Valuation Update With 7 Day Price Move • Jul 04
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to CN¥4.75, the stock trades at a trailing P/E ratio of 51.6x. Average trailing P/E is 116x in the Communications industry in China. Total returns to shareholders of 26% over the past three years. Announcement • Jun 30
Wutong Holding Group Co., Ltd. to Report First Half, 2026 Results on Aug 29, 2026 Wutong Holding Group Co., Ltd. announced that they will report first half, 2026 results on Aug 29, 2026 Valuation Update With 7 Day Price Move • Jun 19
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥6.41, the stock trades at a trailing P/E ratio of 69.6x. Average trailing P/E is 114x in the Communications industry in China. Total returns to shareholders of 63% over the past three years. New Risk • May 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 8.4% 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. This is currently the only risk that has been identified for the company. 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¥6.12, the stock trades at a trailing P/E ratio of 66.4x. Average trailing P/E is 117x in the Communications industry in China. Total returns to shareholders of 65% over the past three years. Reported Earnings • Apr 23
First quarter 2026 earnings released: EPS: CN¥0.03 (vs CN¥0.03 in 1Q 2025) First quarter 2026 results: EPS: CN¥0.03 (in line with 1Q 2025). Revenue: CN¥1.08b (down 5.9% from 1Q 2025). Net income: CN¥41.3m (up 18% from 1Q 2025). Profit margin: 3.8% (up from 3.1% in 1Q 2025). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 41% per year but the company’s share price has only increased by 16% per year, which means it is significantly lagging earnings growth. Announcement • Apr 23
Wutong Holding Group Co., Ltd., Annual General Meeting, May 18, 2026 Wutong Holding Group Co., Ltd., Annual General Meeting, May 18, 2026, at 14:00 China Standard Time. Location: The Company's Meeting Room, Suzhou, Jiangsu China Announcement • Mar 31
Wutong Holding Group Co., Ltd. to Report Q1, 2026 Results on Apr 23, 2026 Wutong Holding Group Co., Ltd. announced that they will report Q1, 2026 results on Apr 23, 2026 Announcement • Dec 31
Wutong Holding Group Co., Ltd. to Report Fiscal Year 2025 Results on Apr 23, 2026 Wutong Holding Group Co., Ltd. announced that they will report fiscal year 2025 results on Apr 23, 2026 Reported Earnings • Nov 03
Third quarter 2025 earnings released: EPS: CN¥0.021 (vs CN¥0.035 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.021 (down from CN¥0.035 in 3Q 2024). Revenue: CN¥1.07b (down 4.3% from 3Q 2024). Net income: CN¥30.8m (down 9.2% from 3Q 2024). Profit margin: 2.9% (in line with 3Q 2024). Over the last 3 years on average, earnings per share has increased by 47% per year but the company’s share price has only increased by 13% per year, which means it is significantly lagging earnings growth. Announcement • Sep 30
Wutong Holding Group Co., Ltd. to Report Q3, 2025 Results on Oct 30, 2025 Wutong Holding Group Co., Ltd. announced that they will report Q3, 2025 results on Oct 30, 2025 Reported Earnings • Aug 26
Second quarter 2025 earnings released: EPS: CN¥0.02 (vs CN¥0.009 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.02 (up from CN¥0.009 in 2Q 2024). Revenue: CN¥1.11b (up 3.8% from 2Q 2024). Net income: CN¥25.8m (up 100% from 2Q 2024). Profit margin: 2.3% (up from 1.2% in 2Q 2024). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 39% per year but the company’s share price has only increased by 13% per year, which means it is significantly lagging earnings growth. Announcement • Jul 02
Wutong Holding Group Co., Ltd. to Report First Half, 2025 Results on Aug 26, 2025 Wutong Holding Group Co., Ltd. announced that they will report first half, 2025 results on Aug 26, 2025 Announcement • Jun 19
Wutong Holding Group Co., Ltd. (SZSE:300292) signed Equity Acquisition Agreement to acquire remaining 20% stake in Suzhou Wutong Smart Electronics Co., Ltd. from Pei Zhonghui for CNY 84 million. Wutong Holding Group Co., Ltd. (SZSE:300292) signed Equity Acquisition Agreement to acquire remaining 20% stake in Suzhou Wutong Smart Electronics Co., Ltd. from Pei Zhonghui for CNY 84 million on June 17, 2025. A cash consideration of CNY 84 million will be paid by Wutong Holding Group Co., Ltd. As part of consideration, CNY 84 million is paid towards common equity of Suzhou Wutong Smart Electronics Co., Ltd. Upon completion, Wutong Holding Group Co., Ltd. will own 100% stake in Suzhou Wutong Smart Electronics Co., Ltd.
