Reported Earnings • Apr 29
Full year 2025 earnings released: CN¥0.49 loss per share (vs CN¥0.75 loss in FY 2024) Full year 2025 results: CN¥0.49 loss per share (improved from CN¥0.75 loss in FY 2024). Revenue: CN¥1.39b (down 28% from FY 2024). Net loss: CN¥1.47b (loss narrowed 30% from FY 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 32 percentage points per year, which is a significant difference in performance. Recent Insider Transactions • Apr 24
Executive Chairman of Board & CEO recently bought HK$56k worth of stock On the 21st of April, Jian Xiao Ken bought around 200k shares on-market at roughly HK$0.28 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger purchase worth HK$62k. Jian Xiao has been a buyer over the last 12 months, purchasing a net total of HK$235k worth in shares. Announcement • Apr 24
CMGE Technology Group Limited, Annual General Meeting, May 29, 2026 CMGE Technology Group Limited, Annual General Meeting, May 29, 2026, at 10:00 China Standard Time. Location: 10th floor, building no. 4, zhuoyue meilin centre square, zhongkang north road, futian district, guangdong province, shenzhen China Announcement • Apr 21
CMGE Technology Group Limited has filed a Follow-on Equity Offering in the amount of HKD 30 million. CMGE Technology Group Limited has filed a Follow-on Equity Offering in the amount of HKD 30 million.
Security Name: Ordinary Shares
Security Type: Common Stock
Securities Offered: 122,950,818
Price\Range: HKD 0.244 Recent Insider Transactions • Apr 12
Executive Chairman of Board & CEO recently bought HK$62k worth of stock On the 8th of April, Jian Xiao Ken bought around 270k shares on-market at roughly HK$0.23 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Jian Xiao has been a buyer over the last 12 months, purchasing a net total of HK$158k worth in shares. Reported Earnings • Mar 30
Full year 2025 earnings released: CN¥0.49 loss per share (vs CN¥0.75 loss in FY 2024) Full year 2025 results: CN¥0.49 loss per share (improved from CN¥0.75 loss in FY 2024). Revenue: CN¥1.39b (down 28% from FY 2024). Net loss: CN¥1.47b (loss narrowed 30% from FY 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 30 percentage points per year, which is a significant difference in performance. New Risk • Mar 22
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended June 2025. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risk Less than 1 year of cash runway based on free cash flow trend (-CN¥182m free cash flow). Minor Risks Latest financial reports are more than 6 months old (reported June 2025 fiscal period end). Currently unprofitable and not forecast to become profitable next year (CN¥849m net loss next year). Market cap is less than US$100m (HK$778.8m market cap, or US$99.4m). New Risk • Mar 20
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: HK$778.8m (US$99.4m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Less than 1 year of cash runway based on free cash flow trend (-CN¥182m free cash flow). Minor Risks Currently unprofitable and not forecast to become profitable next year (CN¥849m net loss next year). Market cap is less than US$100m (HK$778.8m market cap, or US$99.4m). Announcement • Mar 06
CMGE Technology Group Limited to Report Fiscal Year 2025 Results on Mar 27, 2026 CMGE Technology Group Limited announced that they will report fiscal year 2025 results on Mar 27, 2026 Reported Earnings • Aug 29
First half 2025 earnings released: CN¥0.21 loss per share (vs CN¥0.086 loss in 1H 2024) First half 2025 results: CN¥0.21 loss per share (further deteriorated from CN¥0.086 loss in 1H 2024). Revenue: CN¥763.0m (down 38% from 1H 2024). Net loss: CN¥638.6m (loss widened 170% from 1H 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 80 percentage points per year, which is a significant difference in performance. New Risk • Aug 28
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -CN¥386m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-CN¥386m free cash flow). Earnings have declined by 81% per year over the past 5 years. Announcement • Aug 09
CMGE Technology Group Limited to Report First Half, 2025 Results on Aug 27, 2025 CMGE Technology Group Limited announced that they will report first half, 2025 results on Aug 27, 2025 New Risk • Jun 30
