Valuation Update With 7 Day Price Move • Jun 03
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to NT$39.30, the stock trades at a trailing P/E ratio of 14.8x. Average forward P/E is 13x in the Construction industry in Taiwan. Total loss to shareholders of 7.3% over the past three years. Reported Earnings • May 18
First quarter 2026 earnings released: EPS: NT$1.57 (vs NT$1.00 loss in 1Q 2025) First quarter 2026 results: EPS: NT$1.57 (up from NT$1.00 loss in 1Q 2025). Revenue: NT$816.4m (up NT$735.1m from 1Q 2025). Net income: NT$141.8m (up NT$232.2m from 1Q 2025). Profit margin: 17% (up from net loss in 1Q 2025). The move to profitability was driven by higher revenue. Revenue is forecast to grow 33% p.a. on average during the next 2 years, compared to a 32% growth forecast for the Construction industry in Taiwan. Over the last 3 years on average, earnings per share has fallen by 29% per year but the company’s share price has only fallen by 13% per year, which means it has not declined as severely as earnings. New Risk • May 12
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: NT$3.10b (US$98.2m) 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 Risks Interest payments are not well covered by earnings (2.9x net interest cover). High level of non-cash earnings (23% accrual ratio). Minor Risks Profit margins are more than 30% lower than last year (0.7% net profit margin). Market cap is less than US$100m (NT$3.10b market cap, or US$98.2m). Reported Earnings • Mar 12
Full year 2025 earnings released: EPS: NT$0.09 (vs NT$6.55 in FY 2024) Full year 2025 results: EPS: NT$0.09 (down from NT$6.55 in FY 2024). Revenue: NT$1.30b (down 70% from FY 2024). Net income: NT$8.52m (down 99% from FY 2024). Profit margin: 0.7% (down from 13% in FY 2024). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 26% 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. Announcement • Feb 25
Hsin Ba Ba Corporation, Annual General Meeting, Jun 30, 2026 Hsin Ba Ba Corporation, Annual General Meeting, Jun 30, 2026. Location: 4 floor no,5, chung shan 2nd rd., cianjhen district, kaohsiung city Taiwan Reported Earnings • Nov 17
Third quarter 2025 earnings released: NT$0.55 loss per share (vs NT$3.72 profit in 3Q 2024) Third quarter 2025 results: NT$0.55 loss per share (down from NT$3.72 profit in 3Q 2024). Revenue: NT$193.7m (down 91% from 3Q 2024). Net loss: NT$49.6m (down 115% from profit in 3Q 2024). Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. New Risk • Nov 17
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: 3.6% Last year net profit margin: 9.9% 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: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). Dividend is not well covered by earnings and cash flows. Payout ratio: 149% Paying a dividend despite having no free cash flows. Minor Risk Profit margins are more than 30% lower than last year (3.6% net profit margin). Valuation Update With 7 Day Price Move • Nov 03
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to NT$45.40, the stock trades at a trailing P/E ratio of 9.2x. Average trailing P/E is 17x in the Construction industry in Taiwan. Total returns to shareholders of 26% over the past three years. Valuation Update With 7 Day Price Move • Sep 12
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to NT$62.10, the stock trades at a trailing P/E ratio of 12.6x. Average trailing P/E is 17x in the Construction industry in Taiwan. Total returns to shareholders of 62% over the past three years. Upcoming Dividend • Aug 28
Upcoming dividend of NT$6.50 per share Eligible shareholders must have bought the stock before 04 September 2025. Payment date: 30 September 2025. The company is paying out more than 100% of its profits and is paying out 96% of its cash flow. Trailing yield: 7.8%. Within top quartile of Taiwanese dividend payers (5.3%). Higher than average of industry peers (3.1%). Reported Earnings • Aug 15
