Valuation Update With 7 Day Price Move • Jul 17
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to HK$11.03, the stock trades at a forward P/E ratio of 8x. Average forward P/E is 8x in the Machinery industry in Hong Kong. Total returns to shareholders of 6.3% over the past three years. Announcement • Jun 30
CSSC Offshore & Marine Engineering (Group) Company Limited to Report First Half, 2026 Results on Aug 26, 2026 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report first half, 2026 results on Aug 26, 2026 Board Change • May 29
Less than half of directors are independent Following the recent departure of a director, there are only 4 independent directors on the board. The company's board is composed of: 4 independent directors. 6 non-independent directors. Independent Non-Executive Director Xin Xie 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. Upcoming Dividend • May 22
Upcoming dividend of CN¥0.14 per share Eligible shareholders must have bought the stock before 29 May 2026. Payment date: 16 July 2026. Payout ratio is a comfortable 25% but the company is paying out more than the cash it is generating. Trailing yield: 2.1%. Lower than top quartile of Hong Kong dividend payers (6.9%). Lower than average of industry peers (2.8%). Declared Dividend • May 02
Dividend of CN¥0.14 announced Shareholders will receive a dividend of CN¥0.14. Ex-date: 29th May 2026 Payment date: 16th July 2026 Dividend yield will be 1.4%, which is lower than the industry average of 2.8%. Sustainability & Growth Dividend is covered by earnings (25% earnings payout ratio) but not covered by cash flows (121% cash payout ratio). The dividend has increased by an average of 25% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 181% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Apr 30
CSSC Offshore & Marine Engineering (Group) Company Limited, Annual General Meeting, May 27, 2026 CSSC Offshore & Marine Engineering (Group) Company Limited, Annual General Meeting, May 27, 2026, at 10:00 China Standard Time. Location: 5th floor, sci-tech building, no. 10, jibaosha north road, nansha district, guangzhou, China Reported Earnings • Apr 30
First quarter 2026 earnings released: EPS: CN¥0.28 (vs CN¥0.13 in 1Q 2025) First quarter 2026 results: EPS: CN¥0.28 (up from CN¥0.13 in 1Q 2025). Revenue: CN¥5.69b (up 56% from 1Q 2025). Net income: CN¥396.2m (up 115% from 1Q 2025). Profit margin: 7.0% (up from 5.1% in 1Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Machinery industry in Hong Kong. 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 14% per year, which means it is significantly lagging earnings growth. Announcement • Mar 30
CSSC Offshore & Marine Engineering (Group) Company Limited to Report Q1, 2026 Results on Apr 30, 2026 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report Q1, 2026 results on Apr 30, 2026 Reported Earnings • Mar 29
Full year 2025 earnings: EPS and revenues miss analyst expectations Full year 2025 results: EPS: CN¥0.71 (up from CN¥0.27 in FY 2024). Revenue: CN¥20.5b (up 5.9% from FY 2024). Net income: CN¥1.01b (up 167% from FY 2024). Profit margin: 4.9% (up from 1.9% in FY 2024). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 7.2%. Earnings per share (EPS) also missed analyst estimates by 10%. Revenue is forecast to grow 14% p.a. on average during the next 2 years, compared to a 12% growth forecast for the Machinery industry in Hong Kong. Over the last 3 years on average, earnings per share has increased by 14% per year whereas the company’s share price has increased by 13% per year. Announcement • Jan 09
CSSC Offshore & Marine Engineering (Group) Company Limited Provides Earning Guidance for the Period from 1 January 2025 to 31 December 2025 CSSC Offshore & Marine Engineering (Group) Company Limited provided earning guidance for the period from 1 January 2025 to 31 December 2025. For the period, it is estimated that the Company will record the net profit attributable to the owners of the parent company between RMB940 million and RMB1,120 million for 2025, representing an increase by between RMB562.74 million and RMB742.74 million as compared with that of the corresponding period of the previous year (statutory disclosure), with a year-to-year increase of 149.61% to 196.88%. It is estimated to record the net profit attributable to the owners of the parent company, of non-recurring gains or losses, between RMB850 million and RMB1,020 million for 2025, representing an increase by between RMB514.39 million and RMB684.39 million as compared with that of the corresponding period of the previous year (statutory disclosure), with a year-to-year increase of 153.27% to 203.93%. Announcement • Dec 26