New major risk - Revenue and earnings growth Earnings have declined by 70% 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 70% per year over the past 5 years. Minor Risk Share price has been volatile over the past 3 months (13% average weekly change). New Risk • Jun 24
New major risk - Revenue and earnings growth Earnings have declined by 70% 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 70% per year over the past 5 years. Minor Risk Share price has been volatile over the past 3 months (13% average weekly change). Buy Or Sell Opportunity • May 21
Now 32% overvalued Over the last 90 days, the stock has fallen 38% to HK$0.46. The fair value is estimated to be HK$0.35, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 18% over the last 3 years. Meanwhile, the company became loss making. Reported Earnings • Apr 29
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: CN¥0.75 loss per share (further deteriorated from CN¥0.007 loss in FY 2023). Revenue: CN¥1.93b (down 26% from FY 2023). Net loss: CN¥2.11b (loss widened CN¥2.08b from FY 2023). Revenue exceeded analyst estimates by 4.0%. Earnings per share (EPS) also surpassed analyst estimates by 3.2%. Revenue is expected to decline by 20% p.a. on average during the next 3 years, while revenues in the Entertainment industry in Hong Kong are expected to grow by 8.8%. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 89 percentage points per year, which is a significant difference in performance. Announcement • Apr 25
CMGE Technology Group Limited, Annual General Meeting, May 27, 2025 CMGE Technology Group Limited, Annual General Meeting, May 27, 2025, at 10:00 China Standard Time. Location: 8th floor, building no. 4, zhuoyue meilin centre square, zhongkang north road, futian district, guangdong province, shenzhen China Announcement • Apr 10
CMGE Technology Group Limited Appoints Wang Chunye as Co-Chief Executive Officer, Effective 9 April 2025 The board of directors of CMGE Technology Group Limited announced that Mr. Wang Chunye (‘Mr. Wang’) has been appointed as a Co-Chief Executive Officer of the Company (‘Co-CEO’) with effect from 9 April 2025. Mr. Wang, aged 42, currently serves as the general manager of Lemando Interactive Entertainment (Shanghai) Co. Ltd. and is responsible for global publishing and operation as well as the establishment and management of publishers. Mr. Wang has been the chief operating officer of, a subsidiary engaging in gaming business of NetDragon Websoft Holdings Limited (‘NetDragon’), a company listed on the Hong Kong Stock Exchange, from August 2020 to December 2021, and was responsible for the operation and publishing work of all gaming business of NetDragon. Mr. Wang held several positions in Giant Network Group Co. Ltd., a company listed on the Shenzhen Stock Exchange, including game publishing manager from January 2011 to August 2020, mainly responsible for the domestic product segment, the publishing and operation of certain self-developed products and agent products as well as domestic and foreign game product introduction, evaluation and intellectual property cooperation; director of the Planning Research Institute from March 2010 to June 2015, mainly responsible for the management of the game evaluation, industry survey, user research and other segments under the Planning Research Institute; and chief research officer from March 2010 to June 2014, mainly responsible for the research and development of ZT online Studio. Mr. Wang also held several positions in Shanghai Shengda Network Development Co. Ltd., including producer from March 2009 to March 2010, mainly responsible for the game product business of Chengdu branch company; and product manager from August 2007 to February 2009. Mr. Wang obtained a bachelor's degree in Computer Networking from Chengdu University of Information Technology in July 2005. 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 Hong Kong stocks, typically moving 11% 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. Buy Or Sell Opportunity • Apr 01
Now 21% overvalued Over the last 90 days, the stock has fallen 44% to HK$0.44. The fair value is estimated to be HK$0.36, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 18% over the last 3 years. Meanwhile, the company became loss making. Reported Earnings • Mar 28