As of March 31, 2025, Suzhou Wutong Smart Electronics Co., Ltd. reported total assets of CNY 312.68 million and total common equity of CNY 56.27 million.
The transaction is subject to approval of offer by acquirer board. The deal has been approved by the board. Reported Earnings • Apr 24
First quarter 2025 earnings released: EPS: CN¥0.03 (vs CN¥0.02 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.03 (up from CN¥0.02 in 1Q 2024). Revenue: CN¥1.14b (up 5.0% from 1Q 2024). Net income: CN¥35.1m (up 6.9% from 1Q 2024). Profit margin: 3.1% (up from 3.0% in 1Q 2024). Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has only increased by 14% per year, which means it is significantly lagging earnings growth. Announcement • Apr 23
Wutong Holding Group Co., Ltd., Annual General Meeting, May 16, 2025 Wutong Holding Group Co., Ltd., Annual General Meeting, May 16, 2025, at 14:00 China Standard Time. Location: The Company's Meeting Room, Suzhou, Jiangsu China New Risk • Apr 07
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 8.3% 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 (8.3% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.1% net profit margin). Announcement • Mar 31
Wutong Holding Group Co., Ltd. to Report Q1, 2025 Results on Apr 23, 2025 Wutong Holding Group Co., Ltd. announced that they will report Q1, 2025 results on Apr 23, 2025 Announcement • Dec 31
Wutong Holding Group Co., Ltd. to Report Fiscal Year 2024 Results on Apr 23, 2025 Wutong Holding Group Co., Ltd. announced that they will report fiscal year 2024 results on Apr 23, 2025 Reported Earnings • Oct 28
Third quarter 2024 earnings released: EPS: CN¥0.035 (vs CN¥0.021 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.035 (up from CN¥0.021 in 3Q 2023). Revenue: CN¥1.11b (up 17% from 3Q 2023). Net income: CN¥34.0m (up 24% from 3Q 2023). Profit margin: 3.0% (in line with 3Q 2023). Over the last 3 years on average, earnings per share has increased by 92% per year but the company’s share price has only increased by 11% per year, which means it is significantly lagging earnings growth. Announcement • Sep 30
Wutong Holding Group Co., Ltd. to Report Q3, 2024 Results on Oct 28, 2024 Wutong Holding Group Co., Ltd. announced that they will report Q3, 2024 results on Oct 28, 2024 Reported Earnings • Aug 20
Second quarter 2024 earnings released: EPS: CN¥0.009 (vs CN¥0.005 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.009 (up from CN¥0.005 in 2Q 2023). Revenue: CN¥1.07b (up 25% from 2Q 2023). Net income: CN¥12.9m (up 28% from 2Q 2023). Profit margin: 1.2% (in line with 2Q 2023). Over the last 3 years on average, earnings per share has increased by 119% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Announcement • Jun 29
Wutong Holding Group Co., Ltd. to Report First Half, 2024 Results on Aug 20, 2024 Wutong Holding Group Co., Ltd. announced that they will report first half, 2024 results on Aug 20, 2024 Announcement • Apr 24
Wutong Holding Group Co., Ltd., Annual General Meeting, May 16, 2024 Wutong Holding Group Co., Ltd., Annual General Meeting, May 16, 2024, at 14:00 China Standard Time. Location: The Company's Meeting Room, Suzhou, Jiangsu China Reported Earnings • Apr 24
First quarter 2024 earnings released: EPS: CN¥0.02 (vs CN¥0.02 in 1Q 2023) First quarter 2024 results: EPS: CN¥0.02 (in line with 1Q 2023). Revenue: CN¥1.09b (up 38% from 1Q 2023). Net income: CN¥32.8m (up 61% from 1Q 2023). Profit margin: 3.0% (up from 2.6% in 1Q 2023). Over the last 3 years on average, earnings per share has increased by 121% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Apr 16
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to CN¥2.89, the stock trades at a trailing P/E ratio of 67.6x. Average trailing P/E is 45x in the Communications industry in China. Total loss to shareholders of 13% over the past three years. Announcement • Mar 30
Wutong Holding Group Co., Ltd. to Report Q1, 2024 Results on Apr 24, 2024 Wutong Holding Group Co., Ltd. announced that they will report Q1, 2024 results on Apr 24, 2024 New Risk • Mar 28
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 10% 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 (10% average weekly change). Large one-off items impacting financial results. Valuation Update With 7 Day Price Move • Feb 23
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥3.09, the stock trades at a trailing P/E ratio of 72.3x. Average trailing P/E is 43x in the Communications industry in China. Total loss to shareholders of 9.1% over the past three years. Valuation Update With 7 Day Price Move • Feb 02