CSSC Offshore & Marine Engineering (Group) Company Limited to Report Fiscal Year 2025 Results on Mar 28, 2026 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report fiscal year 2025 results on Mar 28, 2026 Valuation Update With 7 Day Price Move • Nov 24
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to HK$16.78, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 9x in the Machinery industry in Hong Kong. Total returns to shareholders of 113% over the past three years. Announcement • Sep 30
CSSC Offshore & Marine Engineering (Group) Company Limited to Report Q3, 2025 Results on Oct 31, 2025 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report Q3, 2025 results on Oct 31, 2025 Upcoming Dividend • Sep 11
Upcoming dividend of HK$0.088 per share Eligible shareholders must have bought the stock before 18 September 2025. Payment date: 23 October 2025. Payout ratio is a comfortable 28% and this is well supported by cash flows. Trailing yield: 1.2%. Lower than top quartile of Hong Kong dividend payers (6.6%). Lower than average of industry peers (3.6%). Valuation Update With 7 Day Price Move • Sep 08
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to HK$14.01, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 9x in the Machinery industry in Hong Kong. Total returns to shareholders of 73% over the past three years. Board Change • Aug 24
Less than half of directors are independent Following the recent departure of a director, there are only 4 independent directors on the board. The company's board is composed of: 4 independent directors. 5 non-independent directors. Independent Non-Executive Director Xin Xie 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. Announcement • Aug 21
CSSC Offshore & Marine Engineering (Group) Company Limited Appoints Luo Bing as an Executive Director CSSC Offshore & Marine Engineering (Group) Company Limited at EGM held on 21 August 2025 approved appointment of Mr. Luo Bing as an executive Director of the eleventh session of the Board and a member of the strategy committee of the Board with effect from the conclusion of the Third EGM of 2025 till the expiry of the eleventh session of the Board. Valuation Update With 7 Day Price Move • Jul 14
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to HK$15.40, the stock trades at a trailing P/E ratio of 36.4x. Average trailing P/E is 10x in the Machinery industry in Hong Kong. Total returns to shareholders of 151% over the past three years. Announcement • Jul 11
Cssc Offshore & Marine Engineering (Group) Company Limited Announces Resignation of Xu Wanxu as Chairman of the Supervisory Committee, Effective 11 July 2025 Mr. Xu Wanxu, the chairman of the eleventh session of the committee of supervisors of CSSC Offshore & Marine Engineering (Group) Company Limited, submitted a written resignation to the Supervisory Committee on 11 July 2025 to resign from the positions of the Supervisor and the chairman of the Supervisory Committee due to work rearrangement. Following his resignation, Mr. Xu will no longer hold any position in the Company. Announcement • Jun 30
CSSC Offshore & Marine Engineering (Group) Company Limited to Report First Half, 2025 Results on Aug 29, 2025 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report first half, 2025 results on Aug 29, 2025 New Risk • Jun 30
New major risk - Revenue and earnings growth Earnings have declined by 60% 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. This is currently the only risk that has been identified for the company. Valuation Update With 7 Day Price Move • May 30
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to HK$12.18, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 9x in the Machinery industry in Hong Kong. Total returns to shareholders of 114% over the past three years. Announcement • May 29
CSSC Offshore & Marine Engineering (Group) Company Limited Announces Ordinary Final Dividend for the Year Ended December 31, 2024, Payable on July 18, 2025 CSSC Offshore & Marine Engineering (Group) Company Limited announced ordinary final dividend of HKD 0.762137 per 10 share for the Year Ended December 31, 2024. Payment date July 18, 2025. Date of shareholders' approval: May 27, 2025, Ex-dividend date: May 30, 2025 and Record date: June 6, 2025. Upcoming Dividend • May 23
Upcoming dividend of CN¥0.07 per share Eligible shareholders must have bought the stock before 30 May 2025. Payment date: 18 July 2025. Payout ratio is a comfortable 21% and this is well supported by cash flows. Trailing yield: 0.8%. Lower than top quartile of Hong Kong dividend payers (7.7%). Lower than average of industry peers (3.9%). Declared Dividend • May 02