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: CN¥0.75 loss per share (further deteriorated from CN¥0.007 loss in FY 2023). Revenue: CN¥1.93b (down 26% from FY 2023). Net loss: CN¥2.11b (loss widened CN¥2.08b from FY 2023). Revenue exceeded analyst estimates by 4.0%. Earnings per share (EPS) also surpassed analyst estimates by 3.2%. Revenue is expected to decline by 20% p.a. on average during the next 3 years, while revenues in the Entertainment industry in Hong Kong are expected to grow by 8.5%. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 92 percentage points per year, which is a significant difference in performance. New Risk • Mar 23
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended June 2024. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. This is currently the only risk that has been identified for the company. Major Estimate Revision • Mar 22
Consensus revenue estimates fall by 28% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥2.56b to CN¥1.86b. Forecast losses increased from -CN¥0.05 to -CN¥0.77 per share. Entertainment industry in Hong Kong expected to see average net income growth of 22% next year. Consensus price target down from HK$2.04 to HK$1.39. Share price fell 6.7% to HK$0.48 over the past week. Announcement • Mar 07
CMGE Technology Group Limited to Report Fiscal Year 2024 Results on Mar 27, 2025 CMGE Technology Group Limited announced that they will report fiscal year 2024 results on Mar 27, 2025 Reported Earnings • Aug 31
First half 2024 earnings released: CN¥0.086 loss per share (vs CN¥0.021 profit in 1H 2023) First half 2024 results: CN¥0.086 loss per share (down from CN¥0.021 profit in 1H 2023). Revenue: CN¥1.23b (down 20% from 1H 2023). Net loss: CN¥236.2m (down CN¥293.0m from profit in 1H 2023). Revenue is expected to decline by 2.0% p.a. on average during the next 3 years, while revenues in the Entertainment industry in Hong Kong are expected to grow by 15%. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 79 percentage points per year, which is a significant difference in performance. Announcement • Aug 14
CMGE Technology Group Limited to Report First Half, 2024 Results on Aug 28, 2024 CMGE Technology Group Limited announced that they will report first half, 2024 results on Aug 28, 2024 New Risk • Jul 23
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 3.6% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. This is currently the only risk that has been identified for the company. Reported Earnings • Apr 28
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: CN¥0.007 loss per share (improved from CN¥0.074 loss in FY 2022). Revenue: CN¥2.61b (down 4.0% from FY 2022). Net loss: CN¥20.1m (loss narrowed 90% from FY 2022). Revenue missed analyst estimates by 30%. Earnings per share (EPS) were also behind analyst expectations. Revenue is forecast to stay flat during the next 3 years compared to a 16% growth forecast for the Entertainment industry in Hong Kong. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 74 percentage points per year, which is a significant difference in performance. Recent Insider Transactions • Apr 27
Executive Chairman of Board & CEO recently bought HK$908k worth of stock On the 24th of April, Jian Xiao bought around 750k shares on-market at roughly HK$1.21 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Jian has been a buyer over the last 12 months, purchasing a net total of HK$2.7m worth in shares. Announcement • Apr 14
CMGE Technology Group Limited (SEHK:302) commences an Equity Buyback Plan for 275,267,200 shares, representing 10% of its issued share capital, under the authorization approved on June 2, 2023. CMGE Technology Group Limited (SEHK:302) commences share repurchases on April 12, 2024, under the program mandated by the shareholders in the Annual General Meeting held on June 2, 2023. As per the mandate, the company is authorized to repurchase up to 275,267,200 shares, representing 10% of its issued share capital. The repurchases will lead to an enhancement of the net asset value per share and/or earnings per share for the company. The repurchases will be made out of the funds legally available for such purpose in accordance with its memorandum of association and Bye-laws and the applicable laws and regulations of Cayman Islands. The authority shall expire at the earliest of the next Annual General Meeting, the date on which the next Annual General Meeting is required to be held or the date on which the authority is varied or revoked in a General Meeting. As of June 2, 2023, the company had 2,752,672,000 shares in issue.
