
Third quarter 2021 earnings released: EPS CN¥0.36 (vs CN¥0.36 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¥1.19b (up 16% from 3Q 2020). Net income: CN¥151.0m (up 11% from 3Q 2020). Profit margin: 13% (in line with 3Q 2020). Reported Earnings • Aug 19
Second quarter 2021 earnings released: EPS CN¥0.33 (vs CN¥0.32 in 2Q 2020) The company reported a solid second quarter result with improved earnings and revenues, although profit margins were flat. Second quarter 2021 results: Revenue: CN¥1.27b (up 27% from 2Q 2020). Net income: CN¥137.8m (up 17% from 2Q 2020). Profit margin: 11% (in line with 2Q 2020). Reported Earnings • Apr 26
First quarter 2021 earnings released: EPS CN¥0.22 (vs CN¥0.16 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¥772.4m (up 82% from 1Q 2020). Net income: CN¥78.1m (up 58% from 1Q 2020). Profit margin: 10% (down from 12% in 1Q 2020). The decrease in margin was driven by higher expenses. Reported Earnings • Mar 27
Full year 2020 earnings released: EPS CN¥1.39 (vs CN¥1.14 in FY 2019) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥3.65b (up 11% from FY 2019). Net income: CN¥440.8m (up 24% from FY 2019). Profit margin: 12% (up from 11% in FY 2019). The increase in margin was driven by higher revenue. Valuation Update With 7 Day Price Move • Feb 03
Investor sentiment improved over the past week After last week's 17% share price gain to CN¥27.30, the stock is trading at a trailing P/E ratio of 21x, up from the previous P/E ratio of 17.9x. This compares to an average P/E of 35x in the Chemicals industry in China. Valuation Update With 7 Day Price Move • Jan 06
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥26.62, the stock is trading at a trailing P/E ratio of 20.5x, up from the previous P/E ratio of 17.7x. This compares to an average P/E of 36x in the Chemicals industry in China.