Declared Dividend • May 17
Dividend of CN¥0.25 announced Shareholders will receive a dividend of CN¥0.25. Ex-date: 25th May 2026 Payment date: 25th May 2026 Dividend yield will be 0.8%, which is lower than the industry average of 1.2%. Sustainability & Growth Dividend is well covered by both earnings (36% earnings payout ratio) and cash flows (17% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 174% over the next 3 years, which should provide support to the dividend and adequate earnings cover. New Risk • May 11
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 8.1% 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: 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 (8.1% average weekly change). Valuation Update With 7 Day Price Move • May 11
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to CN¥31.81, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 63x in the Communications industry in China. Total returns to shareholders of 64% over the past three years. Announcement • Apr 21
Fujian Star-net Communication Co., LTD., Annual General Meeting, May 12, 2026 Fujian Star-net Communication Co., LTD., Annual General Meeting, May 12, 2026, at 14:30 China Standard Time. Location: 1F, Building A, Phase III, No. 33, Xingang Avenue, Gaoxin District, Fuzhou, Fujian China Announcement • Mar 31
Fujian Star-net Communication Co., LTD. to Report Q1, 2026 Results on Apr 21, 2026 Fujian Star-net Communication Co., LTD. announced that they will report Q1, 2026 results on Apr 21, 2026 Reported Earnings • Mar 30
Full year 2025 earnings: EPS and revenues miss analyst expectations Full year 2025 results: EPS: CN¥0.71 (up from CN¥0.70 in FY 2024). Revenue: CN¥19.2b (up 14% from FY 2024). Net income: CN¥408.9m (up 1.0% from FY 2024). Profit margin: 2.1% (down from 2.4% in FY 2024). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 5.4%. Earnings per share (EPS) also missed analyst estimates by 42%. Revenue is forecast to grow 19% p.a. on average during the next 2 years, compared to a 29% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has increased by 4% per year, which means it is well ahead of earnings. New Risk • Mar 29
New major risk - Revenue and earnings growth Earnings have declined by 7.5% 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 Risk Earnings have declined by 7.5% 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. Announcement • Dec 31
Fujian Star-net Communication Co., LTD. to Report Fiscal Year 2025 Results on Mar 28, 2026 Fujian Star-net Communication Co., LTD. announced that they will report fiscal year 2025 results on Mar 28, 2026 Price Target Changed • Oct 31
Price target decreased by 7.4% to CN¥25.58 Down from CN¥27.61, the current price target is an average from 2 analysts. New target price is approximately in line with last closing price of CN¥26.79. Stock is up 59% over the past year. The company is forecast to post earnings per share of CN¥1.06 for next year compared to CN¥0.70 last year. Reported Earnings • Oct 22
Third quarter 2025 earnings released: EPS: CN¥0.23 (vs CN¥0.24 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.23 (down from CN¥0.24 in 3Q 2024). Revenue: CN¥5.28b (up 15% from 3Q 2024). Net income: CN¥132.5m (down 3.7% from 3Q 2024). Profit margin: 2.5% (down from 3.0% in 3Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 18% p.a. on average during the next 3 years, compared to a 23% growth forecast for the Communications 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 increased by 11% per year, which means it is well ahead of earnings. Announcement • Sep 30
Fujian Star-net Communication Co., LTD. to Report Q3, 2025 Results on Oct 22, 2025 Fujian Star-net Communication Co., LTD. announced that they will report Q3, 2025 results on Oct 22, 2025 Valuation Update With 7 Day Price Move • Sep 08
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to CN¥29.65, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 46x in the Communications industry in China. Total returns to shareholders of 52% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥28.60 per share. New Risk • Sep 04
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 6.9% 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 (6.9% average weekly change). Reported Earnings • Aug 22
Second quarter 2025 earnings released: EPS: CN¥0.29 (vs CN¥0.19 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.29 (up from CN¥0.19 in 2Q 2024). Revenue: CN¥5.40b (up 30% from 2Q 2024). Net income: CN¥169.8m (up 50% from 2Q 2024). Profit margin: 3.1% (up from 2.7% in 2Q 2024). 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 20% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has increased by 18% per year, which means it is well ahead of earnings. Buy Or Sell Opportunity • Aug 14
