Haichang Ocean Park Holdings Ltd. (2255) AI Stock Analysis

• Market Cap: HK$9.51B
• Dividend Yield: N/A
• Average Volume (3M): 77.54M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.67
• Revenue Growth: -8.83%
• EPS Growth: -393.39%
• Country: HK
• Employees: 3,267
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): -0.04
• Shares Outstanding: 13,214,002,000
• 10 Day Avg. Volume: 34,495,500
• 30 Day Avg. Volume: 77,535,580
• PEG Ratio: -0.02
• Price to Book (P/B): 2.48
• Price to Sales (P/S): 2.35
• P/FCF Ratio: -11.56
• 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: N/A
• Number of Analyst Covering: 0

• Rating: 40 Underperform
• Price Target: HK$0.50 ▼(-31.51% Downside)

Haichang Ocean Park Holdings Ltd. is facing significant financial and operational challenges, with negative profitability and liquidity issues. Technical analysis indicates bearish momentum, and valuation metrics are unattractive due to ongoing losses. These factors collectively result in a low overall stock score.

Haichang Ocean Park Holdings Ltd. Business Overview & Revenue Model

Company Description

Haichang Ocean Park Holdings Ltd., together with its subsidiaries, develops, constructs, and operates theme parks and ancillary commercial properties in the People's Republic of China. It operates in three segments: Park Operations, Operation as a Service, and Property Development. The company owns and operates six theme parks. It also develops and invests in properties; and operates hotels and a small size playground, as well as provides consultancy, management, and recreation services. In addition, the company offers tourism consulting, and construction project design and consulting services. Further, it is involved in goods and technology import and export, marine biotechnology development, financing lease, and property management business; property development, construction, and sales activities; and the provision of technical support services relating to aquarium. The company was formerly known as Haichang Holdings Ltd. and changed its name to Haichang Ocean Park Holdings Ltd. in July 2015. Haichang Ocean Park Holdings Ltd. was founded in 2001 and is headquartered in Shanghai, the People's Republic of China.

How the Company Makes Money

Haichang Ocean Park Holdings Ltd. generates revenue primarily through ticket sales for park admissions, annual memberships, and seasonal passes, which provide access to its various attractions and events. In addition to direct ticket revenue, the company earns significant income from food and beverage sales, merchandise retail, and sponsorship deals within the parks. The company also engages in educational programs and partnerships with schools and organizations, providing workshops and field trips that further enhance its revenue. Seasonal events, special shows, and attractions also contribute to revenue, creating additional opportunities for income generation throughout the year.

Haichang Ocean Park Holdings Ltd. Financial Statement Overview

Summary

Haichang Ocean Park Holdings Ltd. faces substantial financial challenges across income, balance sheet, and cash flow statements. The company shows a declining trajectory with net losses, high leverage, and liquidity issues. Improvements in operational profitability and cash management are necessary for financial recovery.

Income Statement

The income statement reflects a declining performance with consistent net losses over the years. Gross profit margin stands at 23.03% for 2024, but the company is struggling with negative net profit margins due to significant losses. Revenue growth has been erratic, with a recent slight increase of 0.08% in 2024, but the long-term trend is negative compared to 2019. Negative EBIT and EBITDA in recent years indicate operational challenges.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 3.60 in 2024, indicating high leverage. Return on equity is negative due to net losses, reflecting inefficient use of equity. Equity ratio has declined to 16.67%, showing reduced financial stability. However, the company maintains significant total assets, which could be leveraged for future improvements.

Cash Flow

Cash flow statements reveal significant struggles, with zero operating and free cash flow in 2024, indicating liquidity issues. The free cash flow has remained negative or negligible in recent years, suggesting insufficient cash generation to cover capital expenditures and operational needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.70B	1.82B	1.82B	792.99M	2.46B	1.17B
Gross Profit	295.80M	418.96M	457.45M	-278.73M	721.26M	-129.25M
EBITDA	-305.78M	51.65M	489.27M	-777.76M	317.11M	-419.25M
Net Income	-950.63M	-739.72M	-197.26M	-1.40B	844.85M	-1.45B
Balance Sheet
Total Assets	10.12B	10.34B	11.52B	10.21B	11.72B	16.42B
Cash, Cash Equivalents and Short-Term Investments	170.21M	136.52M	1.81B	1.35B	3.21B	2.41B
Total Debt	6.08B	6.19B	6.30B	5.27B	5.25B	9.25B
Total Liabilities	8.59B	8.52B	9.00B	7.53B	7.89B	13.42B
Stockholders Equity	1.43B	1.72B	2.42B	2.62B	3.77B	2.93B
Cash Flow
Free Cash Flow	-386.59M	-369.16M	-805.06M	-716.33M	61.95M	-77.19M
Operating Cash Flow	-23.75M	121.59M	533.56M	1.24M	221.06M	117.57M
Investing Cash Flow	-1.21B	-1.20B	-863.93M	-1.65B	3.24B	-413.30M
Financing Cash Flow	-3.90M	-573.04M	809.45M	-338.34M	-2.59B	210.81M