Second quarter 2025 earnings released: NT$0.44 loss per share (vs NT$0.51 profit in 2Q 2024) Second quarter 2025 results: NT$0.44 loss per share (down from NT$0.51 profit in 2Q 2024). Revenue: NT$146.4m (down 77% from 2Q 2024). Net loss: NT$39.8m (down 193% from profit in 2Q 2024). Over the last 3 years on average, earnings per share has fallen by 10% per year but the company’s share price has increased by 14% per year, which means it is well ahead of earnings. Declared Dividend • Aug 09
Dividend of NT$6.50 announced Shareholders will receive a dividend of NT$6.50. Ex-date: 4th September 2025 Payment date: 30th September 2025 Dividend yield will be 9.2%, which is higher than the industry average of 4.7%. Sustainability & Growth Dividend is not covered by earnings (149% earnings payout ratio). However, it is well covered by cash flows (32% cash payout ratio). The dividend has increased by an average of 104% per year over the past 3 years and payments have been stable during that time. The company's earnings per share (EPS) would need to grow by 66% to bring the payout ratio under control, which is more than the 38% EPS growth achieved over the last 5 years. Reported Earnings • May 15
First quarter 2025 earnings released: NT$1.00 loss per share (vs NT$0.55 loss in 1Q 2024) First quarter 2025 results: NT$1.00 loss per share (further deteriorated from NT$0.55 loss in 1Q 2024). Revenue: NT$81.3m (down 5.4% from 1Q 2024). Net loss: NT$90.4m (loss widened 95% from 1Q 2024). Over the last 3 years on average, earnings per share has fallen by 9% per year but the company’s share price has increased by 16% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Apr 09
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to NT$79.10, the stock trades at a trailing P/E ratio of 12.5x. Average trailing P/E is 16x in the Construction industry in Taiwan. Total returns to shareholders of 50% over the past three years. Reported Earnings • Mar 18
Full year 2024 earnings released: EPS: NT$6.55 (vs NT$6.12 in FY 2023) Full year 2024 results: EPS: NT$6.55 (up from NT$6.12 in FY 2023). Revenue: NT$4.37b (up 17% from FY 2023). Net income: NT$572.0m (up 9.9% from FY 2023). Profit margin: 13% (in line with FY 2023). Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has increased by 25% per year, which means it is well ahead of earnings. Announcement • Mar 14
Hsin Ba Ba Corporation, Annual General Meeting, Jun 25, 2025 Hsin Ba Ba Corporation, Annual General Meeting, Jun 25, 2025, at 09:00 Taipei Standard Time. Location: 4 floor no,5, chung shan 2nd rd., cianjhen district, kaohsiung city Taiwan Announcement • Mar 01
Hsin Ba Ba Corporation to Report Fiscal Year 2024 Results on Mar 12, 2025 Hsin Ba Ba Corporation announced that they will report fiscal year 2024 results on Mar 12, 2025 New Risk • Nov 21
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 6.2% 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. Currently, the following risks have been identified for the company: Minor Risks High level of debt (315% net debt to equity). Dividend is not well covered by earnings (156% payout ratio). Share price has been volatile over the past 3 months (7.3% average weekly change). Shareholders have been diluted in the past year (6.2% increase in shares outstanding). Reported Earnings • Nov 18
Third quarter 2024 earnings released: EPS: NT$3.72 (vs NT$1.21 in 3Q 2023) Third quarter 2024 results: EPS: NT$3.72 (up from NT$1.21 in 3Q 2023). Revenue: NT$2.22b (up 379% from 3Q 2023). Net income: NT$328.3m (up 220% from 3Q 2023). Profit margin: 15% (down from 22% in 3Q 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has increased by 27% per year, which means it is well ahead of earnings. Announcement • Oct 29
Hsin Ba Ba Corporation to Report Q3, 2024 Results on Nov 05, 2024 Hsin Ba Ba Corporation announced that they will report Q3, 2024 results on Nov 05, 2024 Upcoming Dividend • Aug 26
Upcoming dividend of NT$5.36 per share Eligible shareholders must have bought the stock before 02 September 2024. Payment date: 30 September 2024. The company is paying out more than 100% of its earnings and cash flow. Trailing yield: 2.8%. Lower than top quartile of Taiwanese dividend payers (4.4%). Lower than average of industry peers (3.7%). Announcement • Aug 23