Now 22% undervalued Over the last 90 days, the stock has risen 49% to CN¥29.12. The fair value is estimated to be CN¥37.36, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.3% over the last 3 years. Earnings per share has declined by 19%. Revenue is forecast to grow by 47% in 2 years. Earnings are forecast to grow by 94% in the next 2 years. Major Estimate Revision • Jul 22
Consensus EPS estimates increase by 15% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has improved. 2025 revenue forecast increased from CN¥20.0b to CN¥20.4b. EPS estimate increased from CN¥0.918 to CN¥1.06 per share. Net income forecast to grow 53% next year vs 52% growth forecast for Communications industry in China. Consensus price target up from CN¥17.67 to CN¥25.58. Share price was steady at CN¥25.36 over the past week. Announcement • Jul 02
Fujian Star-net Communication Co., LTD. to Report First Half, 2025 Results on Aug 22, 2025 Fujian Star-net Communication Co., LTD. announced that they will report first half, 2025 results on Aug 22, 2025 Declared Dividend • May 26
Dividend of CN¥0.25 announced Dividend of CN¥0.25 is the same as last year. Ex-date: 30th May 2025 Payment date: 30th May 2025 Dividend yield will be 1.3%, which is higher than the industry average of 1.2%. Sustainability & Growth Dividend is well covered by both earnings (33% earnings payout ratio) and cash flows (23% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 61% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • May 03
First quarter 2025 earnings released: EPS: CN¥0.073 (vs CN¥0.02 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.073 (up from CN¥0.02 in 1Q 2024). Revenue: CN¥3.49b (up 11% from 1Q 2024). Net income: CN¥42.1m (up 265% from 1Q 2024). Profit margin: 1.2% (up from 0.4% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 16% p.a. on average during the next 3 years, compared to a 19% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has fallen by 19% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Announcement • Apr 29
Fujian Star-net Communication Co., LTD., Annual General Meeting, May 20, 2025 Fujian Star-net Communication Co., LTD., Annual General Meeting, May 20, 2025, at 14:30 China Standard Time. Major Estimate Revision • Apr 09
Consensus EPS estimates fall by 29% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has deteriorated. 2025 revenue forecast decreased from CN¥21.4b to CN¥20.1b. EPS estimate also fell from CN¥1.22 per share to CN¥0.87 per share. Net income forecast to grow 26% next year vs 56% growth forecast for Communications industry in China. Consensus price target of CN¥15.50 unchanged from last update. Share price fell 13% to CN¥17.43 over the past week. Announcement • Apr 04
Fujian Star-net Communication Co., LTD. Proposes Final Cash Dividend for the Year 2024 Fujian Star-net Communication Co., LTD. proposed final cash dividend/10 shares (tax included) of CNY 2.50000000 for the year 2024. Reported Earnings • Apr 03
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: CN¥0.70 (down from CN¥0.73 in FY 2023). Revenue: CN¥16.8b (up 5.3% from FY 2023). Net income: CN¥404.6m (down 4.8% from FY 2023). Profit margin: 2.4% (down from 2.7% in FY 2023). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 5.3%. 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 20% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has fallen by 20% per year but the company’s share price has only fallen by 1% per year, which means it has not declined as severely as earnings. Announcement • Mar 31
Fujian Star-net Communication Co., LTD. to Report Q1, 2025 Results on Apr 29, 2025 Fujian Star-net Communication Co., LTD. announced that they will report Q1, 2025 results on Apr 29, 2025 New Risk • Mar 12
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 8.2% 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 Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (8.2% average weekly change). Large one-off items impacting financial results. Announcement • Dec 31
Fujian Star-net Communication Co., LTD. to Report Fiscal Year 2024 Results on Apr 03, 2025 Fujian Star-net Communication Co., LTD. announced that they will report fiscal year 2024 results on Apr 03, 2025 Reported Earnings • Oct 25
