Valuation Update With 7 Day Price Move • May 19
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to CN¥29.15, the stock trades at a forward P/E ratio of 35x. Average forward P/E is 49x in the IT industry in China. Total returns to shareholders of 17% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥15.54 per share. Valuation Update With 7 Day Price Move • Apr 29
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥23.33, the stock trades at a forward P/E ratio of 29x. Average forward P/E is 42x in the IT industry in China. Total loss to shareholders of 13% over the past three years. Announcement • Apr 13
Richinfo Technology Co., Ltd., Annual General Meeting, May 08, 2026 Richinfo Technology Co., Ltd., Annual General Meeting, May 08, 2026, at 14:00 China Standard Time. Location: The Company's Meeting Room, Beijing China Reported Earnings • Apr 11
Full year 2025 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2025 results: EPS: CN¥0.65 (up from CN¥0.52 in FY 2024). Revenue: CN¥1.83b (up 11% from FY 2024). Net income: CN¥290.7m (up 26% from FY 2024). Profit margin: 16% (up from 14% in FY 2024). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 6.1%. Earnings per share (EPS) exceeded analyst estimates by 4.9%. Revenue is forecast to grow 21% p.a. on average during the next 2 years, compared to a 17% growth forecast for the IT industry in China. Over the last 3 years on average, earnings per share has fallen by 8% per year but the company’s share price has remained flat, which means it is well ahead of earnings. New Risk • Apr 08
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 Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Announcement • Mar 31
Richinfo Technology Co., Ltd. to Report Q1, 2026 Results on Apr 24, 2026 Richinfo Technology Co., Ltd. announced that they will report Q1, 2026 results on Apr 24, 2026 New Risk • Jan 14
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 7.6% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (7.6% average weekly change). Valuation Update With 7 Day Price Move • Jan 09
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥29.54, the stock trades at a forward P/E ratio of 39x. Average forward P/E is 49x in the IT industry in China. Total returns to shareholders of 87% over the past three years. Announcement • Dec 31
Richinfo Technology Co., Ltd. to Report Fiscal Year 2025 Results on Apr 11, 2026 Richinfo Technology Co., Ltd. announced that they will report fiscal year 2025 results on Apr 11, 2026 Reported Earnings • Oct 25
Third quarter 2025 earnings released: EPS: CN¥0.14 (vs CN¥0.18 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.14 (down from CN¥0.18 in 3Q 2024). Revenue: CN¥421.8m (down 1.8% from 3Q 2024). Net income: CN¥61.0m (down 21% from 3Q 2024). Profit margin: 14% (down from 18% in 3Q 2024). The decrease in margin was primarily driven by higher expenses. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 17% growth forecast for the IT industry in China. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has increased by 12% per year, which means it is well ahead of earnings. Announcement • Sep 30
Richinfo Technology Co., Ltd. to Report Q3, 2025 Results on Oct 25, 2025 Richinfo Technology Co., Ltd. announced that they will report Q3, 2025 results on Oct 25, 2025 Announcement • Aug 27
Richinfo Technology Co., Ltd. Proposes Interim Cash Dividend for the Year 2025 Richinfo Technology Co., Ltd. at its Extraordinary General Meeting to be on 11 September 2025, proposed interim cash dividend/10 shares (tax included) of CNY 0.35000000 for the year 2025. Announcement • Jul 02
Richinfo Technology Co., Ltd. to Report First Half, 2025 Results on Aug 26, 2025 Richinfo Technology Co., Ltd. announced that they will report first half, 2025 results on Aug 26, 2025 Announcement • Jul 01
Richinfo Technology Co., Ltd. Approves Board Appointments Richinfo Technology Co., Ltd. announced at the EGM held on June 27, 2025, approved election of Yang Liangzhi as non-independent director and Zhang Xiaojun as independent director. Price Target Changed • May 13
Price target increased by 7.4% to CN¥29.00 Up from CN¥27.00, the current price target is provided by 1 analyst. New target price is 16% above last closing price of CN¥24.91. Stock is up 32% over the past year. The company is forecast to post earnings per share of CN¥0.63 for next year compared to CN¥0.52 last year. Announcement • May 13
Richinfo Technology Co., Ltd. Approves Final Cash Dividend for the Year 2024 Richinfo Technology Co., Ltd. at the AGM held on May 9, 2025 approved final Cash dividend/10 shares (tax included) of CNY 1.25000000 for the year 2024. New Risk • Apr 18
