Global Bio-chem Technology Group Co. Ltd. (0809) AI Stock Analysis

• Market Cap: HK$801.67M
• Dividend Yield: N/A
• Average Volume (3M): 5.87M
• Price to Earnings (P/E): 1.0
• Beta (1Y): -0.01
• Revenue Growth: 45.65%
• EPS Growth: -81.70%
• Country: HK
• Employees: 1,567
• Sector: Basic Materials
• Sector Strength: 73
• Industry: Packaged Foods
• EPS (TTM): 0.10
• Shares Outstanding: 8,907,405,000
• 10 Day Avg. Volume: 1,136,200
• 30 Day Avg. Volume: 5,866,426
• PEG Ratio: 0.06
• Price to Book (P/B): -0.25
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.44
• 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: 46 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

Global Bio-chem Technology Group Co. Ltd. faces substantial financial challenges, with high leverage and negative equity as key risks. While technical indicators show positive momentum, overbought signals suggest caution. The low P/E ratio points to undervaluation, but reflects underlying financial instability.

Global Bio-chem Technology Group Co. Ltd. Business Overview & Revenue Model

Company Description

Global Bio-chem Technology Group Co. Ltd. (0809) is a prominent biotechnology company headquartered in Hong Kong that specializes in the research, development, manufacturing, and sale of corn-based biochemical products. The company's operations are primarily focused on producing a wide range of products, including amino acids, corn sweeteners, modified starch, and other bio-chemical products. These products are used in various sectors such as food and beverages, pharmaceuticals, and animal feed industries.

How the Company Makes Money

Global Bio-chem Technology Group Co. Ltd. generates revenue through the sale of its corn-based biochemical products. The company's key revenue streams include the production and distribution of amino acids like lysine and threonine, which are essential additives in animal feed to enhance growth and productivity. Additionally, the company sells corn sweeteners and modified starch products to the food and beverage industry, where they are used as ingredients in various consumables. Partnerships with agricultural suppliers and industrial manufacturers, along with a robust supply chain network, contribute significantly to the company's earnings by ensuring a steady supply of raw materials and distribution of finished products. The company's strategic focus on innovation and expanding its product offerings in the biochemical sector also plays a crucial role in sustaining and growing its revenue.

Global Bio-chem Technology Group Co. Ltd. Financial Statement Overview

Summary

The company's financial performance is weak, with a combination of negative stockholders' equity, high leverage, and inconsistent cash flows. Despite recent improvements in revenue and operating cash flow, the negative EBIT and overall financial distress significantly impact the score.

Income Statement

The company shows significant volatility in revenue, with a recent increase from 2022 to 2023, but overall negative EBIT and net income suggest underlying profitability issues. The negative EBIT margin underscores operational challenges, while EBITDA margin turning positive in 2024 reflects some improvement in operating efficiency.

Balance Sheet

The company faces severe financial instability with negative stockholders' equity reflecting balance sheet insolvency, and a high debt-to-equity ratio indicating excessive leverage. The negative equity ratio further highlights financial distress, posing considerable risks.

Cash Flow

Cash flow from operations has improved from negative to positive in 2024, indicating better cash management. However, the free cash flow still faces challenges due to historical negative trends, and the operating cash flow to net income ratio is volatile, highlighting cash flow unpredictability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.00B	1.37B	372.28M	746.55M	848.87M
Gross Profit	218.68M	43.64M	34.60M	48.35M	74.10M
EBITDA	16.85M	4.69B	-469.06M	785.63M	-1.39B
Net Income	769.60M	4.22B	-1.52B	-435.39M	-2.43B
Balance Sheet
Total Assets	4.54B	5.21B	5.85B	6.48B	7.60B
Cash, Cash Equivalents and Short-Term Investments	149.43M	315.41M	41.77M	21.81M	153.32M
Total Debt	3.69B	5.45B	8.15B	8.44B	8.96B
Total Liabilities	6.50B	9.25B	13.64B	13.18B	13.62B
Stockholders Equity	-1.95B	-4.04B	-7.54B	-6.52B	-5.86B
Cash Flow
Free Cash Flow	76.04M	-94.24M	-94.19M	-501.02M	-43.02M
Operating Cash Flow	76.04M	-50.46M	-88.01M	-475.21M	-26.19M
Investing Cash Flow	-535.00K	-14.37M	-413.00K	392.59M	120.09M
Financing Cash Flow	-76.06M	165.81M	109.75M	-48.66M	-25.87M

Global Bio-chem Technology Group Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.09
• 50DMA: Positive
• 100DMA: Positive
• 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:0809, the sentiment is Positive. The current price of 0.09 is above the 20-day moving average (MA) of 0.08, above the 50-day MA of 0.08, and above the 200-day MA of 0.08, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 63.53 is Neutral, neither overbought nor oversold. The STOCH value of 53.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0809.

