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Shenghui Cleanness Group Holdings Limited (2521) AI Stock Analysis
Shenghui Cleanness Group Holdings Limited
(HKEX:2521)
The score is driven primarily by weak financial performance: despite impressive revenue growth, margins have compressed, profit nearly halved, returns on equity have collapsed, and free cash flow remains persistently negative, pointing to a cash-hungry investment phase with uncertain payoff. Valuation compounds the risk, with a ~49x P/E and no dividend offering little downside protection. Technicals are mixed — a modest short-term bounce above the 20-day average is offset by the price trading below its 50-, 100- and 200-day averages. Low leverage and a growing equity base provide some stability, but a meaningful inflection in profitability and cash generation is needed before the outlook improves.
Shenghui Cleanness Group Holdings Limited (2521) vs. iShares MSCI Hong Kong ETF (EWH)
- Market Cap
- HKD 1.80B
- Dividend Yield
- ―
- Average Volume (3M)
- 1.12M
- Price to Earnings (P/E)
- 49.3
- Beta (1Y)
- 0.46
- Revenue Growth
- 2.78%
- EPS Growth
- -41.23%
- Country
- Hong Kong
- Employees
- 7,902
- Sector
- Consumer Cyclical
- Sector Strength
- 61
- Industry
- Specialty Business Services
Shenghui Cleanness Group Holdings Limited Business Overview & Revenue Model
Company Description
Shenghui Cleanness Group Holdings Limited, an investment holding company, engages in the provision of cleaning and maintenance services in the People's Republic of China. The company provides garbage collection and transportation, basic cleaning and...
How the Company Makes Money
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Shenghui Cleanness Group Holdings Limited Financial Statement Overview
Summary
Financials are weak overall. Revenue growth is strong (+27% in 2025 to ~HK$677m), but profitability has eroded sharply: net margin fell from 7.1% to 3.8%, EBIT margin halved to 4.1%, and net income nearly halved to HK$25.8m. Cash flow is the biggest concern, with negative free cash flow in four of the last five years (HK$-32m in 2025) and poor conversion of earnings into cash. The balance sheet is the relative bright spot, with low leverage (D/E 0.18) and equity grown to HK$455m, though debt jumped from HK$7m to HK$82m in two years while ROE collapsed from 28% to 5.7%.
Income Statement
38NegativeBalance Sheet
55NeutralCash Flow
25Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 690.34M | 676.93M | 673.56M | 630.17M | 594.20M | 563.54M |
| Gross Profit | 102.46M | 115.30M | 100.70M | 93.44M | 109.05M | 106.71M |
| EBITDA | 20.89M | 37.38M | 29.58M | 36.81M | 44.16M | 49.85M |
| Net Income | 29.84M | 25.84M | 49.23M | 27.89M | 34.39M | 39.92M |
Balance Sheet | ||||||
| Total Assets | 695.12M | 671.84M | 570.32M | 440.35M | 354.98M | 340.15M |
| Cash, Cash Equivalents and Short-Term Investments | 50.38M | 68.14M | 94.76M | 148.57M | 60.67M | 70.43M |
| Total Debt | 88.63M | 81.73M | 59.75M | 6.93M | 7.20M | 17.45M |
| Total Liabilities | 222.98M | 212.36M | 185.42M | 141.53M | 156.22M | 165.66M |
| Stockholders Equity | 467.59M | 454.78M | 384.90M | 298.82M | 177.03M | 142.64M |
Cash Flow | ||||||
| Free Cash Flow | -53.35M | -32.29M | -71.81M | -4.86M | 4.47M | 13.12M |
| Operating Cash Flow | 591.18K | 20.90M | -53.10M | 6.87M | 6.73M | 18.03M |
| Investing Cash Flow | -93.47M | -107.40M | -79.77M | -11.63M | 1.82M | -7.42M |
| Financing Cash Flow | 38.04M | 62.72M | 75.41M | 98.61M | -5.07M | -22.75M |
Shenghui Cleanness Group Holdings Limited Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2521, the sentiment is Positive. The current price of 0.93 is above the 20-day moving average (MA) of 0.88, above the 50-day MA of 0.91, and below the 200-day MA of 0.99, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 54.25 is Neutral, neither overbought nor oversold. The STOCH value of 30.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2521.
