Wanjia Group Holdings Ltd. (0401) AI Stock Analysis

• Market Cap: HK$58.82M
• Dividend Yield: N/A
• Average Volume (3M): 589.99K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.38
• Revenue Growth: -4.50%
• EPS Growth: 75.98%
• Country: HK
• Employees: 155
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Distribution
• EPS (TTM): >-0.01
• Shares Outstanding: 560,222,170
• 10 Day Avg. Volume: 1,113,336
• 30 Day Avg. Volume: 589,992
• PEG Ratio: 0.09
• Price to Book (P/B): 0.70
• Price to Sales (P/S): 0.29
• P/FCF Ratio: 4.74
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: HK$0.09 ▲(2.22% Upside)

Overall score is dragged down primarily by weak financial performance (declining revenue and ongoing losses) and bearish technicals (price below key moving averages with negative MACD). Moderate leverage and positive operating cash flow provide limited support, while a negative P/E and no dividend yield data reduce valuation attractiveness.

Positive Factors

Cash Generation Ability

Positive operating cash flow indicates the company's ability to generate cash from its core operations, which is crucial for sustaining business activities and funding growth.

Leverage Management

A moderate debt-to-equity ratio reflects prudent leverage management, providing the company with financial flexibility to navigate economic uncertainties.

Gross Profit Margin Stability

Stable gross profit margins suggest effective cost management and pricing strategies, which can support profitability despite revenue challenges.

Negative Factors

Revenue Decline

Declining revenue growth indicates challenges in maintaining market share or demand, which could impact long-term financial health and strategic positioning.

Profitability Challenges

Negative net profit margins highlight profitability issues, which can strain resources and limit the company's ability to invest in growth opportunities.

Free Cash Flow Decline

Negative free cash flow growth suggests difficulties in generating sufficient cash after capital expenditures, potentially affecting future investments and debt servicing.

Wanjia Group Holdings Ltd. Business Overview & Revenue Model

Company Description

Wanjia Group Holdings Limited, an investment holding company, engages in pharmaceutical wholesale and distribution business in the People's Republic of China and Hong Kong. It also offers hemodialysis treatment and consultancy services. The company sells its products to hospitals and healthcare institutions; and companies operating pharmaceutical retail chain stores, independent pharmacies, outpatient departments of community hospitals, healthcare service stations, and clinics in Fujian province. Wanjia Group Holdings Limited was founded in 2004 and is headquartered in Kowloon, Hong Kong.

How the Company Makes Money

Wanjia Group Holdings Ltd. generates revenue primarily through property rental income, sales of developed properties, and management fees associated with its real estate projects. The company's revenue model is supported by a mix of long-term leases and short-term rentals, which provide a steady cash flow. Additionally, the group engages in strategic partnerships within the real estate sector to enhance its development capabilities and expand its market reach. The performance of Wanjia Group is influenced by factors such as property market trends, investment demand, and the overall economic environment in the regions where it operates.

Wanjia Group Holdings Ltd. Financial Statement Overview

Summary

Wanjia Group Holdings Ltd. faces significant financial challenges, with declining revenues and persistent losses impacting profitability. While leverage is moderate, the company's ability to generate positive cash flow is a positive aspect. Continued focus on improving operational efficiency and revenue growth is essential for future stability.

Income Statement

The company has experienced declining revenue growth, with a negative growth rate of -5.67% in the latest period. Gross profit margin remains relatively stable at 31.14%, but net profit margin is negative, indicating ongoing losses. EBIT and EBITDA margins are also low, reflecting operational challenges.

Balance Sheet

The debt-to-equity ratio is moderate at 0.175, suggesting manageable leverage. However, the company has struggled with profitability, as indicated by negative return on equity in recent years. The equity ratio is not provided, but the balance sheet shows a stable equity base.