Haichang Ocean Park Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.73
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2255, the sentiment is Negative. The current price of 0.73 is below the 20-day moving average (MA) of 0.78, below the 50-day MA of 0.78, and above the 200-day MA of 0.72, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 39.41 is Neutral, neither overbought nor oversold. The STOCH value of 18.62 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2255.

Haichang Ocean Park Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	―	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
0308	―	$9.41B	-212.50	-0.27%	1.46%	-2.45%	-156.34%
1803	―	HK$150.66M	-5.52	-24.34%	―	157.17%	39.38%
2255	―	HK$9.51B	-5.68	-50.43%	―	-8.83%	-393.39%

Haichang Ocean Park Holdings Ltd. Corporate Events

Haichang Ocean Park Completes Major Share Subscription

Haichang Ocean Park Holdings Ltd. has completed a significant subscription of shares, resulting in the issuance of 5.1 billion shares at HK$0.45 each, raising approximately HK$2,284 million. The proceeds will be used to support daily operations, promote core business development, and repay existing debts. This move alters the company’s shareholding structure, with the subscriber now holding a 38.60% stake, impacting the company’s financial stability and market positioning.

Haichang Ocean Park Reports Increased Losses in Interim Results

Haichang Ocean Park Holdings Ltd. announced its unaudited interim results for the six months ending June 30, 2025, revealing a significant decline in revenue and an increased loss compared to the previous year. The company reported a loss of RMB 295.6 million, attributed to higher selling, marketing, and administrative expenses, despite a decrease in finance costs.

Haichang Ocean Park Expands Share Capital Following EGM Approval

Haichang Ocean Park Holdings Ltd. announced the successful passing of ordinary and special resolutions at its Extraordinary General Meeting held on August 19, 2025. The key resolution included an increase in the company’s authorized share capital from US$500,000 to US$750,000, allowing for the creation of an additional 5 billion shares. This move is expected to provide the company with greater flexibility in its capital structure, potentially impacting its future growth and investment strategies.

Haichang Ocean Park Holdings Schedules Board Meeting to Review Interim Results

Haichang Ocean Park Holdings Ltd. has announced a board meeting scheduled for August 29, 2025, to discuss and approve the interim financial results for the first half of the year and consider the possibility of an interim dividend. This meeting is significant as it will provide insights into the company’s financial health and potential returns for shareholders, reflecting its operational performance and strategic direction.

Haichang Ocean Park Holdings Announces EGM for Key Resolutions

Haichang Ocean Park Holdings Ltd. has announced an extraordinary general meeting to discuss several resolutions, including an increase in authorized share capital and a conditional subscription agreement with Sunriver Starrysea Tourism. The resolutions aim to facilitate the issuance of new shares and secure a Whitewash Waiver, potentially impacting the company’s financial structure and shareholder dynamics.

Haichang Ocean Park Announces Shareholder Circular and EGM for Key Approvals

Haichang Ocean Park Holdings Ltd. has announced the despatch of a circular to its shareholders regarding the subscription of new shares under a specific mandate, an application for a whitewash waiver, and a proposed increase in authorized share capital. The circular includes recommendations from the Independent Board Committee and a letter of advice from the Independent Financial Adviser. An Extraordinary General Meeting (EGM) is scheduled for August 19, 2025, to seek approval from independent shareholders on these matters. The completion of the subscription is contingent upon several conditions, including shareholder approval and the granting of the whitewash waiver. The outcome of these actions could significantly impact the company’s capital structure and shareholder composition.

Haichang Ocean Park Holdings Updates on Share Subscription and Capital Increase

Haichang Ocean Park Holdings Ltd. has announced a monthly update regarding the subscription of new shares under a specific mandate, an application for a whitewash waiver, and a proposed increase in authorized share capital. The company is in the process of finalizing a circular to address comments from the Stock Exchange and expects to dispatch it by the end of July 2025. The completion of the subscription is contingent upon several conditions, including shareholder approval and the granting of the whitewash waiver. Shareholders and investors are advised to exercise caution and seek professional advice if needed.