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. The company is paying a dividend despite having no free cash flows. Dividend yield: 1.1% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. 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 Share price has been highly volatile over the past 3 months (12% average weekly change). Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (14% net profit margin). Announcement • Apr 15
Richinfo Technology Co., Ltd. Proposes Final Cash Dividend for the Year 2024 Richinfo Technology Co., Ltd. proposed final cash dividend/10 shares (tax included) of CNY 1.25000000 for the year 2024. Announcement • Apr 14
Richinfo Technology Co., Ltd., Annual General Meeting, May 09, 2025 Richinfo Technology Co., Ltd., Annual General Meeting, May 09, 2025, at 14:00 China Standard Time. Location: The Company's Meeting Room, Beijing China Reported Earnings • Apr 12
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: CN¥0.52 (down from CN¥0.73 in FY 2023). Revenue: CN¥1.65b (up 10% from FY 2023). Net income: CN¥230.1m (down 29% from FY 2023). Profit margin: 14% (down from 22% in FY 2023). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 5.2%. Earnings per share (EPS) also missed analyst estimates by 26%. Revenue is forecast to grow 20% p.a. on average during the next 2 years, compared to a 15% growth forecast for the IT industry in China. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has increased by 24% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Apr 07
Investor sentiment deteriorates as stock falls 23% After last week's 23% share price decline to CN¥20.50, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 45x in the IT industry in China. Total returns to shareholders of 68% over the past three years. Announcement • Mar 31
Richinfo Technology Co., Ltd. to Report Q1, 2025 Results on Apr 22, 2025 Richinfo Technology Co., Ltd. announced that they will report Q1, 2025 results on Apr 22, 2025 Valuation Update With 7 Day Price Move • Feb 28
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥27.62, the stock trades at a forward P/E ratio of 34x. Average forward P/E is 41x in the IT industry in China. Total returns to shareholders of 94% over the past three years. Valuation Update With 7 Day Price Move • Feb 11
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥34.22, the stock trades at a forward P/E ratio of 42x. Average forward P/E is 39x in the IT industry in China. Total returns to shareholders of 138% over the past three years. Valuation Update With 7 Day Price Move • Jan 24
Investor sentiment improves as stock rises 25% After last week's 25% share price gain to CN¥25.54, the stock trades at a forward P/E ratio of 32x. Average forward P/E is 32x in the IT industry in China. Total returns to shareholders of 66% over the past three years. Announcement • Dec 31
Richinfo Technology Co., Ltd. to Report Fiscal Year 2024 Results on Apr 12, 2025 Richinfo Technology Co., Ltd. announced that they will report fiscal year 2024 results on Apr 12, 2025 Valuation Update With 7 Day Price Move • Nov 04
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥19.79, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 29x in the IT industry in China. Total returns to shareholders of 23% over the past three years. Reported Earnings • Oct 26
Third quarter 2024 earnings released: EPS: CN¥0.18 (vs CN¥0.13 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.18 (up from CN¥0.13 in 3Q 2023). Revenue: CN¥429.4m (up 19% from 3Q 2023). Net income: CN¥77.2m (up 38% from 3Q 2023). Profit margin: 18% (up from 16% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 16% growth forecast for the IT 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 only increased by 10% per year, which means it is significantly lagging earnings growth. Announcement • Oct 25
Richinfo Technology Co., Ltd. Announces the Profit Distribution Proposal for the First Half of 2024 Richinfo Technology Co., Ltd. announced on 24 October 2024 the profit distribution proposal for the first half of 2024 as follows: Cash dividend per 10 shares (tax included) of CNY 0.43000000. Valuation Update With 7 Day Price Move • Oct 15
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to CN¥19.24, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 29x in the IT industry in China. Total returns to shareholders of 9.6% over the past three years. New Risk • Sep 30
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 7.9% 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: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (7.9% average weekly change). Profit margins are more than 30% lower than last year (12% net profit margin). Announcement • Sep 30
Richinfo Technology Co., Ltd. to Report Q3, 2024 Results on Oct 26, 2024 Richinfo Technology 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 19% After last week's 19% share price gain to CN¥16.69, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 23x in the IT industry in China. Total returns to shareholders of 1.1% over the past three years. Major Estimate Revision • Aug 17
