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6118

Austar Lifesciences SEHK:6118 Stock Report

Last Price

HK$1.43

Market Cap

HK$733.0m

7D

-9.5%

1Y

-94.7%

Updated

02 Oct, 2022

Data

Company Financials
6118 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance1/6
Financial Health4/6
Dividends0/6

6118 Stock Overview

Austar Lifesciences Limited, an investment holding company, provides integrated engineering solutions to pharmaceutical manufacturers and research institutes in Mainland China and internationally.

Austar Lifesciences Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Austar Lifesciences
Historical stock prices
Current Share PriceHK$1.43
52 Week HighHK$30.90
52 Week LowHK$1.36
Beta0.71
1 Month Change-25.91%
3 Month Change-42.11%
1 Year Change-94.72%
3 Year Change-71.51%
5 Year Change-13.33%
Change since IPO-59.94%

Recent News & Updates

Sep 19
Austar Lifesciences Limited (HKG:6118) Stock's 29% Dive Might Signal An Opportunity But It Requires Some Scrutiny

Austar Lifesciences Limited (HKG:6118) Stock's 29% Dive Might Signal An Opportunity But It Requires Some Scrutiny

Austar Lifesciences Limited ( HKG:6118 ) shareholders that were waiting for something to happen have been dealt a blow...

Shareholder Returns

6118HK Life SciencesHK Market
7D-9.5%1.4%-4.4%
1Y-94.7%-61.5%-28.8%

Return vs Industry: 6118 underperformed the Hong Kong Life Sciences industry which returned -61.5% over the past year.

Return vs Market: 6118 underperformed the Hong Kong Market which returned -28.8% over the past year.

Price Volatility

Is 6118's price volatile compared to industry and market?
6118 volatility
6118 Average Weekly Movement6.0%
Life Sciences Industry Average Movement6.9%
Market Average Movement6.4%
10% most volatile stocks in HK Market12.6%
10% least volatile stocks in HK Market3.1%

Stable Share Price: 6118 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: 6118's weekly volatility has decreased from 15% to 6% over the past year.

About the Company

FoundedEmployeesCEOWebsite
19911,785Mars Hohttps://www.austar.com.hk

Austar Lifesciences Limited, an investment holding company, provides integrated engineering solutions to pharmaceutical manufacturers and research institutes in Mainland China and internationally. It operates through six segments: Liquid and Bioprocess System; Clean Room and Automation Control and Monitoring System; Powder and Solid System; GMP Compliance Service; Life Science Consumables; and Distribution and Agency of Pharmaceutical Equipment. The company offers liquid and bioprocess systems, including pharmaceutical water, and liquid preparation and bioprocess systems; powder and solid systems; clean utility equipment and systems; clean room, automation control, and monitor systems; and freeze-dryer, sterile filling, and visual inspection equipment.

Austar Lifesciences Fundamentals Summary

How do Austar Lifesciences's earnings and revenue compare to its market cap?
6118 fundamental statistics
Market CapHK$732.99m
Earnings (TTM)HK$116.16m
Revenue (TTM)HK$2.50b

6.3x

P/E Ratio

0.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
6118 income statement (TTM)
RevenueCN¥2.26b
Cost of RevenueCN¥1.77b
Gross ProfitCN¥490.43m
Other ExpensesCN¥385.16m
EarningsCN¥105.27m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.21
Gross Margin21.67%
Net Profit Margin4.65%
Debt/Equity Ratio26.2%

How did 6118 perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is 6118 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6118?

Other financial metrics that can be useful for relative valuation.

6118 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.3x
Enterprise Value/EBITDA5.6x
PEG Ration/a

Price to Earnings Ratio vs Peers

How does 6118's PE Ratio compare to its peers?

6118 PE Ratio vs Peers
The above table shows the PE ratio for 6118 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average16.1x
8225 China Health Group
9.4xn/aHK$303.6m
1521 Frontage Holdings
24x28.1%HK$4.2b
1873 Viva Biotech Holdings
20.7x61.1%HK$2.5b
3737 Zhongzhi Pharmaceutical Holdings
10.3xn/aHK$708.2m
6118 Austar Lifesciences
6.3xn/aHK$733.0m

Price-To-Earnings vs Peers: 6118 is good value based on its Price-To-Earnings Ratio (6.3x) compared to the peer average (16.1x).


Price to Earnings Ratio vs Industry

How does 6118's PE Ratio compare vs other companies in the Asian Life Sciences Industry?

Price-To-Earnings vs Industry: 6118 is good value based on its Price-To-Earnings Ratio (6.3x) compared to the Asian Life Sciences industry average (34.6x)


Price to Earnings Ratio vs Fair Ratio

What is 6118's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

6118 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.3x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 6118's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of 6118 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate 6118's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate 6118's fair value for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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Future Growth

How is Austar Lifesciences forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


22.4%

Forecasted Pharmaceuticals & Biotech industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Austar Lifesciences has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Discover growth companies

  • Examine Austar Lifesciences's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
  • Austar Lifesciences competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Austar Lifesciences performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


76.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 6118 has a high level of non-cash earnings.

Growing Profit Margin: 6118's current net profit margins (4.7%) are lower than last year (14.6%).


Past Earnings Growth Analysis

Earnings Trend: 6118 has become profitable over the past 5 years, growing earnings by 76.7% per year.

