Declared Dividend • May 25
Dividend reduced to CN¥0.13 Dividend of CN¥0.13 is 35% lower than last year. Ex-date: 29th May 2026 Payment date: 29th May 2026 Dividend yield will be 0.4%, which is lower than the industry average of 0.8%. 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 decreased over the past 46 years, indicating a lack of growth and stability in payments. 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 15% EPS decline seen over the last 5 years. New Risk • Apr 28
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 25% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 18% per year over the past 5 years. High level of non-cash earnings (25% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (4.1% net profit margin). Announcement • Apr 27
ChinaEtek Service & Technology Co., Ltd., Annual General Meeting, May 18, 2026 ChinaEtek Service & Technology Co., Ltd., Annual General Meeting, May 18, 2026, at 14:00 China Standard Time. Location: 12F, Building 3, Yard No. 10, Auto Museum East Road, Fengtai District, Beijing China Reported Earnings • Apr 27
Full year 2025 earnings released: EPS: CN¥0.45 (vs CN¥0.72 in FY 2024) Full year 2025 results: EPS: CN¥0.45 (down from CN¥0.72 in FY 2024). Revenue: CN¥1.15b (up 3.0% from FY 2024). Net income: CN¥54.5m (down 37% from FY 2024). Profit margin: 4.7% (down from 7.8% 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 34% per year but the company’s share price has increased by 2% per year, which means it is well ahead of earnings. Buy Or Sell Opportunity • Apr 09
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 16% to CN¥33.32. The fair value is estimated to be CN¥42.35, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 6.9% over the last 3 years. Earnings per share has declined by 27%. Announcement • Mar 31
ChinaEtek Service & Technology Co., Ltd. to Report Q1, 2026 Results on Apr 27, 2026 ChinaEtek Service & Technology Co., Ltd. announced that they will report Q1, 2026 results on Apr 27, 2026 Buy Or Sell Opportunity • Mar 23
Now 22% undervalued after recent price drop Over the last 90 days, the stock has fallen 9.4% to CN¥32.53. The fair value is estimated to be CN¥41.56, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 6.9% over the last 3 years. Earnings per share has declined by 27%. Announcement • Dec 31
ChinaEtek Service & Technology Co., Ltd. to Report Fiscal Year 2025 Results on Apr 27, 2026 ChinaEtek Service & Technology Co., Ltd. announced that they will report fiscal year 2025 results on Apr 27, 2026 New Risk • Oct 24
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: 5.9% Last year net profit margin: 9.5% 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 7.2% per year over the past 5 years. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (5.9% net profit margin). Reported Earnings • Oct 24
Third quarter 2025 earnings released: EPS: CN¥0.085 (vs CN¥0.12 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.085 (down from CN¥0.12 in 3Q 2024). Revenue: CN¥283.3m (up 37% from 3Q 2024). Net income: CN¥10.2m (down 30% from 3Q 2024). Profit margin: 3.6% (down from 7.0% in 3Q 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 27% per year but the company’s share price has increased by 16% per year, which means it is well ahead of earnings. Announcement • Sep 30
ChinaEtek Service & Technology Co., Ltd. to Report Q3, 2025 Results on Oct 24, 2025 ChinaEtek Service & Technology Co., Ltd. announced that they will report Q3, 2025 results on Oct 24, 2025 New Risk • Aug 27
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 0.4% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining 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 Risks Share price has been highly volatile over the past 3 months (8.8% average weekly change). Earnings have declined by 4.4% per year over the past 5 years. Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Reported Earnings • Aug 23
Second quarter 2025 earnings released: EPS: CN¥0.094 (vs CN¥0.17 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.094 (down from CN¥0.17 in 2Q 2024). Revenue: CN¥221.5m (down 25% from 2Q 2024). Net income: CN¥11.1m (down 46% from 2Q 2024). Profit margin: 5.0% (down from 6.9% in 2Q 2024). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 20% per year but the company’s share price has increased by 26% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Jul 07