Hsin Ba Ba Corporation Announces Resignation of Hsing-Huei, Hung as Chief Information Security Officer Hsin Ba Ba Corporation announced the resignation of Hsing-Huei, Hung/Manager of the Administration Department, as Chief information security officer. Reason for the change: personal career planning. Effective date: August 22, 2024. The appointment of the new chief information security officer will be made after it is approved by the most recent board resolution. Reported Earnings • Aug 17
Second quarter 2024 earnings released: EPS: NT$0.52 (vs NT$4.73 in 2Q 2023) Second quarter 2024 results: EPS: NT$0.52 (down from NT$4.73 in 2Q 2023). Revenue: NT$636.3m (down 75% from 2Q 2023). Net income: NT$43.0m (down 89% from 2Q 2023). Profit margin: 6.8% (down from 16% in 2Q 2023). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 19% per year but the company’s share price has increased by 63% per year, which means it is tracking significantly ahead of earnings growth. Declared Dividend • Aug 08
Dividend increased to NT$5.61 Dividend of NT$5.61 is 23% higher than last year. Ex-date: 2nd September 2024 Payment date: 30th September 2024 Dividend yield will be 2.7%, which is lower than the industry average of 4.7%. Sustainability & Growth Dividend is not covered by earnings (109% earnings payout ratio). However, it is well covered by cash flows (32% cash payout ratio). The dividend has increased by an average of 192% per year over the past 2 years and payments have been stable during that time. The company's earnings per share (EPS) would need to grow by 21% to bring the payout ratio under control, which is less than the 59% EPS growth achieved over the last 5 years. Announcement • Aug 03
Hsin Ba Ba Corporation to Report Q2, 2024 Results on Aug 12, 2024 Hsin Ba Ba Corporation announced that they will report Q2, 2024 results on Aug 12, 2024 Valuation Update With 7 Day Price Move • Jul 19
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to NT$150, the stock trades at a trailing P/E ratio of 29.2x. Average trailing P/E is 18x in the Construction industry in Taiwan. Total returns to shareholders of 196% over the past three years. Valuation Update With 7 Day Price Move • Jul 05
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to NT$107, the stock trades at a trailing P/E ratio of 20.8x. Average trailing P/E is 18x in the Construction industry in Taiwan. Total returns to shareholders of 124% over the past three years. Reported Earnings • May 19
First quarter 2024 earnings released: NT$0.56 loss per share (vs NT$0.55 profit in 1Q 2023) First quarter 2024 results: NT$0.56 loss per share (down from NT$0.55 profit in 1Q 2023). Revenue: NT$86.0m (down 86% from 1Q 2023). Net loss: NT$46.4m (down 201% from profit in 1Q 2023). Over the last 3 years on average, earnings per share has increased by 46% per year but the company’s share price has only increased by 27% per year, which means it is significantly lagging earnings growth. Buy Or Sell Opportunity • May 17
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 32% to NT$85.40. The fair value is estimated to be NT$70.30, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 63% over the last 3 years. Meanwhile, the company has become profitable. Announcement • Apr 28
Hsin Ba Ba Corporation to Report Q1, 2024 Results on May 07, 2024 Hsin Ba Ba Corporation announced that they will report Q1, 2024 results at 9:00 AM, Taipei Standard Time on May 07, 2024 Buy Or Sell Opportunity • Apr 24
Now 22% overvalued after recent price rise Over the last 90 days, the stock has risen 40% to NT$85.70. The fair value is estimated to be NT$70.27, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 63% over the last 3 years. Meanwhile, the company has become profitable. Announcement • Mar 14