Cash Flow

Operating cash flow is positive, but free cash flow growth is negative at -3.23%. The free cash flow to net income ratio is high, indicating efficient cash generation relative to net income, despite overall financial challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	200.69M	161.69M	181.09M	173.70M	154.82M	114.09M
Gross Profit	62.30M	50.35M	54.74M	56.94M	54.23M	41.34M
EBITDA	-135.00K	4.13M	-29.02M	16.40M	-34.64M	8.16M
Net Income	-10.55M	-6.62M	-39.98M	1.82M	-51.00M	-4.54M
Balance Sheet
Total Assets	106.82M	106.82M	117.10M	173.45M	191.82M	223.59M
Cash, Cash Equivalents and Short-Term Investments	24.08M	24.08M	18.23M	9.88M	5.77M	25.10M
Total Debt	11.72M	11.72M	15.60M	25.17M	24.49M	29.17M
Total Liabilities	38.19M	38.19M	41.91M	53.22M	63.72M	52.51M
Stockholders Equity	66.88M	66.88M	73.49M	118.20M	126.18M	169.31M
Cash Flow
Free Cash Flow	9.92M	9.92M	5.89M	5.47M	-4.86M	-4.34M
Operating Cash Flow	10.65M	10.65M	9.30M	9.38M	2.12M	7.61M
Investing Cash Flow	-697.00K	-697.00K	674.00K	-3.84M	-6.93M	-11.84M
Financing Cash Flow	-3.71M	-3.71M	-1.04M	-802.00K	-14.97M	4.33M

Wanjia Group Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.09
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0401, the sentiment is Negative. The current price of 0.09 is below the 20-day moving average (MA) of 0.11, below the 50-day MA of 0.13, and below the 200-day MA of 0.09, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 39.89 is Neutral, neither overbought nor oversold. The STOCH value of 31.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0401.

Wanjia Group Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2192	74 Outperform	HK$8.75B	24.83	6.77%	2.72%	29.81%	10.40%
8372	68 Neutral	HK$100.00M	9.92	9.25%	1.89%	27.91%	18.87%
1931	62 Neutral	HK$3.78B	20.09	5.07%	3.81%	0.33%	-44.28%
2289	60 Neutral	HK$786.24M	15.08	8.12%	8.03%	―	―
0673	52 Neutral	HK$1.06B	-7.66	-465.55%	―	-17.39%	-45.76%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
0401	46 Neutral	HK$58.82M	-6.86	-11.91%	―	-4.50%	75.98%

Wanjia Group Holdings Ltd. Corporate Events

Wanjia Group to Double Authorised Share Capital and Launch HK$40–47 Million Rights Issue

Wanjia Group Holdings Limited plans to double its authorised share capital from HK$50 million to HK$100 million by increasing the number of authorised shares from 1 billion to 2 billion, subject to shareholder approval at an extraordinary general meeting. Conditional on this increase and independent shareholders’ approval, the company will launch a rights issue of one new share for every existing share held at a subscription price of HK$0.08 per rights share, aiming to raise gross proceeds of approximately HK$44.82 million to HK$51.28 million and net proceeds of around HK$40.82 million to HK$47.28 million. The offer will be available only to qualifying shareholders, with compensatory placing arrangements in place, and is intended to strengthen the company’s capital base and provide funding flexibility, which may have implications for existing shareholders through equity dilution balanced against improved liquidity and funding capacity.

The most recent analyst rating on (HK:0401) stock is a Hold with a HK$0.14 price target. To see the full list of analyst forecasts on Wanjia Group Holdings Ltd. stock, see the HK:0401 Stock Forecast page.

Wanjia Group Holdings Reports Revenue Growth but Faces Operational Loss

Wanjia Group Holdings Ltd. reported a slight increase in revenue for the six months ended September 30, 2025, driven by growth in its Hemodialysis Business. However, the company experienced a loss of HK$0.712 million compared to a profit in the previous year, with no interim dividend declared, indicating financial challenges despite revenue growth.

Wanjia Group Holdings to Review Interim Results and Dividend

Wanjia Group Holdings Limited has announced that its Board of Directors will hold a meeting on November 19, 2025, to discuss several key issues. The meeting will focus on approving the unaudited interim results for the six months ending September 30, 2025, considering the payment of an interim dividend, and potentially closing the register of members. This meeting is significant as it will determine the financial direction of the company and could impact shareholder returns and market perception.

Wanjia Group’s Subsidiary Faces Temporary Suspension Over Compliance Issues

Wanjia Group Holdings Ltd. announced that its subsidiary, Wuhua Yongke Kidney Hemodialysis Company, received a notice from Wuhua County Medical Insurance Management Centre due to non-compliance with prescription practices. This has led to a temporary suspension of their Insurance Service Agreement for 61 days. The company is implementing rectification measures to address the issue and ensure compliance, while redirecting patients to other centers. The suspension is not expected to have a material adverse impact on the company’s overall financial position or operations.