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥51.22, the stock trades at a trailing P/E ratio of 78.2x. Average trailing P/E is 90x in the IT industry in China. Total returns to shareholders of 103% over the past three years. Announcement • Jul 02
ChinaEtek Service & Technology Co., Ltd. to Report First Half, 2025 Results on Aug 22, 2025 ChinaEtek Service & Technology Co., Ltd. announced that they will report first half, 2025 results on Aug 22, 2025 Board Change • Jun 12
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 4 non-independent directors. Independent Director Linjuan Mu was the last independent director to join the board, commencing their role in 2024. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Declared Dividend • May 31
Dividend of CN¥0.20 announced Shareholders will receive a dividend of CN¥0.20. Ex-date: 5th June 2025 Payment date: 5th June 2025 Dividend yield will be 0.5%, which is lower than the industry average of 0.8%. Sustainability & Growth Dividend is well covered by both earnings (31% earnings payout ratio) and cash flows (16% cash payout ratio). The dividend has decreased over the past 36 years, indicating a lack of growth and stability in payments. The company's earnings per share (EPS) would need to decline by 66% to shift the payout ratio to a potentially unsustainable range, which is more than the 5.3% EPS decline seen over the last 5 years. Announcement • May 27
Chinaetek Service & Technology Co., Ltd. Approves the Profit Cash Distribution Proposal for 2024 ChinaEtek Service & Technology Co., Ltd. approved the profit distribution proposal for 2024. For the period, the company reported Cash dividend (tax included): CNY 2.00000000 per ten shares for 2024. New Risk • May 03
New major risk - Revenue and earnings growth Earnings have declined by 0.9% 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 Share price has been highly volatile over the past 3 months (14% average weekly change). Earnings have declined by 0.9% per year over the past 5 years. Reported Earnings • Apr 25
First quarter 2025 earnings released: EPS: CN¥0.09 (vs CN¥0.16 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.09 (down from CN¥0.16 in 1Q 2024). Revenue: CN¥156.4m (down 11% from 1Q 2024). Net income: CN¥11.0m (down 43% from 1Q 2024). Profit margin: 7.0% (down from 11% in 1Q 2024). The decrease in margin was driven by lower revenue. Announcement • Apr 25
ChinaEtek Service & Technology Co., Ltd., Annual General Meeting, May 23, 2025 ChinaEtek Service & Technology Co., Ltd., Annual General Meeting, May 23, 2025, at 14:00 China Standard Time. Location: 12F, Building 3, Yard No. 10, Auto Museum East Road, Fengtai District, Beijing China Valuation Update With 7 Day Price Move • Apr 08
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to CN¥31.34, the stock trades at a trailing P/E ratio of 31.4x. Average trailing P/E is 74x in the IT industry in China. Total returns to shareholders of 20% over the past year. Announcement • Mar 31
ChinaEtek Service & Technology Co., Ltd. to Report Q1, 2025 Results on Apr 25, 2025 ChinaEtek Service & Technology Co., Ltd. announced that they will report Q1, 2025 results on Apr 25, 2025 Valuation Update With 7 Day Price Move • Mar 24
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥41.22, the stock trades at a trailing P/E ratio of 41.3x. Average trailing P/E is 89x in the IT industry in China. Total returns to shareholders of 38% over the past year. Valuation Update With 7 Day Price Move • Mar 06
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥49.55, the stock trades at a trailing P/E ratio of 49.6x. Average trailing P/E is 93x in the IT industry in China. Total returns to shareholders of 79% over the past year. Valuation Update With 7 Day Price Move • Feb 07
Investor sentiment improves as stock rises 25% After last week's 25% share price gain to CN¥43.19, the stock trades at a trailing P/E ratio of 43.2x. Average trailing P/E is 82x in the IT industry in China. Total returns to shareholders of 107% over the past year. Valuation Update With 7 Day Price Move • Jan 06