Third quarter 2024 earnings: EPS and revenues miss analyst expectations Third quarter 2024 results: EPS: CN¥0.24 (up from CN¥0.18 in 3Q 2023). Revenue: CN¥4.59b (up 12% from 3Q 2023). Net income: CN¥137.6m (up 32% from 3Q 2023). Profit margin: 3.0% (up from 2.6% in 3Q 2023). Revenue missed analyst estimates by 3.9%. Earnings per share (EPS) also missed analyst estimates by 17%. Revenue is forecast to grow 18% p.a. on average during the next 3 years, compared to a 21% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has fallen by 20% per year but the company’s share price has only fallen by 8% per year, which means it has not declined as severely as earnings. Announcement • Oct 17
Fujian Star-net Communication Co., LTD. Approves Management Appointments Fujian Star-net Communication Co., LTD. at its Extraordinary General Meeting held on 15 October 2024, approved election of Ruan Jiayong, Wei Hewen, Qiang Wei, Hong Xiaoqi and Wu Binbin as non-independent directors; election of Xie Bangsheng and Hong Fangfang as independent directors; election of Xu Yanhui and Xie Xiaomei as non-employee supervisors. Announcement • Sep 30
Fujian Star-net Communication Co., LTD. to Report Q3, 2024 Results on Oct 25, 2024 Fujian Star-net Communication Co., LTD. announced that they will report Q3, 2024 results on Oct 25, 2024 Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥16.65, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 24x in the Communications industry in China. Total loss to shareholders of 31% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥8.14 per share. Price Target Changed • Aug 23
Price target decreased by 13% to CN¥17.08 Down from CN¥19.66, the current price target is an average from 2 analysts. New target price is 26% above last closing price of CN¥13.52. Stock is down 24% over the past year. The company is forecast to post earnings per share of CN¥0.93 for next year compared to CN¥0.73 last year. Reported Earnings • Aug 23
Second quarter 2024 earnings: EPS and revenues miss analyst expectations Second quarter 2024 results: EPS: CN¥0.19 (down from CN¥0.20 in 2Q 2023). Revenue: CN¥4.16b (up 15% from 2Q 2023). Net income: CN¥113.6m (down 3.2% from 2Q 2023). Profit margin: 2.7% (down from 3.2% in 2Q 2023). Revenue missed analyst estimates by 2.1%. Earnings per share (EPS) also missed analyst estimates by 9.5%. Revenue is forecast to grow 20% p.a. on average during the next 3 years, compared to a 21% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has fallen by 19% per year whereas the company’s share price has fallen by 20% per year. Major Estimate Revision • Aug 21
Consensus EPS estimates fall by 13% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate fell from CN¥0.985 to CN¥0.86 per share. Revenue forecast steady at CN¥17.9b. Net income forecast to grow 63% next year vs 63% growth forecast for Communications industry in China. Consensus price target down from CN¥19.66 to CN¥18.66. Share price rose 2.5% to CN¥13.06 over the past week. Board Change • Aug 02
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Director Wei Qiang was the last director to join the board, commencing their role in 2023. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Announcement • Jun 29
Fujian Star-net Communication Co., LTD. to Report First Half, 2024 Results on Aug 23, 2024 Fujian Star-net Communication Co., LTD. announced that they will report first half, 2024 results on Aug 23, 2024 Announcement • May 29
Fujian Star-Net Communication Co., Ltd. Announces Final Cash Dividend Plan on A Shares for 2023, Payable on 3 June 2024 Fujian Star-net Communication Co., LTD. announced 2023 final profit distribution plan to be implemented (A shares): Cash dividend per 10 shares (tax included) of CNY 2.50000000. Record date is 31 May 2024. Ex-date is 3 June 2024. Payment date is 3 June 2024. Major Estimate Revision • May 07
Consensus EPS estimates fall by 31% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥19.7b to CN¥18.0b. EPS estimate also fell from CN¥1.07 per share to CN¥0.74 per share. Net income forecast to grow 48% next year vs 65% growth forecast for Communications industry in China. Consensus price target broadly unchanged at CN¥19.94. Share price was steady at CN¥15.33 over the past week. Announcement • Apr 28
