Valuation Update With 7 Day Price Move • Jun 08
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥17.00, the stock trades at a trailing P/E ratio of 46.7x. Average trailing P/E is 114x in the Communications industry in China. Total returns to shareholders of 54% over the past three years. Tillkännagivande • May 26
Eastern Communications Co.,Ltd., Annual General Meeting, Jun 17, 2026 Eastern Communications Co.,Ltd., Annual General Meeting, Jun 17, 2026, at 14:00 China Standard Time. Location: Building A, No. 66, Dongxin Avenue, Binjiang District, Hangzhou, Zhejiang China Reported Earnings • Apr 28
First quarter 2026 earnings released: EPS: CN¥0.034 (vs CN¥0.045 loss in 1Q 2025) First quarter 2026 results: EPS: CN¥0.034 (up from CN¥0.045 loss in 1Q 2025). Revenue: CN¥545.8m (up 21% from 1Q 2025). Net income: CN¥43.1m (up CN¥99.3m from 1Q 2025). Profit margin: 7.9% (up from net loss in 1Q 2025). Over the last 3 years on average, earnings per share has increased by 31% per year but the company’s share price has only increased by 18% per year, which means it is significantly lagging earnings growth. Tillkännagivande • Mar 30
Eastern Communications Co.,Ltd. to Report Q1, 2026 Results on Apr 28, 2026 Eastern Communications Co.,Ltd. announced that they will report Q1, 2026 results on Apr 28, 2026 New Risk • Mar 17
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. Cash payout ratio: 112% Dividend yield: 0.4% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (10% average weekly change). Minor Risks Dividend is not well covered by cash flows (112% cash payout ratio). Large one-off items impacting financial results. New Risk • Jan 09
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 7.2% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (7.2% average weekly change). Large one-off items impacting financial results. Valuation Update With 7 Day Price Move • Jan 05
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥18.15, the stock trades at a trailing P/E ratio of 55.4x. Average trailing P/E is 83x in the Communications industry in China. Total returns to shareholders of 96% over the past three years. Tillkännagivande • Dec 26
Eastern Communications Co.,Ltd. to Report Fiscal Year 2025 Results on Apr 28, 2026 Eastern Communications Co.,Ltd. announced that they will report fiscal year 2025 results on Apr 28, 2026 Valuation Update With 7 Day Price Move • Dec 12
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to CN¥16.09, the stock trades at a trailing P/E ratio of 49.1x. Average trailing P/E is 76x in the Communications industry in China. Total returns to shareholders of 71% over the past three years. Reported Earnings • Nov 02
Third quarter 2025 earnings released: EPS: CN¥0.18 (vs CN¥0.012 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.18 (up from CN¥0.012 in 3Q 2024). Revenue: CN¥617.7m (down 7.0% from 3Q 2024). Net income: CN¥232.4m (up CN¥217.1m from 3Q 2024). Profit margin: 38% (up from 2.3% in 3Q 2024). 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 10% per year. Tillkännagivande • Sep 30
Eastern Communications Co.,Ltd. to Report Q3, 2025 Results on Oct 30, 2025 Eastern Communications Co.,Ltd. announced that they will report Q3, 2025 results on Oct 30, 2025 Buy Or Sell Opportunity • Sep 11
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 35% to CN¥13.94. The fair value is estimated to be CN¥11.47, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 3.5% over the last 3 years. Meanwhile, the company became loss making. Declared Dividend • Jul 30
Dividend of CN¥0.061 announced Dividend of CN¥0.061 is the same as last year. Ex-date: 4th August 2025 Payment date: 4th August 2025 Dividend yield will be 0.6%, which is lower than the industry average of 1.2%. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months. However, the dividend is covered by cash flows (63% cash payout ratio). The dividend has increased over the past 10 years. However, payments have been volatile during that time. Tillkännagivande • Jun 30