Global Bio-chem Technology Group Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2317	77 Outperform	HK$883.19M	7.06	5.39%	15.34%	-1.88%	129.25%
3838	71 Outperform	HK$1.16B	2.21	12.45%	5.05%	-5.08%	359.16%
1767	71 Outperform	HK$335.00M	9.08	8.18%	0.69%	>-0.01%	16.04%
Sector *	58 Neutral	HK$17.13B	4.61	-6.43%	5.19%	-3.18%	-62.89%
0829	56 Neutral	HK$904.53M	31.46	1.14%	14.29%	-10.03%	-14.29%
2147	51 Neutral	HK$41.44M	―	-12.63%	―	32.15%	-171.32%
0809	46 Neutral	HK$801.67M	1.04		―	45.65%	-81.70%

Global Bio-chem Technology Group Co. Ltd. Corporate Events

Global Bio-chem Advances Debt Restructuring with Equity Swap and Supplier Settlements

Global Bio-chem Technology Group Co. Ltd. has announced the completion of a Debt-to-Equity-Swap Agreement, resulting in Suppliers PRC LLPs holding a 28.98% equity interest in Century Dacheng. The company is progressing with its Suppliers Debt Restructuring Arrangement, expected to conclude by the end of 2025, pending necessary approvals. Concurrently, the company has reached settlement agreements with 33 remaining suppliers involving a significant debt discount, resulting in a projected net gain of no less than HK$17.0 million. These strategic financial maneuvers are aimed at stabilizing the company’s financial position and enhancing its operational capabilities.

Global Bio-chem Initiates Debt Restructuring to Strengthen Financial Position

Global Bio-chem Technology Group Co. Ltd. has announced a Suppliers Debt Restructuring Arrangement to address overdue payables amounting to RMB461.1 million, involving over 130 independent suppliers. This arrangement includes a debt-to-equity conversion and an equity swap, ultimately allowing suppliers to convert their debt into equity in a subsidiary, Century Dacheng, and then into shares of the company. This strategic move is expected to result in a net gain of no less than HK$190.0 million for the company, improving its financial standing and potentially enhancing shareholder value.

Global Bio-chem Relaunches Boiler Refurbishment Project via Public Tender

Global Bio-chem Technology Group Co. Ltd. has announced the relaunch of the Boiler Refurbishment Project at Changchun Dahe, which involves entering into an EPC Contract through a public tender process. The tender, which commenced on May 26, 2025, will determine the contractor responsible for engineering design, procurement, and construction works. The project is significant as it may constitute a discloseable transaction under the Listing Rules, potentially impacting the company’s operations and market positioning.

Global Bio-chem Partners with Hefei Hechen to Boost Synthetic Biology

Global Bio-chem Technology Group Co. Ltd. has entered into a strategic cooperation framework agreement with Hefei Hechen Bio-tech Company Limited to establish a synthetic biology pilot testing platform at its Xinglongshan production site. This collaboration aims to leverage both companies’ strengths in synthetic biology to support the development of bio-manufacturing industries in Jilin Province. The initiative marks a significant step towards resuming operations at the Xinglongshan site, which is expected to improve operational efficiency and strengthen the company’s working capital.

Global Bio-chem Technology’s AGM Resolutions Approved

Global Bio-chem Technology Group Co. Ltd. announced that all resolutions proposed at its Annual General Meeting were approved by shareholders. The resolutions included the re-election of directors, approval of financial statements, and granting of mandates for share dealings, indicating strong shareholder support and potentially enhancing the company’s governance and operational flexibility.

Global Bio-chem Technology Announces 2025 AGM and Key Resolutions

Global Bio-chem Technology Group Co. Ltd. has announced its upcoming annual general meeting scheduled for May 9, 2025, in Hong Kong. Key agenda items include the approval of the 2024 financial statements, re-election of directors, and authorization for the board to manage director and auditor remunerations. Additionally, the company seeks approval to allot and issue new shares, which could impact its capital structure and shareholder value.