Fujian Star-net Communication Co., LTD., Annual General Meeting, May 20, 2024 Fujian Star-net Communication Co., LTD., Annual General Meeting, May 20, 2024, at 14:30 China Standard Time. Location: 1F, Building A, Phase III, No. 33, Xingang Avenue, Gaoxin District, Fuzhou, Fujian China Agenda: To consider 2023 work report of the board of directors; to consider 2023 work report of the supervisory committee; to consider 2023 annual report and its summary; to consider 2023 annual accounts report; to consider Entrusted wealth management with some idle proprietary funds; to consider 2023 profit distribution plan; to consider 2024 credit loans usage and bill pool business plan; and to consider other matters. Reported Earnings • Apr 26
First quarter 2024 earnings: EPS and revenues miss analyst expectations First quarter 2024 results: EPS: CN¥0.02 (down from CN¥0.14 in 1Q 2023). Revenue: CN¥3.14b (down 6.4% from 1Q 2023). Net income: CN¥11.6m (down 86% from 1Q 2023). Profit margin: 0.4% (down from 2.4% in 1Q 2023). Revenue missed analyst estimates by 15%. Earnings per share (EPS) also missed analyst estimates by 94%. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 22% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has only fallen by 7% per year, which means it has not declined as severely as earnings. Price Target Changed • Apr 10
Price target decreased by 9.2% to CN¥20.11 Down from CN¥22.15, the current price target is an average from 3 analysts. New target price is 24% above last closing price of CN¥16.25. Stock is down 37% over the past year. The company is forecast to post earnings per share of CN¥1.07 for next year compared to CN¥0.73 last year. Major Estimate Revision • Apr 04
Consensus EPS estimates fall by 20% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥20.1b to CN¥19.7b. EPS estimate also fell from CN¥1.34 per share to CN¥1.07 per share. Net income forecast to grow 49% next year vs 60% growth forecast for Communications industry in China. Consensus price target down from CN¥22.15 to CN¥21.09. Share price rose 5.2% to CN¥16.92 over the past week. Announcement • Mar 30
Fujian Star-net Communication Co., LTD. to Report Q1, 2024 Results on Apr 26, 2024 Fujian Star-net Communication Co., LTD. announced that they will report Q1, 2024 results on Apr 26, 2024 Reported Earnings • Mar 29
Full year 2023 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2023 results: EPS: CN¥0.73 (down from CN¥0.99 in FY 2022). Revenue: CN¥15.9b (up 1.1% from FY 2022). Net income: CN¥424.9m (down 26% from FY 2022). Profit margin: 2.7% (down from 3.7% in FY 2022). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 2.1%. Earnings per share (EPS) exceeded analyst estimates by 13%. Revenue is forecast to grow 20% p.a. on average during the next 2 years, compared to a 23% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has fallen by 7% per year whereas the company’s share price has fallen by 6% per year. Valuation Update With 7 Day Price Move • Feb 05
Investor sentiment deteriorates as stock falls 20% After last week's 20% share price decline to CN¥12.43, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 20x in the Communications industry in China. Total loss to shareholders of 35% over the past three years. Announcement • Dec 30
Fujian Star-net Communication Co., LTD. to Report Fiscal Year 2023 Results on Mar 29, 2024 Fujian Star-net Communication Co., LTD. announced that they will report fiscal year 2023 results on Mar 29, 2024 Reported Earnings • Oct 27
Third quarter 2023 earnings: EPS and revenues miss analyst expectations Third quarter 2023 results: EPS: CN¥0.18 (down from CN¥0.23 in 3Q 2022). Revenue: CN¥4.08b (down 9.7% from 3Q 2022). Net income: CN¥104.5m (down 21% from 3Q 2022). Profit margin: 2.6% (down from 2.9% in 3Q 2022). Revenue missed analyst estimates by 13%. Earnings per share (EPS) also missed analyst estimates by 63%. Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 23% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has fallen by 9% per year, which means it is performing significantly worse than earnings. Major Estimate Revision • Aug 31
Consensus EPS estimates fall by 11% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from CN¥19.5b to CN¥18.1b. EPS estimate also fell from CN¥1.24 per share to CN¥1.10 per share. Net income forecast to grow 60% next year vs 57% growth forecast for Communications industry in China. Consensus price target of CN¥23.52 unchanged from last update. Share price was steady at CN¥18.89 over the past week. New Risk • Aug 30
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 33% 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. This is currently the only risk that has been identified for the company. Price Target Changed • Aug 29