Consensus revenue estimates fall by 12% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥1.92b to CN¥1.69b. EPS estimate fell from CN¥0.76 to CN¥0.665 per share. Net income forecast to grow 72% next year vs 52% growth forecast for IT industry in China. Consensus price target of CN¥22.00 unchanged from last update. Share price fell 10% to CN¥13.81 over the past week. New Risk • Aug 10
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: 12% Last year net profit margin: 28% 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: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (12% net profit margin). Reported Earnings • Aug 10
Second quarter 2024 earnings released: EPS: CN¥0.073 (vs CN¥0.41 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.073 (down from CN¥0.41 in 2Q 2023). Revenue: CN¥356.7m (up 2.0% from 2Q 2023). Net income: CN¥34.2m (down 82% from 2Q 2023). Profit margin: 9.6% (down from 54% in 2Q 2023). Revenue is forecast to grow 28% p.a. on average during the next 3 years, compared to a 16% growth forecast for the IT industry in China. Over the last 3 years on average, earnings per share has increased by 26% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Announcement • Jun 29
Richinfo Technology Co., Ltd. to Report First Half, 2024 Results on Aug 10, 2024 Richinfo Technology Co., Ltd. announced that they will report first half, 2024 results on Aug 10, 2024 Announcement • Jun 08
Richinfo Technology Co., Ltd. Announces Dividend of A Shares for the Year 2023, Payable on 17 June 2024 Richinfo Technology Co., Ltd. announced cash dividend/10 shares (tax included) of CNY 1.68000000 of A shares for the year 2023. Record date is 14 June 2024. Ex-date is 17 June 2024. Payment date is 17 June 2024. Reported Earnings • Apr 26
First quarter 2024 earnings released: EPS: CN¥0.19 (vs CN¥0.14 in 1Q 2023) First quarter 2024 results: EPS: CN¥0.19 (up from CN¥0.14 in 1Q 2023). Revenue: CN¥424.4m (up 11% from 1Q 2023). Net income: CN¥83.7m (up 38% from 1Q 2023). Profit margin: 20% (up from 16% in 1Q 2023). Revenue is forecast to grow 26% p.a. on average during the next 3 years, compared to a 19% growth forecast for the IT industry in China. Over the last 3 years on average, earnings per share has increased by 34% per year but the company’s share price has only increased by 12% per year, which means it is significantly lagging earnings growth. Major Estimate Revision • Apr 22
Consensus EPS estimates fall by 17% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥2.07b to CN¥1.92b. EPS estimate also fell from CN¥0.916 per share to CN¥0.76 per share. Net income forecast to grow 4.8% next year vs 51% growth forecast for IT industry in China. Consensus price target down from CN¥27.00 to CN¥23.00. Share price fell 4.8% to CN¥16.76 over the past week. Reported Earnings • Apr 17
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: CN¥0.73 (up from CN¥0.51 in FY 2022). Revenue: CN¥1.50b (up 25% from FY 2022). Net income: CN¥324.6m (up 44% from FY 2022). Profit margin: 22% (up from 19% in FY 2022). Revenue missed analyst estimates by 5.2%. Earnings per share (EPS) also missed analyst estimates by 13%. Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 20% growth forecast for the IT industry in China. Over the last 3 years on average, earnings per share has increased by 34% per year but the company’s share price has only increased by 6% per year, which means it is significantly lagging earnings growth. Announcement • Apr 16
Richinfo Technology Co., Ltd., Annual General Meeting, May 10, 2024 Richinfo Technology Co., Ltd., Annual General Meeting, May 10, 2024, at 14:00 China Standard Time. Location: The Company's Meeting Room, Beijing China Valuation Update With 7 Day Price Move • Apr 16
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥16.05, the stock trades at a forward P/E ratio of 18x. Average forward P/E is 24x in the IT industry in China. Total returns to shareholders of 13% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥22.63 per share. Buy Or Sell Opportunity • Apr 12
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 4.3% to CN¥17.83. The fair value is estimated to be CN¥22.56, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 24% over the last 3 years. Earnings per share has grown by 34%. Revenue is forecast to grow by 77% in 2 years. Earnings are forecast to grow by 34% in the next 2 years. Announcement • Mar 30
Richinfo Technology Co., Ltd. to Report Q1, 2024 Results on Apr 26, 2024 Richinfo Technology Co., Ltd. announced that they will report Q1, 2024 results on Apr 26, 2024 New Risk • Mar 25