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to CN¥2.71, the stock trades at a trailing P/E ratio of 63.4x. Average trailing P/E is 39x in the Communications industry in China. Total loss to shareholders of 11% over the past three years. Announcement • Dec 30
Wutong Holding Group Co., Ltd. to Report Fiscal Year 2023 Results on Apr 24, 2024 Wutong Holding Group Co., Ltd. announced that they will report fiscal year 2023 results on Apr 24, 2024 New Risk • Oct 31
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 60% 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. Reported Earnings • Oct 24
Third quarter 2023 earnings released: EPS: CN¥0.021 (vs CN¥0.002 loss in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.021 (up from CN¥0.002 loss in 3Q 2022). Revenue: CN¥949.7m (down 11% from 3Q 2022). Net income: CN¥27.5m (up CN¥29.0m from 3Q 2022). Profit margin: 2.9% (up from net loss in 3Q 2022). The move to profitability was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 94% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. New Risk • Aug 19
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: 0.8% Last year net profit margin: 1.2% 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 Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (0.8% net profit margin). Reported Earnings • Aug 19
Second quarter 2023 earnings released: EPS: CN¥0.005 (vs CN¥0.031 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.005 (down from CN¥0.031 in 2Q 2022). Revenue: CN¥853.7m (down 8.0% from 2Q 2022). Net income: CN¥10.1m (down 70% from 2Q 2022). Profit margin: 1.2% (down from 3.6% in 2Q 2022). Over the last 3 years on average, earnings per share has increased by 71% per year but the company’s share price has fallen by 12% per year, which means it is significantly lagging earnings. Announcement • Jul 01
Wutong Holding Group Co., Ltd. to Report First Half, 2023 Results on Aug 19, 2023 Wutong Holding Group Co., Ltd. announced that they will report first half, 2023 results on Aug 19, 2023 Reported Earnings • Apr 24
First quarter 2023 earnings released: EPS: CN¥0.02 (vs CN¥0.01 loss in 1Q 2022) First quarter 2023 results: EPS: CN¥0.02 (up from CN¥0.01 loss in 1Q 2022). Revenue: CN¥789.0m (down 18% from 1Q 2022). Net income: CN¥20.4m (up CN¥31.8m from 1Q 2022). Profit margin: 2.6% (up from net loss in 1Q 2022). Over the last 3 years on average, earnings per share has increased by 48% per year but the company’s share price has fallen by 13% per year, which means it is significantly lagging earnings. Announcement • Jan 04
Wutong Holding Group Co., Ltd. Announces Board Appointments Wutong Holding Group Co., Ltd. announced the election and nomination of Wan Weifang as non-independent directors. The company also announced the election of Wang Qing as Independent Director, at the EGM held on December 30, 2022. Board Change • Nov 16
Less than half of directors are independent There are 5 new directors who have joined the board in the last 3 years. Of these new board members, 2 were independent directors. The company's board is composed of: 3 independent directors. 4 non-independent directors. Independent Director Yongxiang Xia was the last independent director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Reported Earnings • Oct 27
Third quarter 2022 earnings released: CN¥0.002 loss per share (vs CN¥0.019 profit in 3Q 2021) Third quarter 2022 results: CN¥0.002 loss per share (down from CN¥0.019 profit in 3Q 2021). Revenue: CN¥1.06b (down 4.7% from 3Q 2021). Net loss: CN¥1.51m (down 105% from profit in 3Q 2021). Over the last 3 years on average, earnings per share has increased by 50% per year but the company’s share price has fallen by 17% per year, which means it is significantly lagging earnings. Announcement • Oct 22
Lin Chun and Shanghai Suo'ersi Business Consulting Co., Ltd. acquired Fuzhou 498 Network Technology Co., Ltd from Wutong Holding Group Co., Ltd. (SZSE:300292). Lin Chun and Shanghai Suo'ersi Business Consulting Co., Ltd. acquired Fuzhou 498 Network Technology Co., Ltd from Wutong Holding Group Co., Ltd. (SZSE:300292) on October 19, 2022. Post acquisition, Lin Chun holds 65% stake and Shanghai Suo'ersi Business Consulting Co., Ltd holds 35% stake in Fuzhou 498. On October 19, 2022, Agreement between Wutong Holding Group Co., Ltd to acquire a 90% stake in Fuzhou 498 Network Technology Co., Ltd. from Lin Chun and Shanghai Suo'ersi Business Consulting Co., Ltd. have been terminated.