Price target decreased by 15% to CN¥23.34 Down from CN¥27.33, the current price target is an average from 3 analysts. New target price is 24% above last closing price of CN¥18.76. Stock is down 7.0% over the past year. The company is forecast to post earnings per share of CN¥1.12 for next year compared to CN¥0.99 last year. Reported Earnings • Aug 25
Second quarter 2023 earnings: EPS and revenues miss analyst expectations Second quarter 2023 results: EPS: CN¥0.20 (down from CN¥0.33 in 2Q 2022). Revenue: CN¥3.62b (down 3.4% from 2Q 2022). Net income: CN¥117.4m (down 39% from 2Q 2022). Profit margin: 3.2% (down from 5.1% in 2Q 2022). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 25%. Earnings per share (EPS) also missed analyst estimates by 46%. Revenue is forecast to grow 16% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has fallen by 16% per year, which means it is significantly lagging earnings. New Risk • Jul 15
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 6.9% 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 Share price has been volatile over the past 3 months (6.9% average weekly change). Large one-off items impacting financial results. Announcement • Jul 06
Fujian Star-Net Communication Co., Ltd. Announces Final Dividend on A Shares for the Year 2022, Payable on July 11, 2023 Fujian Star-net Communication Co., LTD. announced final cash dividend/10 shares (tax included) of CNY 1.00000000 on A shares for the year 2022. Record date is July 10, 2023. Ex-date is July 11, 2023. Payment date is July 11, 2023. Announcement • Jul 01
Fujian Star-net Communication Co., LTD. to Report First Half, 2023 Results on Aug 25, 2023 Fujian Star-net Communication Co., LTD. announced that they will report first half, 2023 results on Aug 25, 2023 Announcement • May 25
Fujian Star-Net Communication Co., Ltd. Approves Dividend for 2022 Fujian Star-net Communication Co., LTD. announced at the AGM held on May 22, 2023 that the company approved Cash dividend/10 shares (tax included): CNY1.00000000 for 2022. Major Estimate Revision • May 11
Consensus EPS estimates fall by 15% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from CN¥19.7b to CN¥19.4b. EPS estimate also fell from CN¥1.36 per share to CN¥1.16 per share. Net income forecast to grow 40% next year vs 43% growth forecast for Communications industry in China. Consensus price target broadly unchanged at CN¥26.85. Share price fell 4.4% to CN¥20.15 over the past week. Major Estimate Revision • May 02
Consensus EPS estimates increase by 11% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has improved. 2023 revenue forecast increased from CN¥19.1b to CN¥19.7b. EPS estimate increased from CN¥1.23 to CN¥1.36 per share. Net income forecast to grow 55% next year vs 52% growth forecast for Communications industry in China. Consensus price target of CN¥26.60 unchanged from last update. Share price fell 5.4% to CN¥21.21 over the past week. Reported Earnings • Apr 26
First quarter 2023 earnings: EPS and revenues exceed analyst expectations First quarter 2023 results: EPS: CN¥0.14 (down from CN¥0.21 in 1Q 2022). Revenue: CN¥3.35b (up 14% from 1Q 2022). Net income: CN¥80.9m (down 33% from 1Q 2022). Profit margin: 2.4% (down from 4.1% in 1Q 2022). Revenue exceeded analyst estimates by 2.3%. Earnings per share (EPS) also surpassed analyst estimates by 73%. Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has fallen by 15% per year, which means it is significantly lagging earnings. Major Estimate Revision • Apr 03
Consensus EPS estimates fall by 18% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from CN¥20.3b to CN¥20.0b. EPS estimate also fell from CN¥1.59 per share to CN¥1.30 per share. Net income forecast to grow 21% next year vs 38% growth forecast for Communications industry in China. Consensus price target of CN¥26.37 unchanged from last update. Share price fell 6.0% to CN¥23.68 over the past week. Price Target Changed • Nov 16
Price target decreased to CN¥26.73 Down from CN¥29.56, the current price target is an average from 4 analysts. New target price is 28% above last closing price of CN¥20.91. Stock is down 16% over the past year. The company is forecast to post earnings per share of CN¥1.20 for next year compared to CN¥0.94 last year. Board Change • Nov 16
High number of new directors There are 6 new directors who have joined the board in the last 3 years. Non-Independent Director Kaijin Liu was the last director to join the board, commencing their role in 2021. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Price Target Changed • Nov 12