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to CN¥30.85, the stock trades at a trailing P/E ratio of 30.9x. Average trailing P/E is 62x in the IT industry in China. Total returns to shareholders of 3.1% over the past year. Announcement • Dec 31
ChinaEtek Service & Technology Co., Ltd. to Report Fiscal Year 2024 Results on Apr 25, 2025 ChinaEtek Service & Technology Co., Ltd. announced that they will report fiscal year 2024 results on Apr 25, 2025 Reported Earnings • Oct 23
Third quarter 2024 earnings released: EPS: CN¥0.12 (vs CN¥0.23 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.12 (down from CN¥0.23 in 3Q 2023). Revenue: CN¥206.8m (down 39% from 3Q 2023). Net income: CN¥14.6m (down 49% from 3Q 2023). Profit margin: 7.0% (down from 8.4% in 3Q 2023). The decrease in margin was driven by lower revenue. Announcement • Sep 30
ChinaEtek Service & Technology Co., Ltd. to Report Q3, 2024 Results on Oct 23, 2024 ChinaEtek Service & Technology Co., Ltd. announced that they will report Q3, 2024 results on Oct 23, 2024 Valuation Update With 7 Day Price Move • Sep 25
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥28.94, the stock trades at a trailing P/E ratio of 25.9x. Average trailing P/E is 53x in the IT industry in China. Total loss to shareholders of 15% over the past year. Reported Earnings • Aug 22
Second quarter 2024 earnings released: EPS: CN¥0.17 (vs CN¥0.21 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.17 (down from CN¥0.21 in 2Q 2023). Revenue: CN¥296.1m (up 8.8% from 2Q 2023). Net income: CN¥20.3m (down 20% from 2Q 2023). Profit margin: 6.9% (down from 9.4% in 2Q 2023). The decrease in margin was driven by higher expenses. Announcement • Jun 29
ChinaEtek Service & Technology Co., Ltd. to Report First Half, 2024 Results on Aug 22, 2024 ChinaEtek Service & Technology Co., Ltd. announced that they will report first half, 2024 results on Aug 22, 2024 Valuation Update With 7 Day Price Move • Jun 13
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to CN¥25.78, the stock trades at a trailing P/E ratio of 22.3x. Average trailing P/E is 46x in the IT industry in China. Total loss to shareholders of 17% over the past year. Announcement • May 12
Chinaetek Service & Technology Co., Ltd. Approves Cash Dividend for the Year 2023 ChinaEtek Service & Technology Co., Ltd. announced that at the Annual General Meeting of 2023 held on 09 May 2024 approved Cash dividend/10 shares (tax included) of CNY 3.90000000 for 2023. Announcement • Apr 18
ChinaEtek Service & Technology Co., Ltd., Annual General Meeting, May 09, 2024 ChinaEtek Service & Technology Co., Ltd., Annual General Meeting, May 09, 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¥26.91, the stock trades at a trailing P/E ratio of 18.1x. Average trailing P/E is 47x in the IT industry in China. Total loss to shareholders of 31% over the past year. Announcement • Mar 30
ChinaEtek Service & Technology Co., Ltd. to Report Q1, 2024 Results on Apr 17, 2024 ChinaEtek Service & Technology Co., Ltd. announced that they will report Q1, 2024 results on Apr 17, 2024 Valuation Update With 7 Day Price Move • Feb 29
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥34.76, the stock trades at a trailing P/E ratio of 23.4x. Average trailing P/E is 52x in the IT industry in China. Total loss to shareholders of 16% over the past year. Valuation Update With 7 Day Price Move • Jan 31
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to CN¥28.43, the stock trades at a trailing P/E ratio of 19.1x. Average trailing P/E is 48x in the IT industry in China. Total loss to shareholders of 30% over the past year. Announcement • Dec 29
ChinaEtek Service & Technology Co., Ltd. to Report Fiscal Year 2023 Results on Apr 17, 2024 ChinaEtek Service & Technology Co., Ltd. announced that they will report fiscal year 2023 results on Apr 17, 2024 Valuation Update With 7 Day Price Move • Nov 09
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥43.13, the stock trades at a trailing P/E ratio of 29x. Average trailing P/E is 67x in the IT industry in China. Total returns to shareholders of 5.7% over the past year. Reported Earnings • Oct 25