Hsin Ba Ba Corporation, Annual General Meeting, Jun 18, 2024 Hsin Ba Ba Corporation, Annual General Meeting, Jun 18, 2024. Location: 3F., No.5, Zhongshan 2nd Rd., Qianzhen Dist Kaohsiung City Taiwan Agenda: To consider Report on operating reports for 2023; to consider Report on audit committee's reports for 2023; to consider Report on distribution of the remunerations to the Company's employees and directors of the board for 2023; to consider Report on cash dividend distribution for 2023; to consider Report on 1st issue of secured convertible corporate bonds of Hsin Ba Ba Co., Ltd; to consider Report on 2nd issue of unsecured convertible corporate bonds of Hsin Ba Ba Co., Ltd; and to consider other business matters. Reported Earnings • Mar 14
Full year 2023 earnings released: EPS: NT$6.24 (vs NT$5.08 in FY 2022) Full year 2023 results: EPS: NT$6.24 (up from NT$5.08 in FY 2022). Revenue: NT$3.73b (up 25% from FY 2022). Net income: NT$520.4m (up 23% from FY 2022). Profit margin: 14% (in line with FY 2022). Over the last 3 years on average, earnings per share has increased by 62% per year but the company’s share price has only increased by 14% per year, which means it is significantly lagging earnings growth. Reported Earnings • Nov 15
Third quarter 2023 earnings released: EPS: NT$1.23 (vs NT$0.59 in 3Q 2022) Third quarter 2023 results: EPS: NT$1.23 (up from NT$0.59 in 3Q 2022). Revenue: NT$463.1m (up 1.0% from 3Q 2022). Net income: NT$102.5m (up 107% from 3Q 2022). Profit margin: 22% (up from 11% in 3Q 2022). The increase in margin was primarily driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 75% per year but the company’s share price has only increased by 10% per year, which means it is significantly lagging earnings growth. Buying Opportunity • Nov 07
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 13%. The fair value is estimated to be NT$65.16, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 84% over the last 3 years. Meanwhile, the company has become profitable. Buying Opportunity • Sep 08
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 7.7%. The fair value is estimated to be NT$65.92, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 84% over the last 3 years. Meanwhile, the company has become profitable. Upcoming Dividend • Aug 28
Upcoming dividend of NT$4.57 per share at 8.2% yield Eligible shareholders must have bought the stock before 04 September 2023. Payment date: 26 September 2023. Payout ratio is on the higher end at 78%, however this is supported by cash flows. Trailing yield: 8.2%. Within top quartile of Taiwanese dividend payers (5.6%). Higher than average of industry peers (5.6%). Reported Earnings • Aug 15
Second quarter 2023 earnings released: EPS: NT$4.73 (vs NT$2.67 in 2Q 2022) Second quarter 2023 results: EPS: NT$4.73 (up from NT$2.67 in 2Q 2022). Revenue: NT$2.53b (up 101% from 2Q 2022). Net income: NT$394.5m (up 78% from 2Q 2022). Profit margin: 16% (down from 18% in 2Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 84% per year but the company’s share price has only increased by 11% per year, which means it is significantly lagging earnings growth. Board Change • Nov 16
No independent directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 1 experienced director. 5 highly experienced directors. No independent directors (4 non-independent directors). Director Shengling Wu was the last director to join the board, commencing their role in 2013. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Insufficient board refreshment. Reported Earnings • Nov 13
Third quarter 2022 earnings released: EPS: NT$0.60 (vs NT$3.17 in 3Q 2021) Third quarter 2022 results: EPS: NT$0.60 (down from NT$3.17 in 3Q 2021). Revenue: NT$458.5m (down 53% from 3Q 2021). Net income: NT$49.6m (down 81% from 3Q 2021). Profit margin: 11% (down from 27% in 3Q 2021). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 113% per year but the company’s share price has only increased by 38% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Aug 31
Upcoming dividend of NT$0.66 per share Eligible shareholders must have bought the stock before 07 September 2022. Payment date: 30 September 2022. Trailing yield: 1.3%. Lower than top quartile of Taiwanese dividend payers (6.5%). Lower than average of industry peers (6.0%). Reported Earnings • May 19