Price target decreased to CN¥26.73 Down from CN¥29.56, the current price target is an average from 4 analysts. New target price is 29% above last closing price of CN¥20.65. Stock is down 16% over the past year. The company is forecast to post earnings per share of CN¥1.17 for next year compared to CN¥0.94 last year. Major Estimate Revision • Nov 03
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 EPS estimate fell from CN¥1.36 to CN¥1.20. Revenue forecast unchanged from CN¥17.2b at last update. Net income forecast to grow 47% next year vs 52% growth forecast for Communications industry in China. Consensus price target of CN¥28.06 unchanged from last update. Share price was steady at CN¥20.91 over the past week. Reported Earnings • Oct 28
Third quarter 2022 earnings released: EPS: CN¥0.41 (vs CN¥0.39 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.41 (up from CN¥0.39 in 3Q 2021). Revenue: CN¥4.12b (up 5.6% from 3Q 2021). Net income: CN¥239.0m (up 4.0% from 3Q 2021). Profit margin: 5.8% (in line with 3Q 2021). Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has fallen by 15% per year, which means it is significantly lagging earnings. Reported Earnings • Aug 26
Second quarter 2022 earnings released: EPS: CN¥0.33 (vs CN¥0.37 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.33 (down from CN¥0.37 in 2Q 2021). Revenue: CN¥3.75b (up 11% from 2Q 2021). Net income: CN¥191.5m (down 10% from 2Q 2021). Profit margin: 5.1% (down from 6.3% in 2Q 2021). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 23%, compared to a 33% growth forecast for the Communications industry in China. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. Announcement • Jul 09
Fujian Star-Net Communication Co., Ltd. Announces Final Dividend on A Shares for the Year 2021, Payable on July 15, 2022 Fujian Star-net Communication Co., LTD. announced final cash dividend/10 shares (tax included) of CNY 1.00000000 on A shares for the year 2021. Record date is July 14, 2022. Ex-date is July 15, 2022. Payment date is July 15, 2022. Announcement • May 24
Fujian Star-Net Communication Co., Ltd. Announces Dividend for 2021 Fujian Star-net Communication Co., LTD. announced dividend of CNY 1.0000000 per 10 shares for 2021. Reported Earnings • Apr 29
First quarter 2022 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2022 results: EPS: CN¥0.21 (up from CN¥0.068 in 1Q 2021). Revenue: CN¥2.95b (up 54% from 1Q 2021). Net income: CN¥120.1m (up 203% from 1Q 2021). Profit margin: 4.1% (up from 2.1% in 1Q 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 30%. Earnings per share (EPS) missed analyst estimates by 23%. Over the next year, revenue is forecast to grow 21%, compared to a 31% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has fallen by 2% per year whereas the company’s share price has fallen by 4% per year. Board Change • Apr 27
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Non-Independent Director Kaijin Liu was the last director to join the board, commencing their role in 2021. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Feb 10
Investor sentiment improved over the past week After last week's 18% share price gain to CN¥25.86, the stock trades at a forward P/E ratio of 18x. Average forward P/E is 31x in the Communications industry in China. Total returns to shareholders of 33% over the past three years. Valuation Update With 7 Day Price Move • Jan 27
Investor sentiment deteriorated over the past week After last week's 17% share price decline to CN¥21.71, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 31x in the Communications industry in China. Total returns to shareholders of 26% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥8.98 per share. Reported Earnings • Oct 28
Third quarter 2021 earnings released: EPS CN¥0.39 (vs CN¥0.45 in 3Q 2020) The company reported a soft third quarter result with weaker earnings and profit margins, although revenues improved. Third quarter 2021 results: Revenue: CN¥3.90b (up 23% from 3Q 2020). Net income: CN¥229.8m (down 12% from 3Q 2020). Profit margin: 5.9% (down from 8.2% in 3Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Reported Earnings • Aug 25
Second quarter 2021 earnings released: EPS CN¥0.37 (vs CN¥0.21 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: CN¥3.37b (up 46% from 2Q 2020). Net income: CN¥213.4m (up 75% from 2Q 2020). Profit margin: 6.3% (up from 5.3% in 2Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Aug 02
