Huayi Tencent Entertainment Co., Ltd. (0419) AI Stock Analysis

• Market Cap: HK$584.17M
• Dividend Yield: N/A
• Average Volume (3M): 9.18M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.60
• Revenue Growth: -27.43%
• EPS Growth: -68.12%
• Country: HK
• Employees: 221
• Sector: Healthcare
• Sector Strength: 45
• Industry: Entertainment
• EPS (TTM): >-0.01
• Shares Outstanding: 13,585,339,000
• 10 Day Avg. Volume: 13,653,843
• 30 Day Avg. Volume: 9,177,540
• PEG Ratio: -0.07
• Price to Book (P/B): 9.07
• Price to Sales (P/S): 0.92
• P/FCF Ratio: -12.55
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 41 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

Huayi Tencent Entertainment Co., Ltd. faces significant financial and technical challenges. The most impactful factor is the company's weak financial performance, characterized by declining revenues, persistent losses, and rising debt levels. Additionally, bearish technical indicators and a negative P/E ratio further contribute to the low overall score. The absence of earnings call data and notable corporate events limits the analysis to these factors.

Huayi Tencent Entertainment Co., Ltd. Business Overview & Revenue Model

Company Description

Huayi Tencent Entertainment Co., Ltd. (0419) is a prominent entertainment company based in China, specializing in film and television production, distribution, and related media services. Established through a strategic partnership between Huayi Brothers Media Corporation and Tencent Holdings, the company focuses on creating high-quality content across various genres, leveraging both traditional and digital platforms. Its core offerings include movie production, television series, and online streaming services, catering to a diverse audience and capitalizing on the growing demand for entertainment in the Chinese market.

How the Company Makes Money

Huayi Tencent Entertainment generates revenue through multiple streams, primarily from film and television production, distribution rights, and digital content sales. The company earns significant income from box office receipts and licensing fees for its films and series, both domestically and internationally. Additionally, it benefits from partnerships with major streaming platforms, facilitating revenue sharing models for content distributed online. Merchandising and ancillary rights associated with their productions also contribute to overall earnings. The strategic collaboration with Tencent enhances its reach and monetization capabilities in digital media, allowing for synergies in marketing and distribution that further bolster revenue generation.

Huayi Tencent Entertainment Co., Ltd. Financial Statement Overview

Summary

Huayi Tencent Entertainment Co., Ltd. faces significant financial challenges, with declining revenues, persistent losses, and rising debt levels. While the company's gross profit margin is stable, operational and liquidity issues persist, affecting overall financial health. Improvements in cash flow management and profitability are essential for future stability.

Income Statement

The company's income statement shows a declining revenue trend with significant net losses over the years. The gross profit margin is relatively stable, but the net profit margin remains negative, indicating profitability issues. Revenue has decreased annually, highlighting a challenging business environment.

Balance Sheet

The balance sheet reflects high leverage, with a debt-to-equity ratio that has increased over time. Stockholders' equity has decreased, indicating financial instability. Despite this, the equity ratio is still reasonable, suggesting some level of asset financing through equity.

Cash Flow

The cash flow statement indicates negative free cash flow and operating cash flow, pointing to liquidity and operational challenges. Free cash flow has not shown growth, and the cash flow ratios suggest inefficiencies in converting income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	831.45M	1.02B	1.34B	1.58B	325.72M	106.06M
Gross Profit	305.81M	358.86M	413.43M	391.14M	42.35M	42.36M
EBITDA	-133.22M	-144.44M	-83.75M	-221.68M	28.77M	-19.70M
Net Income	-157.44M	-163.49M	-97.09M	-269.98M	-110.40M	-56.57M
Balance Sheet
Total Assets	413.88M	387.12M	526.29M	589.19M	911.20M	880.77M
Cash, Cash Equivalents and Short-Term Investments	17.30M	47.07M	32.09M	38.30M	149.98M	113.84M
Total Debt	213.72M	199.22M	87.66M	57.37M	52.19M	67.75M
Total Liabilities	433.27M	363.43M	303.50M	239.26M	252.30M	104.18M
Stockholders Equity	40.11M	103.31M	290.19M	388.20M	655.35M	776.59M
Cash Flow
Free Cash Flow	-39.28M	-74.72M	-73.25M	-99.66M	70.11M	-109.97M
Operating Cash Flow	-39.24M	-74.52M	-51.70M	-85.93M	81.34M	-108.59M
Investing Cash Flow	-17.71M	3.77M	-20.71M	-13.17M	-36.69M	-17.30M
Financing Cash Flow	37.89M	76.78M	61.00M	-10.44M	-39.60M	1.94M

