Ruichang International Holdings Ltd. (1334) AI Stock Analysis

• Market Cap: HK$590.00M
• Dividend Yield: 3.82%
• Average Volume (3M): 297.92K
• Price to Earnings (P/E): 38.8
• Beta (1Y): 0.24
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 445
• Sector: Services
• Sector Strength: N/A
• Industry: Industrial - Machinery
• EPS (TTM): N/A
• Shares Outstanding: 500,000,000
• 10 Day Avg. Volume: 769,500
• 30 Day Avg. Volume: 297,916
• PEG Ratio: -0.49
• Price to Book (P/B): 1.02
• Price to Sales (P/S): 0.89
• P/FCF Ratio: 9.66
• 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: HK$1.00
• Price Target Upside: -12.28% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 51 Neutral
• Price Target: HK$1.00 ▼(-12.28% Downside)

Ruichang International Holdings Ltd. has a moderate overall stock score. The company's financial performance is strong, with robust revenue growth and improved cash flow, but profitability challenges remain. Technical analysis indicates potential overbought conditions, which could lead to a pullback. The valuation is concerning due to a negative P/E ratio, though the dividend yield offers some compensation.

Ruichang International Holdings Ltd. Business Overview & Revenue Model

Company Description

Ruichang International Holdings Limited manufactures and sells petroleum refinery and petrochemical equipment in the People's Republic of China. The company offers sulphur recovery unit (SRU) and volatile organic compounds (VOCs) incineration equipment; catalytic cracking equipment; process burners; and heat exchangers. It also provides installation services; electrical erection; and mechanical erection services, as well as technology consulting service. The company was founded in 1994 and is headquartered in Shanghai, the People's Republic of China.

How the Company Makes Money

Ruichang International Holdings Ltd. generates revenue through its engineering services, primarily focusing on large-scale infrastructure projects. The company earns money by securing contracts for the design, construction, and maintenance of various infrastructure developments, which may include roads, bridges, and other public utilities. These projects are often commissioned by governmental agencies or private sector clients, providing a steady stream of revenue. Additionally, the company may engage in partnerships or joint ventures with other firms to undertake larger projects, which can enhance its revenue potential. Key factors contributing to its earnings include the successful bidding for new projects, efficient project management, and maintaining strong client relationships.

Ruichang International Holdings Ltd. Financial Statement Overview

Summary

Ruichang International Holdings Ltd. shows strong revenue growth and improved cash flow generation, indicating a positive trajectory. However, challenges persist in maintaining profit margins and managing costs effectively. The balance sheet remains robust with improved debt management and a solid equity base, contributing to overall financial stability.

Income Statement

Ruichang International Holdings Ltd. has shown consistent revenue growth over the past few years, with a significant increase in revenue from 2021 to 2023. However, the company experienced a decline in both gross and net profit margins in 2024, indicating potential issues with cost management or pricing strategies. The EBIT and EBITDA margins also reduced in 2024 compared to the previous year, affecting overall profitability.

Balance Sheet

The company's balance sheet reflects a healthy equity ratio, with stockholders' equity making up a significant portion of total assets. The debt-to-equity ratio improved in 2024, suggesting better debt management. Return on Equity (ROE) has also shown positive trends, demonstrating effective utilization of equity to generate profits.

Cash Flow

Ruichang International Holdings Ltd. has demonstrated strong free cash flow growth in 2024, recovering from lower levels in previous years. The operating cash flow to net income ratio indicates efficient cash generation relative to profits, although the free cash flow to net income ratio reflects moderate efficiency. Overall, the cash flow position shows improvement but remains an area for further strengthening.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	371.09M	444.19M	544.13M	419.07M	248.04M
Gross Profit	110.65M	146.18M	196.57M	133.02M	70.90M
EBITDA	-24.89M	34.54M	83.65M	61.47M	23.40M
Net Income	-39.16M	10.33M	55.21M	36.53M	13.42M
Balance Sheet
Total Assets	778.35M	726.95M	695.64M	592.52M	421.83M
Cash, Cash Equivalents and Short-Term Investments	101.99M	139.26M	52.90M	21.39M	20.17M
Total Debt	198.22M	114.14M	126.24M	78.60M	65.75M
Total Liabilities	430.42M	338.60M	400.48M	352.03M	215.94M
Stockholders Equity	330.08M	388.05M	295.15M	240.49M	205.89M
Cash Flow
Free Cash Flow	57.94M	40.98M	1.64M	-942.00K	-9.86M
Operating Cash Flow	66.02M	54.76M	6.41M	1.03M	-4.95M
Investing Cash Flow	-32.15M	-35.13M	-14.08M	5.27M	-29.27M
Financing Cash Flow	74.23M	64.48M	31.95M	1.53M	19.28M