Dividend of CN¥0.07 announced Shareholders will receive a dividend of CN¥0.07. Ex-date: 30th May 2025 Payment date: 18th July 2025 Dividend yield will be 0.9%, which is lower than the industry average of 2.8%. Payout Ratios Payout ratio: 21%. Cash payout ratio: 9%. Reported Earnings • May 01
First quarter 2025 earnings released: EPS: CN¥0.13 (vs CN¥0.011 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.13 (up from CN¥0.011 in 1Q 2024). Revenue: CN¥3.64b (up 30% from 1Q 2024). Net income: CN¥184.5m (up CN¥169.1m from 1Q 2024). Profit margin: 5.1% (up from 0.5% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 6.4% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Machinery industry in Hong Kong. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has increased by 21% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Apr 30
CSSC Offshore & Marine Engineering (Group) Company Limited, Annual General Meeting, May 27, 2025 CSSC Offshore & Marine Engineering (Group) Company Limited, Annual General Meeting, May 27, 2025, at 10:30 China Standard Time. Location: conference room of the company, 15th floor, marine tower, no. 137 gexin road, haizhu district, guangzhou, China New Risk • Apr 09
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 29% 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. This is currently the only risk that has been identified for the company. Valuation Update With 7 Day Price Move • Apr 07
Investor sentiment deteriorates as stock falls 21% After last week's 21% share price decline to HK$7.62, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 8x in the Machinery industry in Hong Kong. Total returns to shareholders of 37% over the past three years. Announcement • Mar 28
CSSC Offshore & Marine Engineering (Group) Company Limited to Report Q1, 2025 Results on Apr 30, 2025 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report Q1, 2025 results on Apr 30, 2025 Buy Or Sell Opportunity • Mar 10
Now 29% overvalued The stock has been flat over the last 90 days, currently trading at HK$10.40. The fair value is estimated to be HK$8.05, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 20% over the last 3 years. Earnings per share has grown by 3.0%. Revenue is forecast to grow by 43% in 2 years. Earnings are forecast to grow by 404% in the next 2 years. Announcement • Jan 22
CSSC Offshore & Marine Engineering (Group) Company Limited Provides Earnings Guidance for the Full Year Ended December 31, 2024 CSSC Offshore & Marine Engineering (Group) Company Limited provided earnings guidance for the full year ended December 31, 2024. Based on the preliminary estimation by the finance department, it is estimated that the Company will record the net profit attributable to the owners of the parent company between RMB 350 million and RMB 400 million for 2024, representing an increase by between RMB 301.93 million and RMB 351.93 million as compared with that of the previous year (statutory disclosure), with a year-to-year increase of 628.14% to 732.16%. It is estimated to record the net profit attributable to the owners of the parent company, net of non-recurring gains or losses between RMB 310 million and RMB 360 million for 2024, as compared with that of the previous year (statutory disclosure), the net profit attributable to the owners of the parent company, net of non-recurring gains or losses will increase by between RMB 311.76 million and RMB 361.76 million. Announcement • Dec 27
CSSC Offshore & Marine Engineering (Group) Company Limited to Report Fiscal Year 2024 Results on Mar 29, 2025 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report fiscal year 2024 results on Mar 29, 2025 Reported Earnings • Oct 30
Third quarter 2024 earnings released: EPS: CN¥0.029 (vs CN¥0.008 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.029 (up from CN¥0.008 in 3Q 2023). Revenue: CN¥3.96b (up 4.4% from 3Q 2023). Net income: CN¥40.4m (up 250% from 3Q 2023). Profit margin: 1.0% (up from 0.3% in 3Q 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has increased by 20% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Oct 03
Upcoming dividend of HK$0.013 per share Eligible shareholders must have bought the stock before 10 October 2024. Payment date: 22 November 2024. Payout ratio is a comfortable 18% but the company is not cash flow positive. Trailing yield: 0.2%. Lower than top quartile of Hong Kong dividend payers (7.9%). Lower than average of industry peers (3.4%). Announcement • Sep 30
CSSC Offshore & Marine Engineering (Group) Company Limited to Report Q3, 2024 Results on Oct 30, 2024 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report Q3, 2024 results on Oct 30, 2024 New Risk • Sep 08