On March 28, 2024, the company announced a share repurchase program. Under the program, the company will repurchase HKD 100 million worth of shares. The company will finance the share repurchase with its existing available cash reserves and free cash flow. The Company will subsequently cancel the repurchased Shares. The repurchases will commences from today and will expire at the earliest of the next Annual General Meeting, the date on which the next Annual General Meeting is required to be held or the date on which the authority is varied or revoked in a General Meeting. Announcement • Mar 30
CMGE Technology Group Limited, Annual General Meeting, May 27, 2024 CMGE Technology Group Limited, Annual General Meeting, May 27, 2024. Reported Earnings • Mar 28
Full year 2023 earnings released Full year 2023 results: Revenue: CN¥2.61b (down 4.0% from FY 2022). Net loss: CN¥20.1m (loss narrowed 90% from FY 2022). Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Entertainment industry in Hong Kong. Announcement • Mar 09
CMGE Technology Group Limited to Report Fiscal Year 2023 Results on Mar 27, 2024 CMGE Technology Group Limited announced that they will report fiscal year 2023 results on Mar 27, 2024 Reported Earnings • Aug 28
First half 2023 earnings released: EPS: CN¥0.021 (vs CN¥0.008 loss in 1H 2022) First half 2023 results: EPS: CN¥0.021 (up from CN¥0.008 loss in 1H 2022). Revenue: CN¥1.54b (up 25% from 1H 2022). Net income: CN¥56.8m (up CN¥78.7m from 1H 2022). Profit margin: 3.7% (up from net loss in 1H 2022). Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 21% growth forecast for the Entertainment industry in Hong Kong. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 46 percentage points per year, which is a significant difference in performance. Announcement • Aug 16
CMGE Technology Group Limited to Report First Half, 2023 Results on Aug 25, 2023 CMGE Technology Group Limited announced that they will report first half, 2023 results on Aug 25, 2023 Recent Insider Transactions • Mar 30
Executive Chairman of Board & CEO recently bought HK$846k worth of stock On the 28th of March, Jian Xiao bought around 380k shares on-market at roughly HK$2.23 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. This was Jian's only on-market trade for the last 12 months. Reported Earnings • Mar 24
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: CN¥0.074 loss per share (down from CN¥0.23 profit in FY 2021). Revenue: CN¥2.71b (down 31% from FY 2021). Net loss: CN¥205.0m (down 134% from profit in FY 2021). Revenue missed analyst estimates by 1.1%. Earnings per share (EPS) were also behind analyst expectations. Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Entertainment industry in Hong Kong. Over the last 3 years on average, earnings per share has fallen by 31% per year but the company’s share price has only fallen by 6% per year, which means it has not declined as severely as earnings. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 4 non-independent directors. Independent Non-Executive Director Estella Ng was the last independent director to join the board, commencing their role in 2019. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Oct 13
Investor sentiment deteriorated over the past week After last week's 15% share price decline to HK$1.27, the stock trades at a forward P/E ratio of 5x. Average forward P/E is 8x in the Entertainment industry in Hong Kong. Total loss to shareholders of 58% over the past year. Major Estimate Revision • Sep 01
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 revenue forecast fell from CN¥4.44b to CN¥3.87b. EPS estimate unchanged from CN¥0.17 per share at last update. Entertainment industry in Hong Kong expected to see average net income growth of 86% next year. Consensus price target down from HK$4.06 to HK$3.93. Share price rose 3.2% to HK$1.95 over the past week. Reported Earnings • Aug 26
First half 2022 earnings released: CN¥0.008 loss per share (vs CN¥0.15 profit in 1H 2021) First half 2022 results: CN¥0.008 loss per share (down from CN¥0.15 profit in 1H 2021). Revenue: CN¥1.23b (down 44% from 1H 2021). Net loss: CN¥21.9m (down 106% from profit in 1H 2021). Over the next year, revenue is forecast to grow 47%, compared to a 28% growth forecast for the Entertainment industry in Hong Kong. Major Estimate Revision • Jun 24
Consensus revenue estimates fall by 14% The consensus outlook for revenues in 2022 has deteriorated. 2022 revenue forecast decreased from CN¥5.38b to CN¥4.61b. EPS estimate fell from CN¥0.32 to CN¥0.22 per share. Net income forecast to grow 13% next year vs 15% growth forecast for Entertainment industry in Hong Kong. Consensus price target down from HK$5.52 to HK$4.33. Share price was steady at HK$2.32 over the past week. Announcement • Jun 14