Huayi Tencent Entertainment Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0419, the sentiment is Negative. The current price of 0.04 is below the 20-day moving average (MA) of 0.05, below the 50-day MA of 0.06, and below the 200-day MA of 0.05, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 24.31 is Positive, neither overbought nor oversold. The STOCH value of 14.18 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0419.

Huayi Tencent Entertainment Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0114	73 Outperform	HK$350.60M	10.66	5.68%	10.34%	-1.07%	―
0869	63 Neutral	$637.20M	43.90	1.28%	12.96%	-44.36%	-93.64%
0635	55 Neutral	$1.10B	-2.56	-8.58%	8.33%	-39.71%	-74.16%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
1005	47 Neutral	HK$393.23M	-1.73	-37.46%	3.85%	-13.08%	-21.27%
0419	41 Neutral	HK$584.17M	-3.71	-113.77%	―	-27.43%	-68.12%
0381	40 Underperform	HK$250.99M	-0.84	-41.64%	―	19.25%	-263.84%

Huayi Tencent Entertainment Co., Ltd. Corporate Events

Huayi Tencent Entertainment Announces New Share Subscription Agreement

Huayi Tencent Entertainment Co., Ltd. has entered into a Subscription Agreement to issue 638,000,000 new shares at a price of HK$0.039 per share, representing a discount to recent trading prices. This move aims to raise approximately HK$24,662,000 in net proceeds, potentially impacting the company’s share capital by increasing it by approximately 4.49%. The subscription is conditional and does not require shareholder approval, with an application for listing the new shares to be submitted.

Huayi Tencent Entertainment Proposes Share Consolidation

Huayi Tencent Entertainment Co., Ltd. has announced a proposed share consolidation, where every ten existing shares of HK$0.02 each will be consolidated into one share of HK$0.20. This move aims to streamline the company’s share structure without altering the board lot size for trading. The consolidation is subject to shareholder approval and regulatory conditions, and it will not affect the unissued preference shares. The consolidation could potentially impact the company’s market operations by simplifying its share capital structure, which may influence investor perception and trading dynamics.

Hony Media Group Announces Board Changes Following Director Resignation

Hony Media Group, a company listed on the Hong Kong Stock Exchange, announced the resignation of Mr. CHU Yuguo from his position as an Independent Non-executive Director effective November 3, 2025, due to other business commitments. Mr. CHU’s departure has led to a reshuffle in the company’s board committees, with Ms. PAN Min being appointed as the chairman of the Nomination Committee and Ms. WANG Song Song joining the Audit Committee. These changes are part of the company’s ongoing efforts to maintain effective corporate governance.

Huayi Tencent Entertainment Announces Board Composition and Roles

Huayi Tencent Entertainment Co., Ltd. announced the composition of its board of directors, highlighting the roles and functions of each member. The board includes non-executive, executive, and independent non-executive directors, with Mr. Zhao John Huan serving as Chairman. The announcement also details the membership of board committees, which is crucial for stakeholders to understand the governance structure and decision-making processes within the company.

Huayi Tencent Entertainment Reports Interim Loss Amid Revenue Decline

Huayi Tencent Entertainment Co., Ltd. announced its interim results for the six months ended June 30, 2025. The company reported a decrease in revenue to HK$302,381,000 from HK$489,398,000 in the same period in 2024, resulting in a gross profit of HK$80,146,000. Despite efforts to manage expenses, the company faced a loss of HK$42,641,000, slightly improving from the previous year’s loss. The results indicate ongoing challenges in maintaining profitability amidst market pressures.

Hony Media Group Schedules Board Meeting for Interim Results and Dividend Consideration

Hony Media Group has announced that its board of directors will hold a meeting on August 28, 2025, to approve the interim results for the first half of 2025 and consider the payment of an interim dividend. This announcement indicates the company’s ongoing commitment to transparency and shareholder engagement, potentially impacting its financial standing and investor relations.