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 26% 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: Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.0% net profit margin). Announcement • Sep 03
CSSC Offshore & Marine Engineering (Group) Company Limited Announces Resignation of Mr. Zhang Junxiong as Director CSSC Offshore & Marine Engineering (Group) Company Limited announced that Mr. Zhang Junxiong ("Mr. Zhang"), a director (the "Director"), submitted a written resignation to the board (the "Board") of Directors of the Company on 3 September 2024 to resign from the positions of the Director of the eleventh session of the Board and a member of the Strategy Committee of the Board due to his retirement. Following his resignation, Mr. Zhang will no longer hold any position in the Company. Reported Earnings • Aug 31
Second quarter 2024 earnings released: EPS: CN¥0.093 (vs CN¥0.028 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.093 (up from CN¥0.028 in 2Q 2023). Revenue: CN¥5.92b (up 45% from 2Q 2023). Net income: CN¥131.5m (up 234% from 2Q 2023). Profit margin: 2.2% (up from 1.0% in 2Q 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has increased by 25% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Aug 30
CSSC Offshore & Marine Engineering (Group) Company Limited Declares Interim Dividend for the Six Months Ended June 30, 2024, Payable on November 22, 2024 CSSC Offshore & Marine Engineering (Group) Company Limited declared an interim (semi annual) ordinary dividend for the six months ended June 30, 2024 of RMB 0.12 per 10 share payable on November 22, 2024. Announcement • Aug 09
CSSC Offshore & Marine Engineering (Group) Company Limited Announces Resignation of Chen Ji as Director Mr. Chen Ji ("Mr. Chen"), a director (the "Director") of CSSC Offshore & Marine Engineering (Group) Company Limited, submitted a written resignation to the board of directors of the Company on 9 August 2024 to resign from the positions of the Director of the eleventh session of the Board and a member of the Strategy Committee of the Board due to work rearrangement. Announcement • Aug 02
Cssc Offshore & Marine Engineering (Group) Company Limited Announces Resignation of Chen Shuofan as Chairman of the Committee of Supervisors CSSC Offshore & Marine Engineering (Group) Company Limited announced that Mr. Chen Shuofan ("Mr. Chen"), the chairman of the eleventh session of the committee of supervisors of the Company submitted a written resignation to the Supervisory Committee on 2 August 2024 to resign from the positions of the Supervisor and the Chairman of the Supervisory Committee due to work rearrangement. Following his resignation, Mr. Chen will no longer hold any position in the Company. Announcement • Jun 28
CSSC Offshore & Marine Engineering (Group) Company Limited to Report First Half, 2024 Results on Aug 30, 2024 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report first half, 2024 results on Aug 30, 2024 Announcement • May 31
CSSC Offshore & Marine Engineering (Group) Company Limited Approves the Final Dividend for the Year Ended 31 December 2023, Payable on 26 July 2024 CSSC Offshore & Marine Engineering (Group) Company Limited approved the final dividend of RMB 0.11 per 10 share for the year Ended 31 December 2023. Ex-dividend date is 03 June 2024, Record date is 10 June 2024 and Payment date is 26 July 2024. Upcoming Dividend • May 27
Upcoming dividend of CN¥0.011 per share Eligible shareholders must have bought the stock before 03 June 2024. Payment date: 26 July 2024. Payout ratio is a comfortable 17% but the company is not cash flow positive. Trailing yield: 0.1%. Lower than top quartile of Hong Kong dividend payers (7.6%). Lower than average of industry peers (3.2%). Announcement • May 01
CSSC Offshore & Marine Engineering (Group) Company Limited, Annual General Meeting, May 30, 2024 CSSC Offshore & Marine Engineering (Group) Company Limited, Annual General Meeting, May 30, 2024, at 09:30 China Standard Time. Location: 15th Floor, Marine Tower, No. 137 GexinRoad, Haizhu District, Guangzhou, Guangzhou China Agenda: To consider and approve the Report of the Board of Directors for 2023; to consider and approve the Report of the Supervisory Committee for 2023; to consider and approve the 2023 Annual Report including the financial statements for 2023 ; to consider and approve the Profit Distribution Proposal for 2023; to consider and approve the Resolution on the Framework for the Guarantee Proposed to be Provided by the Subsidiaries for 2024 and its Amounts; to consider and approve the Resolution on the Commencement of Foreign Exchange Derivatives Transactions in 2024;to consider and approve the Resolution on the Proposed Amendments to the Articles of Association;. Declared Dividend • May 01