Hainan Guming Technology Company Limited A Subsidiary of the Cmge Technology Group Limited Launches Youyu Digital Artwork Copyright distribution Platform The board of directors of the CMGE Technology Group Limited announced that, on 13 June 2022, Hainan Guming Technology Company Limited ("Hainan Guming"), a subsidiary of the Company, jointly launched a digital artwork copyright distribution platform, namely Youyu Art, with Beijing Copyright Protection Center, Copyright Chain National Operation Center and North Culture Equity Exchange. Supported by "copyright chain ", the first public chain of the industry in the People's Republic of China, launched by the official copyright management departments which played the leading role, and certificate registration system for digital copyright, Youyu Art provides services ranging from legalized copyright authentication, storage, initial issue, and protection for digital artworks. The distribution and transfer of digital artwork copyrights amongst users are available on "Youyu Art", while each transfer is subject to the payment of royalties to creators as agreed. As a supernode for digital art on the copyright chain, Hainan Guming is responsible for the pilot initiative application of the trusted digital copyright ecosystem in the national blockchain for digital art, under the guidance of the Beijing Copyright Protection Center and the Copyright Chain National Operation Center according to the unified deployment of the Beijing Municipal Bureau of Copyright. "Youyu Art" is therefore included in the key demonstration projects of the copyright chain. Digital artworks available on the Youyu Art platform cover areas such as trend art, games, comics, eSports, museums, and artists. The platform cooperates with copyright owners of more than 80 well-known intellectual properties (IPs), including MashiMaro, Pleasant Goat and Big Big Wolf, Old Master Q, Legend of Sword and Fairy, Monopoly, Xuan uan Sword . The platform also cooperates with eSports club EDG and many famous rtists including international digital artist Android Jones, trend artist Wang Wei, Luo Xiao, modern artist Dr. Yu Xingze, emerging artist Chen Xiaodong, dark aesthetics artist Hei Jin and contemporary chinese painting artist Cai Guangbin. Valuation Update With 7 Day Price Move • Jun 10
Investor sentiment improved over the past week After last week's 28% share price gain to HK$2.63, the stock trades at a forward P/E ratio of 7x. Average forward P/E is 6x in the Entertainment industry in Hong Kong. Total loss to shareholders of 26% over the past year. Reported Earnings • May 18
Full year 2021 earnings: EPS and revenues miss analyst expectations Full year 2021 results: EPS: CN¥0.23 (down from CN¥0.30 in FY 2020). Revenue: CN¥3.96b (up 3.6% from FY 2020). Net income: CN¥611.8m (down 13% from FY 2020). Profit margin: 16% (down from 18% in FY 2020). Revenue missed analyst estimates by 23%. Earnings per share (EPS) also missed analyst estimates by 39%. Over the next year, revenue is forecast to grow 36%, compared to a 27% growth forecast for the industry in Hong Kong. Announcement • May 16
CMGE Technology Group Limited, Annual General Meeting, Jun 14, 2022 CMGE Technology Group Limited, Annual General Meeting, Jun 14, 2022, at 10:00 China Standard Time. Location: 8th Floor, Building No. 4, Zhuoyue Meilin Centre Square, Zhongkang North Road, Futian District, Shenzhen Guangdong China Agenda: To receive and consider the audited consolidated financial statements of the Company and subsidiaries, and the reports of the directors and auditor for the year ended 31 December 2021; to re-elect independent non-executive Directors; and to re-appoint BDO Limited as the auditor of the Company to hold office until the conclusion of the next annual general meeting of the Company and to authorise the Board to fix remuneration. Announcement • May 12
CMGE Technology Group Limited to Report Fiscal Year 2021 Results on May 15, 2022 CMGE Technology Group Limited announced that they will report fiscal year 2021 results on May 15, 2022 Board Change • Apr 27
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, 3 were independent directors. The company's board is composed of: 3 independent directors. 4 non-independent directors. Independent Non-Executive Director Estella Ng 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. Major Estimate Revision • Apr 07
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 revenue forecast fell from CN¥5.91b to CN¥4.79b. EPS estimate increased from CN¥0.42 to CN¥0.43 per share. Net income forecast to grow 71% next year vs 71% growth forecast for Entertainment industry in Hong Kong. Consensus price target down from HK$6.50 to HK$5.74. Share price fell 3.5% to HK$2.20 over the past week. Reported Earnings • Apr 01
