JiaHua Stores Holdings Limited (0602) AI Stock Analysis

• Market Cap: HK$47.73M
• Dividend Yield: N/A
• Average Volume (3M): 965.83K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.73
• Revenue Growth: 5.21%
• EPS Growth: 63.74%
• Country: HK
• Employees: 582
• Sector: Consumer Cyclical
• Sector Strength: 58
• Industry: Department Stores
• EPS (TTM): -0.06
• Shares Outstanding: 1,037,500,000
• 10 Day Avg. Volume: 950,250
• 30 Day Avg. Volume: 965,833
• PEG Ratio: -0.12
• Price to Book (P/B): 0.37
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.77
• 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: 39 Underperform
• Price Target: ―

JiaHua Stores Holdings Limited faces significant financial instability, characterized by negative profitability, high leverage, and declining cash flow. Technical indicators provide mixed signals, with short-term upward momentum but potential overbought conditions. The negative P/E ratio underscores profitability challenges, with no dividend yield to attract income investors. Overall, the stock requires careful consideration given the financial risks and technical volatility.

JiaHua Stores Holdings Limited Business Overview & Revenue Model

Company Description

Jiahua Stores Holdings Limited, an investment holding company, operates and manages retail stores and other related businesses in the People's Republic of China. It also provides commercial factoring and supply chain financing services, as well as operates and manages shopping malls. In addition, the company operates and manages online sale. The company is headquartered in Kowloon, Hong Kong.

How the Company Makes Money

JiaHua Stores Holdings Limited Financial Statement Overview

Summary

JiaHua Stores Holdings Limited is facing significant financial challenges, with negative profitability metrics, high leverage, and declining cash flow generation. While there are some improvements in revenue and gross profit margins, the company's overall financial health is concerning, requiring strategic actions to stabilize and improve its financial standing.

Income Statement

The company experienced fluctuations in revenue, with a slight increase of 7.04% in 2024. Gross profit margin improved to 60.12% in 2024 from 50.42% in 2023, indicating better cost management. However, the net profit margin remained negative, at -14.71% in 2024, reflecting ongoing losses. EBIT and EBITDA margins also show negative trends, highlighting profitability challenges.

Balance Sheet

The company's balance sheet reveals financial instability. The debt-to-equity ratio is undefined due to negative equity, indicating excessive leverage. The return on equity is also undefined, and the equity ratio is negative due to accumulated losses. These factors suggest a weakened financial position and potential risks related to high debt levels.

Cash Flow

The cash flow statement shows a concerning trend with operating cash flow dropping to zero in 2024. The company previously had positive free cash flow, but the growth rate is undefined due to zero values in the latest period. This suggests potential cash flow pressure and inability to cover operational needs from cash generated.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
378.90M	353.97M	335.27M	434.24M	428.06M
	Gross Profit
227.78M	178.42M	166.39M	199.75M	218.80M
	EBIT
-10.46M	-91.10M	-49.90M	-48.84M	-27.09M
	EBITDA
74.29M	6.41M	48.74M	71.63M	-9.40M
	Net Income Common Stockholders
-55.73M	-152.58M	-107.90M	-100.11M	-194.46M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
25.09M	40.00M	66.17M	26.11M	76.62M
	Total Assets
809.75M	897.38M	896.43M	1.03B	1.19B
	Total Debt
586.94M	632.48M	574.82M	566.89M	605.78M
	Net Debt
561.86M	592.48M	508.65M	540.78M	529.16M
	Total Liabilities
878.64M	910.54M	765.02M	786.04M	852.71M
	Stockholders Equity
-68.89M	-13.17M	131.41M	239.31M	339.42M
Cash Flow		Free Cash Flow
0.00	76.31M	62.81M	23.96M	-1.50M
	Operating Cash Flow
0.00	107.67M	72.41M	69.84M	77.77M
	Investing Cash Flow
0.00	-34.65M	-10.74M	-41.88M	-58.45M
	Financing Cash Flow
0.00	-99.19M	-21.61M	-78.47M	-40.43M

JiaHua Stores Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.05
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0602, the sentiment is Positive. The current price of 0.05 is above the 20-day moving average (MA) of 0.04, above the 50-day MA of 0.04, and above the 200-day MA of 0.03, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 95.31 is Negative, neither overbought nor oversold. The STOCH value of 82.04 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0602.

JiaHua Stores Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$6.82B	11.05	2.80%	4.32%	2.67%	-24.92%
0334	61 Neutral	€436.16M	6.10	6.28%	―	73.34%	416.67%
0312	46 Neutral	HK$251.96M	―	-4.40%	―	3.10%	90.13%
0984	42 Neutral	€109.20M	―		11.11%	-6.87%	-79.20%
0602	39 Underperform	HK$47.73M	―	-489.64%	―	5.21%	63.74%

JiaHua Stores Holdings Limited Corporate Events

JiaHua Stores Holdings Limited Announces 2025 AGM with Key Resolutions

JiaHua Stores Holdings Limited has announced its upcoming Annual General Meeting (AGM) scheduled for June 11, 2025, in Shenzhen, China. The AGM will address several key resolutions, including the approval of the 2024 financial statements, re-election of directors, re-appointment of BDO Limited as independent auditor, and authorization for the board to issue additional shares. These resolutions are crucial for maintaining corporate governance and ensuring the company’s strategic flexibility in capital management.

Jiahua Stores Reports Increased Revenue but Faces Financial Losses in 2024

Jiahua Stores Holdings Limited reported a 7% increase in revenue to approximately RMB378.9 million for the year ending December 31, 2024. Despite the revenue growth, the company experienced a significant decrease in gross profit by 15.7% and recorded a loss of RMB55.7 million attributable to its owners. The company did not recommend a final dividend, indicating financial challenges that may impact its market positioning and stakeholder confidence.

JiaHua Stores Holdings Limited Reports Significant Reduction in Annual Losses

JiaHua Stores Holdings Limited announced a significant reduction in its expected losses for the fiscal year ending December 31, 2024, with projected losses ranging from RMB54 million to RMB58 million, compared to RMB152.6 million in the previous year. This improvement is attributed to increased rental income from sub-leasing, decreased impairment losses, and streamlined administrative costs, indicating a positive shift in the company’s financial management and operational efficiency.

JiaHua Stores Renews Car Parking Agreements with Baijiahua Commercial Management

JiaHua Stores Holdings Limited has announced the renewal of Car Parking Fee Agreements with Baijiahua Commercial Management for the continued use of car parking spaces at Jiahua Lingyu Plaza Phase II and Jiahua Linghui Plaza Phase II. These agreements, effective from January 1, 2025, to December 31, 2026, allow Baijiahua Commercial Management to utilize the parking facilities based on actual usage, with a maximum annual fee of RMB4,320,000. This transaction is classified as a continuing connected transaction under the Listing Rules, but it is exempt from independent shareholders’ approval due to the transaction’s size.

JiaHua Stores Holdings to Review Year-End Financials and Dividend

JiaHua Stores Holdings Limited has announced a board meeting scheduled for March 27, 2025, to review and approve the company’s financial results for the year ending December 31, 2024. The meeting will also consider the recommendation of a final dividend, which could impact shareholder returns and reflect the company’s financial health.