First quarter 2022 earnings released: EPS: NT$1.80 (vs NT$0.31 loss in 1Q 2021) First quarter 2022 results: EPS: NT$1.80 (up from NT$0.31 loss in 1Q 2021). Revenue: NT$913.8m (up NT$873.4m from 1Q 2021). Net income: NT$150.2m (up NT$176.1m from 1Q 2021). Profit margin: 16% (up from net loss in 1Q 2021). The move to profitability was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 93% per year but the company’s share price has only increased by 67% per year, which means it is significantly lagging earnings growth. Board Change • Apr 27
No independent directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 1 experienced director. 5 highly experienced directors. No independent directors (4 non-independent directors). Director Shengling Wu was the last director to join the board, commencing their role in 2013. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Insufficient board refreshment. Reported Earnings • Apr 03
Full year 2021 earnings released: EPS: NT$3.14 (vs NT$1.07 loss in FY 2020) Full year 2021 results: EPS: NT$3.14 (up from NT$1.07 loss in FY 2020). Revenue: NT$1.42b (up NT$1.25b from FY 2020). Net income: NT$261.8m (up NT$350.8m from FY 2020). Profit margin: 19% (up from net loss in FY 2020). The move to profitability was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 60% per year but the company’s share price has increased by 66% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Nov 11
Third quarter 2021 earnings released: EPS NT$3.17 (vs NT$0.20 loss in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: NT$964.4m (up NT$902.4m from 3Q 2020). Net income: NT$264.4m (up NT$281.1m from 3Q 2020). Profit margin: 27% (up from net loss in 3Q 2020). 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 86% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Aug 18
Second quarter 2021 earnings released: NT$0.37 loss per share (vs NT$0.20 loss in 2Q 2020) Second quarter 2021 results: Net loss: NT$30.9m (loss widened 89% from 2Q 2020). Over the last 3 years on average, earnings per share has fallen by 62% per year but the company’s share price has increased by 65% per year, which means it is well ahead of earnings. Reported Earnings • May 16
First quarter 2021 earnings released: NT$0.31 loss per share (vs NT$0.21 loss in 1Q 2020) First quarter 2021 results: Net loss: NT$26.0m (loss widened 48% from 1Q 2020). 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. Reported Earnings • Apr 01
Full year 2020 earnings released: NT$1.07 loss per share (vs NT$0.98 loss in FY 2019) Full year 2020 results: Net loss: NT$89.0m (loss widened 9.1% from FY 2019). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 146 percentage points per year, which is a significant difference in performance. Is New 90 Day High Low • Feb 25
New 90-day high: NT$45.00 The company is up 16% from its price of NT$38.90 on 27 November 2020. The Taiwanese market is up 17% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Construction industry, which is up 1.0% over the same period. Is New 90 Day High Low • Jan 29
New 90-day low: NT$37.40 The company is down 3.0% from its price of NT$38.55 on 30 October 2020. The Taiwanese market is up 22% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Construction industry, which is flat over the same period. Reported Earnings • Nov 15
Third quarter 2020 earnings released: NT$0.20 loss per share Third quarter 2020 results: Net loss: NT$16.7m (loss widened 4.3% from 3Q 2019). Over the last 3 years on average, earnings per share has fallen by 95% per year but the company’s share price has increased by 37% per year, which means it is well ahead of earnings. Is New 90 Day High Low • Nov 02
New 90-day low: NT$37.60 The company is down 11% from its price of NT$42.10 on 04 August 2020. The Taiwanese market is flat over the last 90 days, indicating the company underperformed over that time. It also underperformed the Construction industry, which is up 8.0% over the same period. Is New 90 Day High Low • Oct 15
New 90-day low: NT$40.40 The company is down 10.0% from its price of NT$45.00 on 17 July 2020. The Taiwanese market is up 5.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Construction industry, which is up 7.0% over the same period. 