Dividend of CN¥0.011 announced Shareholders will receive a dividend of CN¥0.011. Ex-date: 3rd June 2024 Payment date: 26th July 2024 Dividend yield will be 0.1%, which is lower than the industry average of 2.8%. Reported Earnings • Apr 26
First quarter 2024 earnings released: EPS: CN¥0.011 (vs CN¥0.019 loss in 1Q 2023) First quarter 2024 results: EPS: CN¥0.011 (up from CN¥0.019 loss in 1Q 2023). Revenue: CN¥2.81b (up 48% from 1Q 2023). Net income: CN¥15.4m (up CN¥42.0m from 1Q 2023). Profit margin: 0.5% (up from net loss in 1Q 2023). The move to profitability was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has increased by 13% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Mar 30
CSSC Offshore & Marine Engineering (Group) Company Limited to Report Q1, 2024 Results on Apr 26, 2024 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report Q1, 2024 results on Apr 26, 2024 Reported Earnings • Mar 28
Full year 2023 earnings released: EPS: CN¥0.034 (vs CN¥0.49 in FY 2022) Full year 2023 results: EPS: CN¥0.034 (down from CN¥0.49 in FY 2022). Revenue: CN¥16.1b (up 26% from FY 2022). Net income: CN¥48.1m (down 93% from FY 2022). Profit margin: 0.3% (down from 5.4% in FY 2022). Over the last 3 years on average, earnings per share has fallen by 61% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Announcement • Mar 27
CSSC Offshore & Marine Engineering (Group) Company Limited Proposes Final Dividend for the Year Ended December 31, 2023 CSSC Offshore & Marine Engineering (Group) Company Limited proposed final dividend of RMB 0.11 per 10 shares for the year ended December 31, 2023. Announcement • Dec 29
CSSC Offshore & Marine Engineering (Group) Company Limited to Report Fiscal Year 2023 Results on Mar 28, 2024 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report fiscal year 2023 results on Mar 28, 2024 Announcement • Oct 31
CSSC Offshore & Marine Engineering (Group) Company Limited Elected Xiang Huiming as the Chairman of the Tenth Session of the Board CSSC Offshore & Marine Engineering (Group) Company Limited announced that at the twenty-fourth meeting of the tenth session of the board (the "Board") of directors (the "Directors") of the Company held on 30 October 2023, the "Resolution on the Election of the Chairman of the tenth session of the Board of Directors of the Company" was deliberated and passed, and Mr. Xiang Huiming was elected as the Chairman of the tenth session of the Board and would officially assume the duties of the chairman of the strategy committee of the tenth session of the Board from the date of this announcement and up to the formal commencement of the next session of the Board. The biographical details of Mr. Xiang are set out below: Mr. Xiang Huiming, aged 57, is a senior engineer (researcher level). Mr. Xiang joined the Group in 2015 and is currently an executive Director of the Company. He graduated from Huazhong University of Science and Technology in 1988 and joined Guangzhou Wenchong Shipyard Co. Ltd. in the same year, and obtained a master's degree in business administration in 2004. He successively served as manager of the enterprise management department, assistant to the general manager, deputy general manager, party secretary, general manager and chairman of Guangzhou Wenchong Shipyard Co. Ltd.; and general manager of CSSC Huangpu Wenchong Shipbuilding Company Limited ("Huangpu Wenchong"). He is currently the chairman of the board of directors and party secretary of Huangpu Wenchong; and the director of China CSSC Holdings Limited ("CSSC Holdings", a company listed on the Shanghai Stock Exchange (stock code: 600150) under the control of China State Shipbuilding Corporation Limited ("CSSC")); and the Chairman of the Board of the Company. As at the date of this announcement, Huangpu Wenchong is a 54.5371% non-wholly-owned subsidiary of the Company, with the remaining interest being directly held by CSSC Holdings and CSSC. Meanwhile, CSSC directly or indirectly holds 827,278,590 shares of the Company, representing approximately 58.52% of the issued shares of the Company, and is a controlling shareholder of the Company. Mr. Xiang has entered into a service contract with the Company for a term of office until the formal commencement of the next session of the Board. As an executive Director, Mr. Xiang will not receive any additional renumeration for his role as the Chairman of the Board and his remuneration is determined in accordance with the Proposal for Remuneration for the Tenth Session of the Directors, Supervisors and Senior Management of the Company. Reported Earnings • Oct 29
