C-MER Eye Care Holdings Limited (3309) AI Stock Analysis

• Market Cap: HK$2.15B
• Dividend Yield: N/A
• Average Volume (3M): 667.40K
• Price to Earnings (P/E): 33.9
• Beta (1Y): 1.10
• Revenue Growth: -0.56%
• EPS Growth: -323.09%
• Country: HK
• Employees: 2,041
• Sector: Healthcare
• Sector Strength: 50
• Industry: Medical - Care Facilities
• EPS (TTM): -0.11
• Shares Outstanding: 1,255,560,900
• 10 Day Avg. Volume: 555,400
• 30 Day Avg. Volume: 667,400
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• 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

C-MER Eye Care Holdings Limited is facing significant financial challenges, notably in declining profitability and cash flow. While it maintains a strong equity position and low leverage, these strengths are overshadowed by negative growth and profitability concerns. Technical analysis offers some hope of short-term upward momentum, but caution is advised due to potential overbought conditions. The unattractive valuation, marked by a negative P/E ratio and lack of dividends, further weighs on the overall outlook.

C-MER Eye Care Holdings Limited Business Overview & Revenue Model

Company Description

C-MER Eye Care Holdings Limited, an investment holding company, provides ophthalmic services under the C-MER Dennis Lam brand name in Hong Kong and Mainland China. The company operates eye and surgery centers, and satellite clinics that provide cataract and intraocular lens implant, refractive correction, corneal and external eye disease, glaucoma, vitreo-retinal disease, oculoplastic and orbital disease, and squint and pediatric ophthalmology services. It also sells vision aid and pharmaceutical products, as well as dental services. The company was founded in 2012 and is headquartered in Central, Hong Kong. C-MER Eye Care Holdings Limited is a subsidiary of C-MER Group Limited.

How the Company Makes Money

C-MER Eye Care Holdings Limited generates revenue primarily through its extensive network of eye care clinics and hospitals. The company charges fees for various eye care services, including consultations, diagnostic tests, and surgical procedures such as cataract surgeries and refractive surgeries for vision correction. Additionally, they offer specialized treatments for myopia management and other ophthalmic conditions, which also contribute to their income. C-MER Eye Care's revenue model is further supported by partnerships with healthcare institutions and insurance providers, which help streamline patient referrals and payments. The company's investment in advanced medical technology and skilled personnel enhances its service offerings, thereby attracting a steady stream of patients and ensuring a significant market presence.

C-MER Eye Care Holdings Limited Financial Statement Overview

Summary

C-MER Eye Care Holdings Limited is experiencing financial challenges, evident from declining profitability and cash flow in 2024. The company has maintained a strong equity position and low leverage, but negative growth in revenue and net income raises concerns about future performance. Strengths include a conservative balance sheet, but immediate attention is needed on profitability and cash flow generation to support long-term stability.

Income Statement

C-MER Eye Care Holdings Limited shows a mixed performance. The gross profit margin for 2024 is approximately 31.2%, indicating a decline from the previous year's 32.2%. The net profit margin turned negative in 2024 at -7.1%, down from 3.2% in 2023, reflecting a significant drop in profitability. Revenue growth is negative at -0.6% from 2023 to 2024. The EBIT margin is negative at -3.5% in 2024, down from 6.2% in 2023, and the EBITDA margin also decreased from 18.7% to 10.9%.

Balance Sheet

The company maintains a relatively stable equity position with an equity ratio of approximately 64.4% in 2024. The debt-to-equity ratio is 0.25, indicating a conservative leverage approach. However, return on equity has turned negative in 2024 at -7.7%, contrasting with a positive ROE of 3.4% in 2023, highlighting recent challenges in generating returns for shareholders.

