Folangsi Co., Limited Class H (2499) AI Stock Analysis

• Market Cap: HK$1.99B
• Dividend Yield: 0.56%
• Average Volume (3M): 115.53K
• Price to Earnings (P/E): 16.7
• Beta (1Y): 0.11
• Revenue Growth: 19.37%
• EPS Growth: 75.13%
• Country: HK
• Employees: 2,013
• Sector: Industrials
• Sector Strength: 72
• Industry: Agricultural - Machinery
• EPS (TTM): 0.15
• Shares Outstanding: 249,651,700
• 10 Day Avg. Volume: 109,180
• 30 Day Avg. Volume: 115,533
• PEG Ratio: 0.11
• Price to Book (P/B): 2.05
• Price to Sales (P/S): 1.50
• P/FCF Ratio: 4.93
• 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: 67 Neutral
• Price Target: HK$6.00 ▲(4.17% Upside)

The overall stock score of 66.5 reflects strong financial performance driven by revenue growth and improved profitability. However, high leverage and cash flow management issues pose risks. Technical indicators suggest potential for a reversal, but current momentum is bearish. The valuation is moderate, with limited dividend yield.

Folangsi Co., Limited Class H Business Overview & Revenue Model

Company Description

Folangsi Co., Limited Class H (2499) is a company engaged in the industrial equipment sector, primarily focusing on the manufacturing and sales of material handling equipment. The company offers a wide range of products, including forklifts, warehouse equipment, and other related machinery. Folangsi Co. serves various industries by providing reliable and efficient equipment solutions to enhance operational productivity.

How the Company Makes Money

Folangsi Co., Limited generates revenue through the sale and leasing of its material handling equipment, such as forklifts and warehouse machinery. The company maintains a diversified revenue model by offering both new and used equipment, catering to different budgetary needs of its clients. Additionally, Folangsi Co. earns income through after-sales services, including maintenance, repair, and spare parts sales, which provide ongoing support to customers. Strategic partnerships with suppliers and distributors also play a significant role in expanding the company's market reach and enhancing its sales channels.

Folangsi Co., Limited Class H Financial Statement Overview

Summary

Folangsi Co., Limited Class H demonstrates strong revenue growth and improved profitability, with a solid equity position. However, the company faces challenges with high leverage and cash flow management, which require attention to ensure sustainable growth and financial stability.

Income Statement

The company shows a strong revenue growth trajectory with a notable increase in total revenue from the previous year by approximately 17.4%. Gross profit margin is healthy at 28.8%, indicating effective cost management. Net profit margin improved significantly to 6.3%, driven by increased net income, highlighting improved profitability. However, the EBIT margin is a moderate 10.3%, suggesting potential room for operational efficiency improvements.

Balance Sheet

The balance sheet reflects a solid equity position with a debt-to-equity ratio of 1.71, indicating moderate leverage. Return on equity stands at 8.6%, showing satisfactory use of equity to generate profits. The equity ratio is 31.2%, suggesting a balanced asset financing approach. However, the relatively high debt level poses potential financial risk.

Cash Flow

Cash flow analysis indicates challenges, with the absence of reported operating and free cash flow data for the latest period impacting clarity. Historical data shows variability in cash flow generation, which could indicate potential liquidity management issues. The company needs to improve cash flow visibility and stability to better support operations and growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.74B	1.61B	1.37B	1.19B	1.17B	980.64M
Gross Profit	507.90M	463.73M	417.40M	361.66M	374.17M	330.18M
EBITDA	411.09M	375.24M	363.53M	325.71M	522.51M	444.26M
Net Income	110.05M	101.96M	31.22M	35.40M	55.18M	54.21M
Balance Sheet
Total Assets	3.96B	3.78B	3.15B	2.66B	2.56B	2.18B
Cash, Cash Equivalents and Short-Term Investments	180.94M	154.90M	210.19M	151.49M	232.92M	115.07M
Total Debt	2.17B	2.01B	1.58B	1.37B	1.33B	1.17B
Total Liabilities	2.74B	2.60B	2.07B	1.76B	1.70B	1.49B
Stockholders Equity	1.22B	1.18B	1.08B	899.46M	864.06M	683.56M
Cash Flow
Free Cash Flow	500.80M	489.52M	252.63M	300.12M	242.39M	293.68M
Operating Cash Flow	641.81M	626.67M	506.98M	522.19M	527.63M	451.58M
Investing Cash Flow	-162.81M	-172.47M	-253.68M	-226.17M	-285.36M	-157.64M
Financing Cash Flow	-482.56M	-452.01M	-175.20M	-363.55M	-137.72M	-328.38M

Folangsi Co., Limited Class H Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.76
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2499, the sentiment is Negative. The current price of 5.76 is below the 20-day moving average (MA) of 5.83, above the 50-day MA of 5.71, and below the 200-day MA of 5.96, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 42.70 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2499.

Folangsi Co., Limited Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2499	―	HK$1.99B	16.75	9.37%	0.56%	19.37%	75.13%
2102	―	HK$295.00M	9.93	6.36%	4.90%	18.37%	297.18%
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
3626	―	HK$1.82B	686.81	8.45%	―	35.88%	―
0658	―	$2.86B	-0.43	-69.18%	―	-4.88%	-860.80%
2153	―	€1.27B	―	-8.98%	―	-7.98%	-25.03%

Folangsi Co., Limited Class H Corporate Events

Folangsi Co., Limited Reports Strong Interim Results Amid Industry Transformation

Folangsi Co., Limited reported a 17.6% increase in revenue and a 19.2% rise in net profit for the first half of 2025, reflecting the company’s strong performance amid the transformation of the intralogistics equipment industry in China. The industry is experiencing growth due to favorable policies and technological advancements, positioning Folangsi well with its comprehensive service system and extensive network to meet diverse customer needs and enhance logistics efficiency.

The most recent analyst rating on (HK:2499) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Folangsi Co., Limited Class H stock, see the HK:2499 Stock Forecast page.

Folangsi Co., Limited Schedules Board Meeting for Interim Results Review

Folangsi Co., Limited has announced that its board of directors will convene on August 22, 2025, to review and approve the interim results for the first half of the year ending June 30, 2025. The meeting will also consider the recommendation of an interim dividend, highlighting the company’s ongoing commitment to shareholder value and financial transparency.