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 9.7% 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: Minor Risks Share price has been volatile over the past 3 months (9.7% average weekly change). Large one-off items impacting financial results. Valuation Update With 7 Day Price Move • Mar 20
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥21.94, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 27x in the IT industry in China. Total returns to shareholders of 58% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥22.18 per share. Buy Or Sell Opportunity • Feb 28
Now 23% undervalued after recent price drop Over the last 90 days, the stock has fallen 20% to CN¥16.91. The fair value is estimated to be CN¥21.99, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 24% over the last 3 years. Earnings per share has grown by 34%. Revenue is forecast to grow by 77% in 2 years. Earnings are forecast to grow by 33% in the next 2 years. Valuation Update With 7 Day Price Move • Feb 02
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥14.48, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 21x in the IT industry in China. Total returns to shareholders of 1.9% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥19.87 per share. Buy Or Sell Opportunity • Jan 31
Now 24% undervalued after recent price drop Over the last 90 days, the stock has fallen 29% to CN¥15.05. The fair value is estimated to be CN¥19.74, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 24% over the last 3 years. Earnings per share has grown by 34%. Revenue is forecast to grow by 77% in 2 years. Earnings are forecast to grow by 33% in the next 2 years. Announcement • Dec 30
Richinfo Technology Co., Ltd. to Report Fiscal Year 2023 Results on Apr 16, 2024 Richinfo Technology Co., Ltd. announced that they will report fiscal year 2023 results on Apr 16, 2024 Announcement • Dec 16
Richinfo Technology Co., Ltd. (SZSE:300634) announces an Equity Buyback for CNY 100 million worth of its shares. Richinfo Technology Co., Ltd. (SZSE:300634) announces a share repurchase program. Under the program, the company will repurchase up to CNY 100 million worth of its A shares. The shares will be repurchased at a price not more than CNY 23 per share. The repurchased share will be used for employee stock ownership plan and equity incentives. The program will be valid for a period of 6 months. Reported Earnings • Oct 25
Third quarter 2023 earnings released: EPS: CN¥0.13 (vs CN¥0.14 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.13 (down from CN¥0.14 in 3Q 2022). Revenue: CN¥360.0m (up 17% from 3Q 2022). Net income: CN¥56.1m (down 7.5% from 3Q 2022). Profit margin: 16% (down from 20% in 3Q 2022). Revenue is forecast to grow 23% p.a. on average during the next 3 years, compared to a 20% growth forecast for the IT industry in China. Over the last 3 years on average, earnings per share has increased by 34% per year but the company’s share price has fallen by 5% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Oct 23
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to CN¥19.07, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 24x in the IT industry in China. Total loss to shareholders of 22% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥11.34 per share. New Risk • Aug 09
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 74% 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 (9.6% average weekly change). Minor Risk Large one-off items impacting financial results. Reported Earnings • Aug 08
Second quarter 2023 earnings released: EPS: CN¥0.41 (vs CN¥0.13 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.41 (up from CN¥0.13 in 2Q 2022). Revenue: CN¥349.7m (up 1.1% from 2Q 2022). Net income: CN¥190.0m (up 229% from 2Q 2022). Profit margin: 54% (up from 17% in 2Q 2022). Revenue is forecast to grow 28% p.a. on average during the next 3 years, compared to a 18% growth forecast for the IT industry in China. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Jul 25
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥23.16, the stock trades at a forward P/E ratio of 32x. Average forward P/E is 28x in the IT industry in China. Total loss to shareholders of 6.2% over the past three years. Announcement • Jul 01
Richinfo Technology Co., Ltd. to Report First Half, 2023 Results on Aug 08, 2023 Richinfo Technology Co., Ltd. announced that they will report first half, 2023 results on Aug 08, 2023 Valuation Update With 7 Day Price Move • Jun 27
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to CN¥26.01, the stock trades at a forward P/E ratio of 35x. Average forward P/E is 31x in the IT industry in China. Total returns to shareholders of 18% over the past three years. Announcement • May 18
Richinfo Technology Co., Ltd. Announces Final Cash Dividend on Share A for 2022, Payable on May 23, 2023 Richinfo Technology Co., Ltd. announced final Cash dividend/10 shares (tax included): CNY 1.02000000 on share A for 2022. Record date: 22 May 2023, Ex-date: 23 May 2023, Payment date: 23 May 2023. Valuation Update With 7 Day Price Move • May 04