Third quarter 2023 earnings released Third quarter 2023 results: Revenue: CN¥340.3m (up 20% from 3Q 2022). Net income: CN¥28.5m (down 2.0% from 3Q 2022). Profit margin: 8.4% (down from 10% in 3Q 2022). The decrease in margin was driven by higher expenses. Reported Earnings • Aug 22
Second quarter 2023 earnings released: EPS: CN¥0.25 (vs CN¥0.17 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.25 (up from CN¥0.17 in 2Q 2022). Revenue: CN¥272.0m (up 38% from 2Q 2022). Net income: CN¥25.5m (up 24% from 2Q 2022). Profit margin: 9.4% (down from 10% in 2Q 2022). The decrease in margin was driven by higher expenses. Valuation Update With 7 Day Price Move • Aug 21
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to CN¥50.98, the stock trades at a trailing P/E ratio of 35.3x. Average trailing P/E is 59x in the IT industry in China. Total returns to shareholders of 62% over the past year. New Risk • Aug 06
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 6.4% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (30% accrual ratio). Minor Risks Short dividend paying track record (1 year of continuous dividend payments). Share price has been volatile over the past 3 months (6.4% average weekly change). Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to CN¥42.28, the stock trades at a trailing P/E ratio of 29.3x. Average trailing P/E is 58x in the IT industry in China. Total returns to shareholders of 16% over the past year. Announcement • Jul 13
Chinaetek Service & Technology Co., Ltd. Announces Final Dividend on A Shares for the Year 2022, Payable on July 19, 2023 ChinaEtek Service & Technology Co., Ltd. announced final cash dividend/10 shares (tax included) of CNY 4.00000000 on A shares for the year 2022. Record date is July 14, 2023. Ex-date is July 19, 2023. Payment date is July 19, 2023. Announcement • Jul 01
ChinaEtek Service & Technology Co., Ltd. to Report First Half, 2023 Results on Aug 22, 2023 ChinaEtek Service & Technology Co., Ltd. announced that they will report first half, 2023 results on Aug 22, 2023 Valuation Update With 7 Day Price Move • Jan 03
Investor sentiment improved over the past week After last week's 18% share price gain to CN¥57.55, the stock trades at a trailing P/E ratio of 29.6x. Average trailing P/E is 44x in the IT industry in China. Board Change • Nov 16
No independent directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. No highly experienced directors. No 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: Lack of independent directors. Insufficient board refreshment. Valuation Update With 7 Day Price Move • Nov 01
Investor sentiment improved over the past week After last week's 17% share price gain to CN¥49.51, the stock trades at a trailing P/E ratio of 25.4x. Average trailing P/E is 48x in the IT industry in China. Valuation Update With 7 Day Price Move • Oct 14
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥43.88, the stock trades at a trailing P/E ratio of 23.7x. Average trailing P/E is 43x in the IT industry in China. Announcement • Sep 22
ChinaEtek Service & Technology Co., Ltd. Approves Cash Dividend Proposal for the 2022 Interim ChinaEtek Service & Technology Co., Ltd. at its Extraordinary General Meeting held on 20 September 2022, approved a cash dividend proposal of CNY 3.60000000 per 10 shares for 2022 Interim. Announcement • Aug 31
ChinaEtek Service & Technology Co., Ltd. Announces Cash Dividend Proposal for the First Half of 2022 ChinaEtek Service & Technology Co., Ltd. announced a cash dividend proposal of CNY 3.60000000 per 10 shares for first half of 2022. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment improved over the past week After last week's 15% share price gain to CN¥55.30, the stock trades at a trailing P/E ratio of 30.1x. Average trailing P/E is 43x in the IT industry in China. Board Change • Jul 08
No independent directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. No highly experienced directors. No 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: Lack of independent directors. Insufficient board refreshment.