Accelerating Growth: 6118's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 6118 had negative earnings growth (-55.8%) over the past year, making it difficult to compare to the Life Sciences industry average (-51.3%).


Return on Equity

High ROE: 6118's Return on Equity (11%) is considered low.


Discover strong past performing companies

Financial Health

How is Austar Lifesciences's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 6118's short term assets (CN¥1.9B) exceed its short term liabilities (CN¥1.4B).

Long Term Liabilities: 6118's short term assets (CN¥1.9B) exceed its long term liabilities (CN¥119.4M).


Debt to Equity History and Analysis

Debt Level: 6118's net debt to equity ratio (4.9%) is considered satisfactory.

Reducing Debt: 6118's debt to equity ratio has increased from 5.4% to 26.2% over the past 5 years.

Debt Coverage: 6118's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 6118's interest payments on its debt are well covered by EBIT (26.8x coverage).


Balance Sheet


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Dividend

What is Austar Lifesciences's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Austar Lifesciences Dividend Yield vs Market
How does Austar Lifesciences dividend yield compare to the market?
SegmentDividend Yield
Company (Austar Lifesciences)0%
Market Bottom 25% (HK)3.0%
Market Top 25% (HK)8.9%
Industry Average (Life Sciences)0.7%
Analyst forecast in 3 Years (Austar Lifesciences)n/a

Notable Dividend: Unable to evaluate 6118's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 6118's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 6118's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 6118's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: 6118 is not paying a notable dividend for the Hong Kong market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as 6118 has not reported any payouts.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

8.3yrs

Average management tenure


CEO

Mars Ho (60 yo)

8.75yrs

Tenure

CN¥865,000

Compensation

Mr. Kwok Keung Ho, also known as Mars, is the Founder of Austar Lifesciences Limited and serves as its Chairman of the Board and Chief Executive Officer. Mr. Ho is responsible for overseeing the business,...


CEO Compensation Analysis

Mars Ho's Compensation vs Austar Lifesciences Earnings
How has Mars Ho's remuneration changed compared to Austar Lifesciences's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

CN¥105m

Mar 31 2022n/an/a

CN¥191m

Dec 31 2021CN¥865kCN¥850k

CN¥277m

Sep 30 2021n/an/a

CN¥258m

Jun 30 2021n/an/a

CN¥238m

Mar 31 2021n/an/a

CN¥136m

Dec 31 2020CN¥927kCN¥911k

CN¥33m

Sep 30 2020n/an/a

CN¥25m

Jun 30 2020n/an/a

CN¥17m

Mar 31 2020n/an/a

CN¥12m

Dec 31 2019CN¥918kCN¥902k

CN¥8m

Sep 30 2019n/an/a

CN¥8m

Jun 30 2019n/an/a

CN¥8m

Mar 31 2019n/an/a

CN¥4m

Dec 31 2018CN¥880kCN¥865k

CN¥107k

Sep 30 2018n/an/a

-CN¥16m

Jun 30 2018n/an/a

-CN¥33m

Mar 31 2018n/an/a

-CN¥43m

Dec 31 2017CN¥1mCN¥1m

-CN¥54m

Sep 30 2017n/an/a

-CN¥43m

Jun 30 2017n/an/a

-CN¥32m

Mar 31 2017n/an/a

-CN¥25m

Dec 31 2016CN¥1mCN¥1m

-CN¥19m

Sep 30 2016n/an/a

-CN¥17m

Jun 30 2016n/an/a

-CN¥16m

Mar 31 2016n/an/a

-CN¥5m

Dec 31 2015CN¥2mCN¥1m

CN¥6m

Compensation vs Market: Mars 's total compensation ($USD121.59K) is below average for companies of similar size in the Hong Kong market ($USD244.54K).

Compensation vs Earnings: Mars 's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: 6118's management team is seasoned and experienced (8.3 years average tenure).


Board Members

Experienced Board: 6118's board of directors are considered experienced (8.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

What is the ownership structure of 6118?
Owner TypeNumber of SharesOwnership Percentage
Institutions299,0060.06%
General Public135,332,99426.4%
Individual Insiders376,950,00073.5%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 6 shareholders own 73.6% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
66.27%
Kwok Keung Ho
339,679,000CN¥485.7m0%no data
7.27%
Kin Hung Ho
37,271,000CN¥53.3m0%no data
0.03%
State Street Global Advisors, Inc.
152,000CN¥217.4k0%no data
0.019%
Mercer Investments LLC
99,000CN¥141.6k0%no data
0.0094%
Dimensional Fund Advisors LP
48,000CN¥68.6k0%no data
0%
Connor, Clark & Lunn Investment Management Ltd.
6CN¥8.60%no data

Company Information

Austar Lifesciences Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Austar Lifesciences Limited
  • Ticker: 6118
  • Exchange: SEHK
  • Founded: 1991
  • Industry: Life Sciences Tools and Services
  • Sector: Pharmaceuticals & Biotech
  • Implied Market Cap: HK$732.992m
  • Shares outstanding: 512.58m
  • Website: https://www.austar.com.hk

Number of Employees


Location

  • Austar Lifesciences Limited
  • Rooms 2010-2013
  • 20th Floor
  • Shanghai
  • China


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
6118SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDNov 2014

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/02 00:00
End of Day Share Price2022/09/30 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.