Investor sentiment improved over the past week After last week's 24% share price gain to CN¥30.58, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 30x in the Communications industry in China. Total returns to shareholders of 69% over the past three years. Price Target Changed • May 04
Price target decreased to CN¥26.00 Down from CN¥43.82, the current price target is an average from 3 analysts. New target price is 38% above last closing price of CN¥18.78. Stock is down 50% over the past year. Reported Earnings • May 02
First quarter 2021 earnings released: EPS CN¥0.068 (vs CN¥0.092 loss in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: CN¥1.92b (up 78% from 1Q 2020). Net income: CN¥39.7m (up CN¥93.4m from 1Q 2020). Profit margin: 2.1% (up from net loss in 1Q 2020). The move to profitability was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 5% per year and the company’s share price has also fallen by 5% per year. Announcement • May 01
Fujian Star-Net Communication Co., Ltd. Proposes Final Cash Dividend for 2020 Fujian Star-net Communication Co., LTD. has proposed a final cash dividend of CNY 1.00 per ten shares (tax included) for 2020. Reported Earnings • Apr 16
Full year 2020 earnings released: EPS CN¥0.72 (vs CN¥1.05 in FY 2019) The company reported a soft full year result with weaker earnings and profit margins, although revenues improved. Full year 2020 results: Revenue: CN¥10.3b (up 11% from FY 2019). Net income: CN¥418.2m (down 32% from FY 2019). Profit margin: 4.1% (down from 6.6% in FY 2019). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 3% per year and the company’s share price has also fallen by 3% per year. Announcement • Feb 24
Fujian Star-net Communication Co., LTD. to Report Fiscal Year 2020 Results on Mar 26, 2021 Fujian Star-net Communication Co., LTD. announced that they will report fiscal year 2020 results on Mar 26, 2021 Is New 90 Day High Low • Feb 03
New 90-day low: CN¥20.47 The company is down 21% from its price of CN¥25.88 on 05 November 2020. The Chinese market is up 6.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is down 12% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥49.63 per share. Valuation Update With 7 Day Price Move • Dec 28
Investor sentiment deteriorated over the past week After last week's 16% share price decline to CN¥21.27, the stock is trading at a trailing P/E ratio of 26.9x, down from the previous P/E ratio of 31.9x. This compares to an average P/E of 55x in the Communications industry in China. Total returns to shareholders over the past three years were flat. Is New 90 Day High Low • Dec 24
New 90-day low: CN¥22.75 The company is down 11% from its price of CN¥25.64 on 25 September 2020. The Chinese market is up 5.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is down 7.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥49.82 per share. Major Estimate Revision • Oct 31
Analysts update estimates The 2020 consensus earning per share (EPS) estimate was lowered from CN¥1.19 to CN¥1.01. No change was made to the revenue estimate which at the last update was CN¥11.0b. Net income is expected to grow by 79% next year compared to 57% growth forecast for the Communications industry in China. The consensus price target was lowered from CN¥43.82 to CN¥42.76. Share price is down by 8.5% to CN¥23.98 over the past week. Is New 90 Day High Low • Oct 27
New 90-day low: CN¥25.19 The company is down 21% from its price of CN¥32.01 on 29 July 2020. The Chinese market is flat over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is down 4.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥45.15 per share. Price Target Changed • Oct 23
Price target lowered to CN¥42.76 Down from CN¥46.62, the current price target is an average from 7 analysts. The new target price is 63% above the current share price of CN¥26.20. As of last close, the stock is down 12% over the past year. Reported Earnings • Oct 23
Third quarter earnings released Over the last 12 months the company has reported total profits of CN¥461.2m, down 30% from the prior year. Total revenue was CN¥9.83b over the last 12 months, up 10.0% from the prior year. Announcement • Oct 17
Fujian Star-net Communication Co., LTD. to Report Q3, 2020 Results on Oct 23, 2020 Fujian Star-net Communication Co., LTD. announced that they will report Q3, 2020 results on Oct 23, 2020 Is New 90 Day High Low • Sep 25
New 90-day low: CN¥25.64 The company is down 26% from its price of CN¥34.55 on 24 June 2020. The Chinese market is up 9.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is down 2.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥10.13 per share.