Ruichang International Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.14
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1334, the sentiment is Positive. The current price of 1.14 is above the 20-day moving average (MA) of 1.04, above the 50-day MA of 1.03, and above the 200-day MA of 0.96, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 60.17 is Neutral, neither overbought nor oversold. The STOCH value of 77.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1334.

Ruichang International Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3348	61 Neutral	HK$555.00M	6.60	8.36%	3.98%	-21.28%	-29.40%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
3302	55 Neutral	HK$354.35M	―	-10.85%	―	-0.51%	-922.95%
1334	51 Neutral	HK$590.00M	38.76	-12.57%	3.82%	―	―
0679	50 Neutral	€362.84M	1.58	-2.06%	3.16%	-0.29%	-113.17%
1645	46 Neutral	HK$699.33M	―	-6.34%	―	-2.88%	44.39%
1673	39 Underperform	HK$335.19M	―	-2.71%	―	-4.33%	55.43%

Ruichang International Holdings Ltd. Corporate Events

Ruichang International Reports Interim Loss Amid Rising Expenses

Ruichang International Holdings Ltd. reported its unaudited interim results for the six months ending June 30, 2025. The company experienced a significant decrease in revenue from RMB 224,894,000 in 2024 to RMB 151,799,000 in 2025, resulting in a net loss of RMB 38,060,000 compared to a profit of RMB 11,525,000 in the previous year. The decline in financial performance is attributed to increased administrative and research expenses, impacting the company’s profitability and market positioning.

The most recent analyst rating on (HK:1334) stock is a Hold with a HK$1.00 price target. To see the full list of analyst forecasts on Ruichang International Holdings Ltd. stock, see the HK:1334 Stock Forecast page.

Ruichang International Holdings Issues Profit Warning for H1 2025

Ruichang International Holdings Limited, listed on the Hong Kong Stock Exchange, has issued a profit warning for the first half of 2025. The company anticipates a net loss of approximately RMB38 million, contrasting with a net profit of RMB11.5 million in the same period the previous year. This downturn is attributed to decreased sales due to postponed orders, increased market competition affecting profit margins, and rising operational expenses. Stakeholders are advised to exercise caution as the financial results are still under preparation and subject to adjustments.

The most recent analyst rating on (HK:1334) stock is a Hold with a HK$1.00 price target. To see the full list of analyst forecasts on Ruichang International Holdings Ltd. stock, see the HK:1334 Stock Forecast page.

Ruichang International Holdings Schedules Board Meeting for Interim Results

Ruichang International Holdings Limited has announced a board meeting scheduled for August 29, 2025, to discuss and approve the interim results for the first half of 2025. This meeting is significant as it will provide insights into the company’s performance and future strategies, impacting stakeholders’ perspectives and the company’s market positioning.

Ruichang International Announces Key Resignation and Interim Management Changes

Ruichang International Holdings Limited announced the resignation of Mr. Fu Cong as the financial director and joint company secretary, effective July 31, 2025. Mr. Lu Bo, the chairman and CEO, will temporarily assume the financial director duties, while Mr. Lee Chung Shing will continue as the sole company secretary. The company expressed gratitude for Mr. Fu’s contributions during his tenure.

Ruichang International Holdings Ltd. Updates Nomination Committee

Ruichang International Holdings Ltd., a company incorporated in the Cayman Islands, has announced changes in the composition of its Nomination Committee. Mr. Shen Cheng has been appointed as the new chairman, and Ms. Lu Xiaojing has joined as a member, effective June 30, 2025. These changes align with upcoming amendments to the Listing Rules and Corporate Governance Code, aiming to enhance the board’s effectiveness and diversity.

Ruichang International Holdings Updates Board Composition

Ruichang International Holdings Ltd., incorporated in the Cayman Islands, has announced the composition of its board of directors and their roles within the company. The board consists of both executive and independent non-executive directors, with specific members assigned to the audit, remuneration, and nomination committees. This announcement provides clarity on the governance structure of the company, potentially impacting its strategic direction and stakeholder confidence.