Lin Chun and Shanghai Suo'ersi Business Consulting Co., Ltd. completed the acquisition of Fuzhou 498 Network Technology Co., Ltd from Wutong Holding Group Co., Ltd. (SZSE:300292) on October 19, 2022. Reported Earnings • Aug 21
Second quarter 2022 earnings released: EPS: CN¥0.031 (vs CN¥0.025 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.031 (up from CN¥0.025 in 2Q 2021). Revenue: CN¥928.2m (down 9.9% from 2Q 2021). Net income: CN¥33.8m (up 80% from 2Q 2021). Profit margin: 3.6% (up from 1.8% in 2Q 2021). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 58% per year but the company’s share price has fallen by 13% per year, which means it is significantly lagging earnings. Announcement • Aug 11
Wutong Holding Group Co., Ltd. (SZSE:300292) completed the acquisition of 90% stake in Fuzhou 498 Network Technology Co., Ltd. from Lin Chun and Shanghai Suo'ersi Business Consulting Co., Ltd. Wutong Holding Group Co., Ltd. (SZSE:300292) entered into an agreement to acquire a 90% stake in Fuzhou 498 Network Technology Co., Ltd. from Lin Chun and Shanghai Suo'ersi Business Consulting Co., Ltd. for CNY 585 million on May 27, 2022. Lin Chun will sell 55% and Shanghai Suo'ersi Business Consulting will sell 35% in Fuzhou 498 Network Technology. After this transaction, Lin Chun will hold 10% stake in Fuzhou 498 Network Technology. The consideration will be funded through own funds and raised funds. The transaction has been approved by the board of Wutong Holding and needs to be appoved by their shareholders. Fuzhou 498 Network Technology has reported revenue of CNY 1.679308 million and net profit of CNY 1.096625 million in December 31, 2021. Fuzhou 498 Network Technology has reported total assets of CNY 351 million and total common equity of CNY 184 million on March 31, 2022.
BDO China SHU LUN PAN Certified Public Accountants LLP acted as accountant to Wutong Holding Group Co., Ltd. (SZSE:300292).