Eastern Communications Co.,Ltd. to Report First Half, 2025 Results on Aug 29, 2025 Eastern Communications Co.,Ltd. announced that they will report first half, 2025 results on Aug 29, 2025 Tillkännagivande • Jun 06
Eastern Communications Co.,Ltd., Annual General Meeting, Jun 30, 2025 Eastern Communications Co.,Ltd., Annual General Meeting, Jun 30, 2025, at 14:00 China Standard Time. Location: Building A, No. 66, Dongxin Avenue, Binjiang District, Hangzhou, Zhejiang China Reported Earnings • May 02
Full year 2024 earnings released: EPS: CN¥0.12 (vs CN¥0.12 in FY 2023) Full year 2024 results: EPS: CN¥0.12 (down from CN¥0.12 in FY 2023). Revenue: CN¥2.89b (down 1.6% from FY 2023). Net income: CN¥150.9m (down 1.2% from FY 2023). Profit margin: 5.2% (in line with FY 2023). Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has only increased by 6% per year, which means it is significantly lagging earnings growth. Tillkännagivande • Mar 28
Eastern Communications Co.,Ltd. to Report Q1, 2025 Results on Apr 30, 2025 Eastern Communications Co.,Ltd. announced that they will report Q1, 2025 results on Apr 30, 2025 Tillkännagivande • Dec 27
Eastern Communications Co.,Ltd. to Report Fiscal Year 2024 Results on Apr 29, 2025 Eastern Communications Co.,Ltd. announced that they will report fiscal year 2024 results on Apr 29, 2025 New Risk • Nov 02
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 65% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. This is currently the only risk that has been identified for the company. New Risk • Oct 09
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. The company is paying a dividend despite having no free cash flows. Dividend yield: 0.6% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. For dividend paying companies, any reduction in the dividend can significantly impact the share price. This is currently the only risk that has been identified for the company. New Risk • Sep 30
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 6.9% 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. Tillkännagivande • Sep 30
Eastern Communications Co.,Ltd. to Report Q3, 2024 Results on Oct 30, 2024 Eastern Communications Co.,Ltd. announced that they will report Q3, 2024 results on Oct 30, 2024 Valuation Update With 7 Day Price Move • Sep 20
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥9.69, the stock trades at a trailing P/E ratio of 71.5x. Average trailing P/E is 36x in the Communications industry in China. Total loss to shareholders of 13% over the past three years. Tillkännagivande • Jun 29
Eastern Communications Co.,Ltd. to Report First Half, 2024 Results on Aug 29, 2024 Eastern Communications Co.,Ltd. announced that they will report first half, 2024 results on Aug 29, 2024 Tillkännagivande • May 26
Eastern Communications Co.,Ltd., Annual General Meeting, Jun 21, 2024 Eastern Communications Co.,Ltd., Annual General Meeting, Jun 21, 2024, at 14:00 China Standard Time. Reported Earnings • Apr 28
Full year 2023 earnings released: EPS: CN¥0.12 (vs CN¥0.11 in FY 2022) Full year 2023 results: EPS: CN¥0.12 (up from CN¥0.11 in FY 2022). Revenue: CN¥2.94b (down 9.0% from FY 2022). Net income: CN¥152.8m (up 13% from FY 2022). Profit margin: 5.2% (up from 4.2% in FY 2022). Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Tillkännagivande • Mar 29
Eastern Communications Co.,Ltd. to Report Q1, 2024 Results on Apr 27, 2024 Eastern Communications Co.,Ltd. announced that they will report Q1, 2024 results on Apr 27, 2024 Valuation Update With 7 Day Price Move • Feb 05
Investor sentiment deteriorates as stock falls 20% After last week's 20% share price decline to CN¥7.69, the stock trades at a trailing P/E ratio of 52.9x. Average trailing P/E is 37x in the Communications industry in China. Total loss to shareholders of 29% over the past three years. Tillkännagivande • Dec 29
Eastern Communications Co.,Ltd. to Report Fiscal Year 2023 Results on Apr 27, 2024 Eastern Communications Co.,Ltd. announced that they will report fiscal year 2023 results on Apr 27, 2024 Reported Earnings • Nov 01