Full year 2021 earnings: EPS and revenues miss analyst expectations Full year 2021 results: EPS: CN¥0.23 (down from CN¥0.30 in FY 2020). Revenue: CN¥3.96b (up 3.6% from FY 2020). Net income: CN¥611.8m (down 13% from FY 2020). Profit margin: 16% (down from 18% in FY 2020). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 23%. Earnings per share (EPS) also missed analyst estimates by 39%. Over the next year, revenue is forecast to grow 49%, compared to a 28% growth forecast for the industry in Hong Kong. Announcement • Apr 01
CMGE Technology Group Limited Resolves Not to Recommend Payment of A Final Dividend for the Year Ended 31 December 2021 The board of directors of CMGE Technology Group Limited has resolved not to recommend payment of a final dividend for the year ended 31 December 2021 (2020: HKD 0.0928). Announcement • Mar 23
CMGE Technology Group Limited to Report Fiscal Year 2021 Results on Mar 31, 2022 CMGE Technology Group Limited announced that they will report fiscal year 2021 results on Mar 31, 2022 Valuation Update With 7 Day Price Move • Mar 15
Investor sentiment deteriorated over the past week After last week's 20% share price decline to HK$1.99, the stock trades at a forward P/E ratio of 4x. Average forward P/E is 7x in the Entertainment industry in Hong Kong. Total loss to shareholders of 33% over the past year. Board Change • Dec 16
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 4 non-independent directors. Independent Non-Executive Director Estella Ng was the last independent director to join the board, commencing their role in 2019. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Aug 25
First half 2021 earnings released: EPS CN¥0.15 (vs CN¥0.12 in 1H 2020) The company reported a strong first half result with improved earnings, revenues and profit margins. First half 2021 results: Revenue: CN¥2.18b (up 27% from 1H 2020). Net income: CN¥393.5m (up 37% from 1H 2020). Profit margin: 18% (up from 17% in 1H 2020). Valuation Update With 7 Day Price Move • Aug 20
Investor sentiment deteriorated over the past week After last week's 16% share price decline to CN¥3.47, the stock trades at a forward P/E ratio of 8x. Average forward P/E is 8x in the Entertainment industry in Hong Kong. Total loss to shareholders of 9.0% over the past year. Valuation Update With 7 Day Price Move • Jul 15
Investor sentiment improved over the past week After last week's 20% share price gain to CN¥4.54, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 9x in the Entertainment industry in Hong Kong. Total returns to shareholders of 36% over the past year. Recent Insider Transactions • Jun 23
Executive Director recently bought HK$1.5m worth of stock On the 18th of June, Yingjie Fan bought around 400k shares on-market at roughly HK$3.67 per share. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought HK$2.9m more in shares than they have sold in the last 12 months. Recent Insider Transactions • Jun 09
Executive Director recently bought HK$755k worth of stock On the 7th of June, Yingjie Fan bought around 220k shares on-market at roughly HK$3.43 per share. This was the largest purchase by an insider in the last 3 months. This was the only on-market transaction from insiders over the last 12 months. Upcoming Dividend • May 27
Upcoming dividend of HK$0.093 per share Eligible shareholders must have bought the stock before 03 June 2021. Payment date: 30 June 2021. Trailing yield: 2.7%. Lower than top quartile of Hong Kong dividend payers (6.0%). Higher than average of industry peers (2.4%). Announcement • May 26
CMGE Technology Group Limited Declares Final Dividend for the Year Ended 31 December 2020 CMGE Technology Group Limited at the annual general meeting held on May 25, 2021, declared a final dividend of HKD 0.0928 (equivalent to RMB 0.0825 based on the average exchange rate of 2020) per share for the year ended 31 December 2020, which will be paid out of the share premium account of the Company. Reported Earnings • Apr 25
Full year 2020 earnings released: EPS CN¥0.30 (vs CN¥0.13 in FY 2019) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥3.82b (up 26% from FY 2019). Net income: CN¥701.3m (up 182% from FY 2019). Profit margin: 18% (up from 8.2% in FY 2019). Reported Earnings • Mar 25
Full year 2020 earnings released The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥3.82b (up 26% from FY 2019). Net income: CN¥701.3m (up 182% from FY 2019). Profit margin: 18% (up from 8.2% in FY 2019). Announcement • Mar 16
CMGE Technology Group Limited to Report Fiscal Year 2020 Results on Mar 24, 2021 CMGE Technology Group Limited announced that they will report fiscal year 2020 results on Mar 24, 2021