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥27.47, the stock trades at a forward P/E ratio of 38x. Average forward P/E is 29x in the IT industry in China. Total returns to shareholders of 34% over the past three years. Reported Earnings • Apr 16
Full year 2022 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2022 results: EPS: CN¥0.51 (up from CN¥0.35 in FY 2021). Revenue: CN¥1.20b (up 35% from FY 2021). Net income: CN¥225.0m (up 51% from FY 2021). Profit margin: 19% (up from 17% in FY 2021). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 5.3%. Earnings per share (EPS) exceeded analyst estimates by 4.1%. Revenue is forecast to grow 34% p.a. on average during the next 2 years, compared to a 19% growth forecast for the IT industry in China. Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Mar 23
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥30.01, the stock trades at a forward P/E ratio of 50x. Average forward P/E is 38x in the IT industry in China. Total returns to shareholders of 41% over the past three years. Valuation Update With 7 Day Price Move • Mar 09
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥23.09, the stock trades at a forward P/E ratio of 39x. Average forward P/E is 34x in the IT industry in China. Total returns to shareholders of 10% over the past three years. Valuation Update With 7 Day Price Move • Jan 20
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥18.73, the stock trades at a forward P/E ratio of 31x. Average forward P/E is 30x in the IT industry in China. Total returns to shareholders of 7.5% over the past three years. Valuation Update With 7 Day Price Move • Jan 04
Investor sentiment improved over the past week After last week's 17% share price gain to CN¥17.25, the stock trades at a forward P/E ratio of 30x. Average forward P/E is 29x in the IT industry in China. Total loss to shareholders of 4.7% over the past three years. Board Change • Nov 16
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Non-Independent Director Bin Zhang was the last director to join the board, commencing their role in 2022. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Oct 23
Third quarter 2022 earnings released: EPS: CN¥0.14 (vs CN¥0.099 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.14 (up from CN¥0.099 in 3Q 2021). Revenue: CN¥306.9m (up 62% from 3Q 2021). Net income: CN¥60.6m (up 43% from 3Q 2021). Profit margin: 20% (down from 22% in 3Q 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has fallen by 6% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Oct 13
Investor sentiment improved over the past week After last week's 21% share price gain to CN¥15.39, the stock trades at a trailing P/E ratio of 36.6x. Average trailing P/E is 42x in the IT industry in China. Total loss to shareholders of 23% over the past three years. Reported Earnings • Aug 26
Second quarter 2022 earnings released: EPS: CN¥0.13 (vs CN¥0.10 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.13 (up from CN¥0.10 in 2Q 2021). Revenue: CN¥345.7m (up 38% from 2Q 2021). Net income: CN¥57.7m (up 42% from 2Q 2021). Profit margin: 17% (in line with 2Q 2021). Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has fallen by 13% per year, which means it is significantly lagging earnings. Board Change • Jul 12
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Non-Independent Director Bin Zhang was the last director to join the board, commencing their role in 2022. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Announcement • Jul 12
Richinfo Technology Co., Ltd. Announces 2021 Final Profit Distribution Plan to Be Implemented (A Shares), Payable on July 15, 2022 Richinfo Technology Co., Ltd. announced 2021 final profit distribution plan to be implemented (A shares), payable on July 14, 2022. The company announced Cash dividend/10 shares (tax included) of CNY 0.60000000. The record date is July 13, 2022 and ex-date is July 14, 2022. Announcement • Jun 29
Richinfo Technology Co., Ltd. Announces Board Appointments Richinfo Technology Co., Ltd. held its 1st Extraordinary General Meeting of 2022 on 27 June 2022, announced the appointment of Zhang Bin as non-independent directors. Xie Guozhong, Liu Chengming and Zhu Hongwe as independent directors. Wen Zhaosheng and Ma Liya as non-employee supervisors. Announcement • May 24
Richinfo Technology Co., Ltd. Approves Final Cash Dividend for the Year 2021 Richinfo Technology Co., Ltd. approved final cash dividend CNY 0.60000000 per 10 shares (tax included) for the year 2021, at its Annual General Meeting of 2021 held on 20 May 2022. Announcement • Apr 27