Shenghui Cleanness Group Holdings Limited Peers Comparison
Overall Rating
HK:116181Outperform
HK:183068Neutral
HK:091950Neutral
HK:829646.9Neutral- HK:252142Neutral
HK:102739Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| HK:1161 | 81Outperform | HKD 857.50M | 9.16 | 25.27% | 5.95% | 3.38% | 15.10% |
| HK:1830 | 68Neutral | HKD 1.43B | 8.01 | 43.78% | 12.76% | -14.68% | -13.60% |
| Sector * | 61Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% |
| HK:0919 | 50Neutral | HKD 67.84M | -37.50 | -0.93% | ― | -2.31% | 66.07% |
| HK:8296 | 47Neutral | HKD 17.95M | -0.76 | -17.95% | ― | -26.00% | -188.55% |
| HK:2521 | 42Neutral | HKD 1.80B | 49.26 | 6.47% | ― | 2.78% | -41.23% |
| HK:1027 | 39Underperform | HKD 1.02B | -32.49 | -11.19% | ― | -31.52% | -240.59% |
* Consumer Cyclical Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| HK:2521 | Shenghui Cleanness Group Holdings Limited | 0.93 | 0.53 | 131.25% | |
| HK:1161 | Water Oasis Group | 1.26 | 0.39 | 45.50% | |
| HK:0919 | Modern Healthcare Technology Holdings Limited | 0.07 | 0.00 | 4.17% | |
| HK:1027 | China Jicheng Holdings Limited | 2.44 | -1.77 | -42.02% | |
| HK:1830 | Perfect Medical Health Management Limited | 1.14 | -0.08 | -6.79% | |
| HK:8296 | Sino-Life Group Limited | 0.19 | -0.19 | -50.00% |
Shenghui Cleanness Group Holdings Limited Corporate Events
Shenghui Cleanness Updates Board and Committee Structure
Shenghui Cleanness Group Holdings Limited, incorporated in the Cayman Islands and listed in Hong Kong under stock code 2521, operates in the cleanness and hygiene services and products sector. The company is overseen by a board comprising executive a...
Shenghui Cleanness Strengthens Board with Appointment of Technology Executive
Shenghui Cleanness Group Holdings Limited has appointed Mr. Shao Bo as an executive director with effect from 17 September 2026, strengthening its leadership team as it develops its technology and cleanness-focused operations in China. Shao, who curr...
Shenghui Cleanness Group Publishes Unaudited Interim Results for First Half of 2026
Shenghui Cleanness Group Holdings Limited announced its unaudited condensed consolidated interim results for the six months ended 30 June 2026. The disclosure forms part of the company’s 2026 Interim Report and is intended to meet the informati...
Shenghui Cleanness Sets Board Meeting to Review 2026 Interim Results and Dividend
Shenghui Cleanness Group Holdings Limited, a Hong Kong-listed provider of cleanness and hygiene services incorporated in the Cayman Islands, is overseen by a board that includes co-chairman and chief executive officer Li Chenghua alongside other exec...
Shenghui Cleanness Teams with Tsinghua Institute on Water-Industry AI Innovation Centre
Shenghui Cleanness Group Holdings Limited has signed a cooperation agreement with the Research Institute of Tsinghua University in Shenzhen to jointly establish an innovation centre for industrial embodied intelligence focused on the water industry....
Shenghui Cleanness Co-chairman Sells Stake, Controlling Shareholder Status Lost
Shenghui Cleanness Group Holdings Limited announced a significant change in its shareholder structure after Prosperity Cleanness Investment Holdings Limited sold 175,476,150 shares, equal to about 9% of the company’s issued share capital. Follo...
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Oct 17, 2026