Wutong Holding Group Co., Ltd. (SZSE:300292) completed the acquisition of 90% stake in Fuzhou 498 Network Technology Co., Ltd. from Lin Chun and Shanghai Suo'ersi Business Consulting Co., Ltd. on August 10, 2022. Reported Earnings • Apr 27
First quarter 2022 earnings: EPS misses analyst expectations First quarter 2022 results: CN¥0.01 loss per share (down from CN¥0.01 profit in 1Q 2021). Revenue: CN¥962.4m (down 14% from 1Q 2021). Net loss: CN¥11.4m (down 176% from profit in 1Q 2021). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates. Over the last 3 years on average, earnings per share has increased by 57% per year but the company’s share price has fallen by 21% per year, which means it is significantly lagging earnings. Board Change • Apr 27
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Supervisor Taihua Hang was the last director to join the board, commencing their role in 2020. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Oct 27
Third quarter 2021 earnings released: EPS CN¥0.019 (vs CN¥0.03 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¥1.12b (up 13% from 3Q 2020). Net income: CN¥29.0m (down 4.9% from 3Q 2020). Profit margin: 2.6% (down from 3.1% in 3Q 2020). Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Reported Earnings • Aug 26
Second quarter 2021 earnings released: EPS CN¥0.025 (vs CN¥0.021 in 2Q 2020) The company reported a soft second quarter result with weaker earnings and profit margins, although revenues improved. Second quarter 2021 results: Revenue: CN¥1.03b (up 13% from 2Q 2020). Net income: CN¥18.8m (down 42% from 2Q 2020). Profit margin: 1.8% (down from 3.5% in 2Q 2020). Over the last 3 years on average, earnings per share has increased by 2% per year whereas the company’s share price has fallen by 1% per year. Reported Earnings • Apr 30
First quarter 2021 earnings released: EPS CN¥0.01 (vs CN¥0.003 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¥1.12b (up 62% from 1Q 2020). Net income: CN¥15.2m (up CN¥19.0m from 1Q 2020). Profit margin: 1.4% (up from net loss in 1Q 2020). Over the last 3 years on average, earnings per share has fallen by 11% per year whereas the company’s share price has fallen by 13% per year. Is New 90 Day High Low • Jan 22
New 90-day low: CN¥3.48 The company is down 34% from its price of CN¥5.27 on 23 October 2020. The Chinese market is up 12% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is down 5.0% over the same period. Is New 90 Day High Low • Jan 06
New 90-day low: CN¥3.99 The company is down 20% from its price of CN¥5.00 on 30 September 2020. The Chinese market is up 11% 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. Is New 90 Day High Low • Dec 10
New 90-day low: CN¥4.70 The company is down 10.0% from its price of CN¥5.21 on 11 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 3.0% over the same period. Is New 90 Day High Low • Nov 02
New 90-day low: CN¥4.73 The company is down 10.0% from its price of CN¥5.26 on 04 August 2020. The Chinese market is down 6.0% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Communications industry, which is down 15% over the same period. Announcement • Oct 20
Wutong Holding Group Co., Ltd. to Report Q3, 2020 Results on Oct 27, 2020 Wutong Holding Group Co., Ltd. announced that they will report Q3, 2020 results on Oct 27, 2020 Is New 90 Day High Low • Sep 28
New 90-day low: CN¥4.98 The company is down 4.0% from its price of CN¥5.17 on 30 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. Announcement • Aug 11
Wutong Holding Group Co., Ltd. to Report First Half, 2020 Results on Aug 27, 2020 Wutong Holding Group Co., Ltd. announced that they will report first half, 2020 results on Aug 27, 2020 Announcement • Jul 30
Wutong Holding Group Co., Ltd. (SZSE:300292) completed the acquisition of 51% stake in Shanghai Ruiyi Communication Technology Co., Ltd from Tao Rui and Li Xin. Wutong Holding Group Co., Ltd. (SZSE:300292) agreed to acquire 51% stake in Shanghai Ruiyi Communication Technology Co., Ltd from Tao Rui and Li Xin for free on March 31, 2020. Wutong Holding Group Co., Ltd. (SZSE:300292) entered into an agreement to acquire 51% stake in Shanghai Ruiyi Communication Technology Co., Ltd from Tao Rui and Li Xin on April 13, 2020. As per the agreement, Wutong Holding Group Co., Ltd will acquire 46% stake in Shanghai Ruiyi Communication Technology from Tao Rui and 5% stake from Li Xin. Upon completion, Tao Rui will hold 22% stake and Li Xin will hold 17% stake in Shanghai Ruiyi Communication Technology Co., Ltd.
For the financial year December 31, 2019, Shanghai Ruiyi Communication Technology Co., Ltd reported total asset of CNY 109 million, revenue of CNY 486 million, net profit of CNY 0.16 million and total common equity of CNY 18.5 million. On March 31, 2020, the shareholders of Shanghai Ruiyi Communication Technology Co., Ltd approved the transaction. The transaction is approved by the board of Wutong Holding Group Co., Ltd. on April 13, 2020.
Wutong Holding Group Co., Ltd. (SZSE:300292) completed the acquisition of 51% stake in Shanghai Ruiyi Communication Technology Co., Ltd from Tao Rui and Li Xin on April 22, 2020.