Third quarter 2023 earnings released: EPS: CN¥0.035 (vs CN¥0.03 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.035 (up from CN¥0.03 in 3Q 2022). Revenue: CN¥662.9m (down 14% from 3Q 2022). Net income: CN¥43.7m (up 12% from 3Q 2022). Profit margin: 6.6% (up from 5.0% in 3Q 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. Reported Earnings • Aug 31
Second quarter 2023 earnings released: EPS: CN¥0.045 (vs CN¥0.018 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.045 (up from CN¥0.018 in 2Q 2022). Revenue: CN¥660.4m (down 9.6% from 2Q 2022). Net income: CN¥57.4m (up 154% from 2Q 2022). Profit margin: 8.7% (up from 3.1% in 2Q 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. New Risk • Jun 29
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 7.0% 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. Tillkännagivande • Jun 28
Eastern Communications Co., Ltd. to Report First Half, 2023 Results on Aug 30, 2023 Eastern Communications Co., Ltd. announced that they will report first half, 2023 results on Aug 30, 2023 Upcoming Dividend • Jun 26
Upcoming dividend of CN¥0.055 per share at 0.5% yield Eligible shareholders must have bought the stock before 03 July 2023. Payment date: 03 July 2023. Payout ratio is a comfortable 47% but the company is not cash flow positive. Trailing yield: 0.5%. Lower than top quartile of Chinese dividend payers (2.0%). Lower than average of industry peers (0.7%). Reported Earnings • Apr 30
First quarter 2023 earnings released: EPS: CN¥0.011 (vs CN¥0.004 in 1Q 2022) First quarter 2023 results: EPS: CN¥0.011 (up from CN¥0.004 in 1Q 2022). Revenue: CN¥601.1m (down 2.0% from 1Q 2022). Net income: CN¥13.5m (up 146% from 1Q 2022). Profit margin: 2.2% (up from 0.9% in 1Q 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has fallen by 15% per year, which means it is significantly lagging 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. 8 non-independent directors. Director Yu Liang was the last director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Oct 31
Third quarter 2022 earnings released: EPS: CN¥0.031 (vs CN¥0.009 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.031 (up from CN¥0.009 in 3Q 2021). Revenue: CN¥773.7m (up 11% from 3Q 2021). Net income: CN¥38.9m (up 258% from 3Q 2021). Profit margin: 5.0% (up from 1.6% in 3Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has fallen by 21% per year, which means it is performing significantly worse than earnings. Reported Earnings • May 02
First quarter 2022 earnings released: EPS: CN¥0.004 (vs CN¥0.003 in 1Q 2021) First quarter 2022 results: EPS: CN¥0.004 (up from CN¥0.003 in 1Q 2021). Revenue: CN¥613.7m (up 1.2% from 1Q 2021). Net income: CN¥5.49m (up 27% from 1Q 2021). Profit margin: 0.9% (up from 0.7% in 1Q 2021). Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has fallen by 27% per year, which means it is performing significantly worse than earnings. Board Change • Apr 27
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. 8 non-independent directors. Director Yu Liang was the last director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Tillkännagivande • Feb 03
Eastern Communications Ltd Appoints Scott Tschetter as Chief Operating Officer Eastern Communications Ltd. announced that industry veteran Scott Tschetter has been promoted to Chief Operating Officer. Tschetter was internally promoted after playing a key role in driving a significant, multi-year period of growth for Eastern and its partners alike. Prior to joining Eastern, Tschetter held a variety of positions in engineering, channel management, and quality control positions at L3Harris, Tyco Electronics, and AVX Corporation. He holds a bachelor's degree in engineering from Virginia Tech. Reported Earnings • Oct 31
