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YSB Inc. (HK:9885)
:9885
Hong Kong Market
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YSB Inc. (9885) AI Stock Analysis

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HK:9885

YSB Inc.

(9885)

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Neutral 59 (OpenAI - 5.2)
Rating:59Neutral
Price Target:
HK$4.00
▲(9.59% Upside)
Action:Reiterated
Date:07/15/26
The score is driven primarily by improving financial performance—profitability returning in 2025 and consistently positive, growing free cash flow—tempered by higher leverage and very thin margins. Technicals are a meaningful drag due to a sustained downtrend versus key moving averages, while reasonable valuation and a solid dividend yield provide partial support.
Positive Factors
Strong cash generation
Consistently positive operating and free cash flow through 2022–2025, with FCF rising ~27% in 2025, indicates durable internal funding. This supports reinvestment, dividends or debt reduction without relying on external capital, strengthening long-term financial resilience.
Negative Factors
Very thin margins
Gross margin near 11% and net margin below 1% are unusually low for a software application business, leaving minimal operating leverage. This makes profits highly sensitive to modest cost increases or pricing pressure and constrains capital for R&D or sales scale-ups.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong cash generation
Consistently positive operating and free cash flow through 2022–2025, with FCF rising ~27% in 2025, indicates durable internal funding. This supports reinvestment, dividends or debt reduction without relying on external capital, strengthening long-term financial resilience.
Read all positive factors

YSB Inc. (9885) vs. iShares MSCI Hong Kong ETF (EWH)

YSB Inc. Business Overview & Revenue Model

Company Description
YSB Inc. provides a comprehensive digital platform tailored for the Chinese pharmaceutical sector, supporting a wide array of stakeholders such as drug companies, distributors, vendors, pharmacies, and primary healthcare facilities. Its key offeri...

YSB Inc. Financial Statement Overview

Summary
Financials reflect a turnaround with steady revenue growth and a return to positive EBIT and net income in 2025, supported by consistently positive operating cash flow and strong free-cash-flow growth. Offsetting this, profitability remains very thin (low gross and net margins), and balance-sheet risk increased materially in 2025 as debt rose and leverage moved to about 1.13x debt-to-equity.
Income Statement
58
Neutral
Balance Sheet
49
Neutral
Cash Flow
72
Positive
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue20.97B17.90B16.97B14.27B10.09B
Gross Profit2.31B1.81B1.74B1.43B913.83M
EBITDA133.97M-42.13M-3.07B-1.35B-392.32M
Net Income152.97M30.01M-3.21B-1.50B-501.62M
Balance Sheet
Total Assets7.57B6.50B5.21B4.11B3.44B
Cash, Cash Equivalents and Short-Term Investments3.38B1.99B1.83B1.87B1.14B
Total Debt2.77B233.51M209.66M180.55M181.73M
Total Liabilities5.18B4.23B3.33B8.48B6.35B
Stockholders Equity2.44B2.32B1.92B-4.35B-2.90B
Cash Flow
Free Cash Flow619.46M632.46M433.65M54.49M-608.06M
Operating Cash Flow637.70M655.86M451.20M98.20M-487.09M
Investing Cash Flow-896.27M-253.58M-792.95M41.07M-352.80M
Financing Cash Flow-70.97M-109.81M255.34M261.93M1.12B

YSB Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
67
Neutral
HK$1.45B13.609.51%10.04%21.19%19.81%
65
Neutral
HK$26.55B93.133.02%0.10%16.98%
64
Neutral
HK$4.43B-42.02-6.21%-3.42%-13.93%
59
Neutral
HK$2.38B11.027.63%3.59%16.99%126.15%
56
Neutral
HK$1.77B22.5013.67%8.65%
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
40
Underperform
HK$3.40B-7.99-13.18%40.17%76.39%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:9885
YSB Inc.
3.50
-5.50
-61.10%
HK:8083
China Youzan
1.16
-1.92
-62.34%
HK:0268
Kingdee International Software Group Co
7.52
-8.75
-53.78%
HK:2013
Weimob
0.82
-1.57
-65.69%
HK:1588
Chanjet Information Technology Co., Ltd. Class H
4.46
-2.48
-35.73%
HK:6657
Baiwang Co., Ltd. Class H
11.66
-6.34
-35.22%

YSB Inc. Corporate Events

YSB Inc. Wins Extended Waiver for Joint Company Secretary Qualification
Jun 26, 2026
YSB Inc. has secured an extension from the Hong Kong Stock Exchange to continue a waiver related to the qualification requirements for its joint company secretary, Mr. Fei Chen, who also serves as executive director and chief financial officer. Al...
YSB Inc. Shareholders Back Dividend, Board and Capital Mandates at AGM
May 21, 2026
YSB Inc. said shareholders at its 21 May 2026 annual general meeting approved all resolutions, including the adoption of the 2025 audited accounts and a final dividend of RMB0.110 per share, signaling broad support for the company’s financia...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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: Jul 15, 2026