Richinfo Technology Co., Ltd. Proposes Final Cash Dividend for the Year 2021 Richinfo Technology Co., Ltd. proposed final cash dividend CNY 0.60 per 10 shares (tax included) for the year 2021. Board Change • Apr 27
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 10 experienced directors. No highly experienced directors. 3 independent directors (4 non-independent 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: Minority of independent directors. Insufficient board refreshment. Valuation Update With 7 Day Price Move • Jan 31
Investor sentiment deteriorated over the past week After last week's 15% share price decline to CN¥15.69, the stock trades at a trailing P/E ratio of 45.3x. Average trailing P/E is 45x in the IT industry in China. Total loss to shareholders of 30% over the past three years. Valuation Update With 7 Day Price Move • Nov 11
Investor sentiment improved over the past week After last week's 23% share price gain to CN¥19.87, the stock trades at a trailing P/E ratio of 57.4x. Average trailing P/E is 49x in the IT industry in China. Total loss to shareholders of 26% over the past three years. Reported Earnings • Oct 28
Third quarter 2021 earnings released: EPS CN¥0.099 (vs CN¥0.07 in 3Q 2020) The company reported a decent third quarter result with improved earnings and profit margins, although revenues were weaker. Third quarter 2021 results: Revenue: CN¥189.7m (down 6.2% from 3Q 2020). Net income: CN¥42.4m (up 59% from 3Q 2020). Profit margin: 22% (up from 13% in 3Q 2020). The increase in margin was driven by lower expenses. 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 16% per year, which means it is performing significantly worse than earnings. Upcoming Dividend • Oct 06
Upcoming dividend of CN¥0.06 per share Eligible shareholders must have bought the stock before 13 October 2021. Payment date: 13 October 2021. Trailing yield: 0.7%. Lower than top quartile of Chinese dividend payers (1.9%). In line with average of industry peers (0.7%). Reported Earnings • Aug 26
Second quarter 2021 earnings released: EPS CN¥0.10 (vs CN¥0.12 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¥249.9m (up 43% from 2Q 2020). Net income: CN¥40.6m (down 5.3% from 2Q 2020). Profit margin: 16% (down from 25% in 2Q 2020). The decrease in margin was driven by higher expenses. 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 19% per year, which means it is performing significantly worse than earnings. Valuation Update With 7 Day Price Move • Jul 28
Investor sentiment deteriorated over the past week After last week's 17% share price decline to CN¥16.84, the stock trades at a forward P/E ratio of 31x. Average forward P/E is 23x in the IT industry in China. Total loss to shareholders of 53% over the past three years. Valuation Update With 7 Day Price Move • Jun 30
Investor sentiment improved over the past week After last week's 34% share price gain to CN¥21.24, the stock trades at a forward P/E ratio of 39x. Average forward P/E is 25x in the IT industry in China. Total loss to shareholders of 46% over the past three years. Reported Earnings • Apr 28
First quarter 2021 earnings released: EPS CN¥0.05 (vs CN¥0.04 in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: CN¥152.1m (up 2.8% from 1Q 2020). Net income: CN¥21.2m (up 21% from 1Q 2020). Profit margin: 14% (up from 12% in 1Q 2020). 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 36% per year, which means it is performing significantly worse than earnings. Reported Earnings • Apr 03
Full year 2020 earnings released: EPS CN¥0.34 (vs CN¥0.33 in FY 2019) The company reported a solid full year result with improved earnings and revenues, although profit margins were flat. Full year 2020 results: Revenue: CN¥739.1m (up 1.0% from FY 2019). Net income: CN¥136.6m (up 2.9% from FY 2019). Profit margin: 19% (in line with FY 2019). 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 14% per year, which means it is performing significantly worse than earnings. Is New 90 Day High Low • Mar 15
New 90-day low: CN¥13.81 The company is down 35% from a price of CN¥21.30 on 15 December 2020. Underperformed the Chinese market, which is flat over the last 90 days. Lagged the IT industry, which is down 15% over the same period. Reported Earnings • Mar 04
Full year 2020 earnings released: EPS CN¥0.34 (vs CN¥0.33 in FY 2019) The company reported a solid full year result with improved earnings and revenues, although profit margins were flat. Full year 2020 results: Revenue: CN¥769.5m (up 5.1% from FY 2019). Net income: CN¥134.5m (up 1.3% from FY 2019). Profit margin: 18% (in line with FY 2019). Analyst Estimate Surprise Post Earnings • Mar 04
Revenue and earnings miss expectations Revenue missed analyst estimates by 8.7%. Earnings per share (EPS) also missed analyst estimates by 13%. Over the next year, revenue is forecast to grow 33%, compared to a 34% growth forecast for the IT industry in China.