Third quarter 2021 earnings released: EPS CN¥0.009 (vs CN¥0.008 in 3Q 2020) The company reported a mediocre third quarter result with weaker revenues, although earnings were flat and profit margins improved. Third quarter 2021 results: Revenue: CN¥695.0m (down 1.6% from 3Q 2020). Net income: CN¥10.9m (flat on 3Q 2020). Profit margin: 1.6% (up from 1.5% in 3Q 2020). The increase in margin was driven by lower 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 34% per year, which means it is well ahead of earnings. Reported Earnings • Aug 30
Second quarter 2021 earnings released: EPS CN¥0.037 (vs CN¥0.026 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: CN¥684.8m (up 1.6% from 2Q 2020). Net income: CN¥45.9m (up 42% from 2Q 2020). Profit margin: 6.7% (up from 4.8% in 2Q 2020). Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has increased by 32% per year, which means it is well ahead of earnings. Upcoming Dividend • Jun 14
Upcoming dividend of CN¥0.04 per share Eligible shareholders must have bought the stock before 21 June 2021. Payment date: 21 June 2021. Trailing yield: 0.3%. Lower than top quartile of Chinese dividend payers (1.8%). Lower than average of industry peers (0.6%). Reported Earnings • May 04
First quarter 2021 earnings released: EPS CN¥0.003 (vs CN¥0.003 in 1Q 2020) The company reported a solid first quarter result with improved earnings and revenues, although profit margins were weaker. First quarter 2021 results: Revenue: CN¥606.7m (up 33% from 1Q 2020). Net income: CN¥4.31m (up 12% from 1Q 2020). Profit margin: 0.7% (down from 0.8% in 1Q 2020). Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has increased by 20% per year, which means it is well ahead of earnings. Reported Earnings • Mar 30
Full year 2020 earnings released: EPS CN¥0.082 (vs CN¥0.10 in FY 2019) The company reported a soft full year result with weaker earnings and profit margins, although revenues improved. Full year 2020 results: Revenue: CN¥2.97b (up 11% from FY 2019). Net income: CN¥103.5m (down 21% from FY 2019). Profit margin: 3.5% (down from 4.9% in FY 2019). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has increased by 21% per year, which means it is well ahead of earnings. Tillkännagivande • Mar 05
Eastern Communications Co., Ltd. to Report Fiscal Year 2020 Results on Mar 29, 2021 Eastern Communications Co., Ltd. announced that they will report fiscal year 2020 results on Mar 29, 2021 Is New 90 Day High Low • Feb 26
New 90-day high: CN¥14.54 The company is up 13% from its price of CN¥12.88 on 27 November 2020. The Chinese market is up 5.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Communications industry, which is down 13% over the same period. Is New 90 Day High Low • Dec 22
New 90-day low: CN¥11.81 The company is down 10.0% from its price of CN¥13.08 on 23 September 2020. The Chinese market is up 5.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is down 8.0% over the same period. Reported Earnings • Nov 03
Third quarter 2020 earnings released: EPS CN¥0.008 The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2020 results: Revenue: CN¥706.5m (up 13% from 3Q 2019). Net income: CN¥10.9m (up 240% from 3Q 2019). Profit margin: 1.5% (up from 0.5% in 3Q 2019). 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 17% per year, which means it is tracking significantly ahead of earnings growth. Is New 90 Day High Low • Oct 31
New 90-day low: CN¥12.39 The company is down 20% from its price of CN¥15.40 on 31 July 2020. The Chinese market is down 3.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is down 11% over the same period. Tillkännagivande • Oct 30
Eastern Communications Co., Ltd. to Report Q3, 2020 Results on Oct 31, 2020 Eastern Communications Co., Ltd. announced that they will report Q3, 2020 results on Oct 31, 2020 Is New 90 Day High Low • Sep 24
New 90-day low: CN¥12.76 The company is down 15% from its price of CN¥15.01 on 24 June 2020. The Chinese market is up 12% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is up 1.0% over the same period. Tillkännagivande • Jul 18
Eastern Communications Co., Ltd. to Report First Half, 2020 Results on Aug 31, 2020 Eastern Communications Co., Ltd. announced that they will report first half, 2020 results on Aug 31, 2020