Third quarter 2023 earnings released: EPS: CN¥0.008 (vs CN¥0.003 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.008 (up from CN¥0.003 in 3Q 2022). Revenue: CN¥3.79b (up 25% from 3Q 2022). Net income: CN¥11.5m (up 140% from 3Q 2022). Profit margin: 0.3% (up from 0.2% in 3Q 2022). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 83 percentage points per year, which is a significant difference in performance. Announcement • Sep 30
CSSC Offshore & Marine Engineering (Group) Company Limited to Report Q3, 2023 Results on Oct 28, 2023 CSSC Offshore & Marine Engineering (Group) Company Limited announced that they will report Q3, 2023 results at 4:00 PM, China Standard Time on Oct 28, 2023 Reported Earnings • Aug 31
Second quarter 2023 earnings released: EPS: CN¥0.028 (vs CN¥0.022 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.028 (up from CN¥0.022 in 2Q 2022). Revenue: CN¥4.08b (up 30% from 2Q 2022). Net income: CN¥39.3m (up 26% from 2Q 2022). Profit margin: 1.0% (in line with 2Q 2022). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 94 percentage points per year, which is a significant difference in performance. Upcoming Dividend • May 22
Upcoming dividend of CN¥0.01 per share at 0.1% yield Eligible shareholders must have bought the stock before 29 May 2023. Payment date: 20 July 2023. Payout ratio is a comfortable 2.1% but the company is not cash flow positive. Trailing yield: 0.1%. Lower than top quartile of Hong Kong dividend payers (7.6%). Lower than average of industry peers (2.5%). Reported Earnings • Apr 29
First quarter 2023 earnings released: CN¥0.019 loss per share (vs CN¥0.009 loss in 1Q 2022) First quarter 2023 results: CN¥0.019 loss per share (further deteriorated from CN¥0.009 loss in 1Q 2022). Revenue: CN¥1.90b (up 68% from 1Q 2022). Net loss: CN¥26.7m (loss widened 117% from 1Q 2022). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 127 percentage points per year, which is a significant difference in performance. Valuation Update With 7 Day Price Move • Apr 27
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to HK$11.96, the stock trades at a trailing P/E ratio of 21.7x. Average trailing P/E is 12x in the Machinery industry in Hong Kong. Total returns to shareholders of 158% over the past three years. Announcement • Jan 14
CSSC Offshore & Marine Engineering (Group) Company Limited Provides Earnings Guidance for 2022 CSSC Offshore & Marine Engineering (Group) Company Limited estimated that the Company will record net profit attributable to the owners of the parent company between RMB 650 million and RMB 750 million for the year 2022, an increase by between RMB 570.61 million and RMB 670.61 million compared with the corresponding period of the previous year with a year-to-year increase of 718.77% to 844.73%. It is estimated that the Company will record net loss attributable to the owners of the parent company, net of non-recurring gains and losses between RMB 75 million and RMB 90 million for the year 2022, as compared with the corresponding period of the previous year the net loss attributable to the owners of the parent company, net of non-recurring gains and losses will increase by between RMB 23.56 million and RMB 38.56 million. The net profit attributable to the owners of the parent company: RMB79.3874 million. The net loss attributable to the owners of the parent company, net of non-recurring gains and losses: RMB 51.4391 million. The earnings per share: RMB 0.0562. Board Change • Nov 16
Less than half of directors are independent There are 6 new directors who have joined the board in the last 3 years. Of these new board members, 3 were independent directors. The company's board is composed of: 4 independent directors. 6 non-independent directors. Independent Non-Executive Director Bin Lin was the last independent director to join the board, commencing their role in 2020. 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 29
Third quarter 2022 earnings released Third quarter 2022 results: Revenue: CN¥3.03b (up 42% from 3Q 2021). Net income: CN¥4.84m (down 95% from 3Q 2021). Profit margin: 0.2% (down from 4.8% in 3Q 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 40% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Oct 21
Investor sentiment improved over the past week After last week's 15% share price gain to HK$7.56, the stock trades at a trailing P/E ratio of 50.8x. Average trailing P/E is 11x in the Machinery industry in Hong Kong. Total returns to shareholders of 30% over the past three years.