Cash Flow

C-MER Eye Care Holdings Limited faced challenges with cash flow in 2024. Operating cash flow and free cash flow are reported as zero, which is concerning compared to the positive free cash flow of 245 million in 2023. This suggests potential issues with cash generation and management, impacting the company's ability to fund operations and growth.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.91B	1.92B	1.73B	1.11B	699.54M
	Gross Profit
527.62M	618.96M	365.34M	309.44M	163.65M
	EBIT
-66.16M	119.34M	-24.43M	-2.33M	-13.72M
	EBITDA
209.18M	359.88M	194.31M	177.80M	126.69M
	Net Income Common Stockholders
-135.16M	62.00M	-21.88M	21.86M	-6.25M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
467.25M	557.42M	698.51M	442.36M	553.93M
	Total Assets
2.72B	2.75B	2.90B	1.96B	1.63B
	Total Debt
437.79M	362.99M	452.49M	471.69M	244.97M
	Net Debt
14.71M	-149.77M	-192.21M	85.03M	-308.97M
	Total Liabilities
830.24M	755.35M	903.45M	618.63M	331.98M
	Stockholders Equity
1.75B	1.85B	1.87B	1.33B	1.29B
Cash Flow		Free Cash Flow
123.58M	245.30M	100.63M	19.18M	-233.39M
	Operating Cash Flow
283.12M	361.15M	191.86M	148.41M	104.03M
	Investing Cash Flow
-174.72M	-245.37M	-210.65M	-392.72M	-157.94M
	Financing Cash Flow
-194.92M	-242.88M	281.64M	78.10M	322.37M

C-MER Eye Care Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.71
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3309, the sentiment is Positive. The current price of 1.71 is above the 20-day moving average (MA) of 1.56, above the 50-day MA of 1.64, and below the 200-day MA of 2.05, indicating a neutral trend. The MACD of 0.03 indicates Negative momentum. The RSI at 65.31 is Neutral, neither overbought nor oversold. The STOCH value of 98.15 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3309.

C-MER Eye Care Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2269	78 Outperform	$89.45B	25.43	8.17%	―	7.52%	-1.92%
1093	76 Outperform	$66.04B	14.33	13.20%	5.99%	-9.60%	-27.18%
1066	74 Outperform	$26.18B	11.73	8.95%	3.49%	-3.09%	0.67%
1110	70 Outperform	HK$339.64M	7.16	6.61%	6.50%	-3.59%	4.81%
1846	61 Neutral	HK$895.36M	11.23	7.39%	2.80%	0.20%	-36.95%
3309	55 Neutral	HK$2.15B	33.92	-7.51%	―	-0.56%	-323.09%
Sector *	52 Neutral	$5.17B	3.59	-42.19%	2.82%	15.05%	-0.04%

C-MER Eye Care Holdings Limited Corporate Events

C-MER Eye Care Holdings Announces AGM and Share Repurchase Plan

C-MER Eye Care Holdings Limited has announced its upcoming Annual General Meeting scheduled for May 19, 2025, where key agenda items include the approval of financial statements, the declaration of a final dividend, and the re-election of executive directors. Additionally, the company seeks shareholder approval to repurchase up to 10% of its issued shares, a move that could enhance shareholder value and reflect confidence in the company’s financial health.

C-MER Medical Holdings Declares Final Dividend for 2024

C-MER Medical Holdings Limited announced a final cash dividend of HKD 0.02 per share for the financial year ending December 31, 2024. This decision reflects the company’s financial health and commitment to returning value to shareholders, with the ex-dividend date set for June 29, 2025, and payment scheduled for July 15, 2025.

C-MER Medical Holdings Reports 2024 Annual Results with Revenue Decline

C-MER Medical Holdings Limited reported its annual results for the year ending December 31, 2024, showing a slight decline in revenue by 0.6% compared to the previous year. The company faced a significant drop in gross profit by 14.8% and reported a loss of HK$108,314,000 for the year, a stark contrast to the profit of HK$86,335,000 in 2023. The cessation of COVID-19 related medical consumables sales and significant non-cash impairments impacted the financial results. Despite these challenges, the adjusted profit for the year showed an increase of 11.9%, indicating some resilience in the company’s core operations.

C-MER Medical Holdings to Review Annual Results and Dividend Proposal

C-MER Medical Holdings Limited has announced that its board of directors will meet on March 21, 2025, to approve the annual results for the year ending December 31, 2024, and to consider the recommendation of a final dividend. This meeting could impact the company’s financial strategy and shareholder returns, reflecting its ongoing commitment to transparency and stakeholder engagement.