Shunten International (Holdings) Ltd. (0932) AI Stock Analysis

• Market Cap: HK$111.88M
• Dividend Yield: N/A
• Average Volume (3M): 22.21M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.09
• Revenue Growth: -3.05%
• EPS Growth: -204.26%
• Country: HK
• Employees: 245
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): >-0.01
• Shares Outstanding: 3,107,893,600
• 10 Day Avg. Volume: 34,092,400
• 30 Day Avg. Volume: 22,212,266
• PEG Ratio: <0.01
• Price to Book (P/B): 0.55
• Price to Sales (P/S): 0.36
• P/FCF Ratio: 3.15
• 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: 47 Neutral
• Price Target: HK$0.03 ▼(-17.50% Downside)

The score is held back primarily by weak profitability (negative margins and ROE) and bearish technicals (price below key moving averages, negative MACD, very low RSI). Positive free cash flow trends and manageable leverage provide some support, but the negative P/E underscores that the company is currently loss-making.

Positive Factors

High Gross Margin

A 77% gross margin provides a durable buffer versus input cost swings and supports gross profitability even with lower volumes. It indicates product-level pricing power or favorable input economics that could sustain recovery in operating profit if SG&A and overheads are addressed.

Strong Free Cash Flow Growth

Robust FCF growth and near-1 FCF-to-net-income imply the business converts accounting losses into cash and has internal funding for operations or capex. This improves financial flexibility over months, enabling reinvestment, debt servicing or strategic fixes without immediate external financing.

Diversified Trading and Manufacturing Model

A diversified mix across electronics, consumer goods and manufacturing services reduces single-market concentration risk. Broad supplier and customer relationships support resilience against demand disruption and allow cross-selling and footprint optimization over the medium term.

Negative Factors

Negative Profitability and ROE

Sustained negative net margins and deeply negative ROE indicate the firm destroys shareholder value and faces structural profitability issues. Without material operational fixes, these metrics signal prolonged equity erosion and difficulty justifying reinvestment over coming quarters.

Declining Revenue Trend

Consecutive revenue declines undermine scale economics and limit leverage of fixed costs. A persistent negative top-line trend suggests weakening demand or competitive loss, constraining margin recovery and making it harder to restore profitable growth without strategic repositioning.

Weak Cash Conversion from Earnings

Low OCF-to-net-income indicates earnings are poorly converted into cash, likely due to working capital or non-cash items. This structural cash conversion weakness raises liquidity risk, limits reinvestment capacity, and could force external funding if profitability fails to improve.

Shunten International (Holdings) Ltd. Business Overview & Revenue Model

Company Description

Shunten International (Holdings) Limited, an investment holding company, engages in marketing, sale, and distribution of health and beauty supplements and products in Hong Kong, Taiwan, and internationally. The company provides its products under its proprietary brands and private label brands. It is also involved in property investment, license and trademark holding, e-commerce promotion, Chinese medical consultation, and health food processing businesses. In addition, it sells and distributes healthcare products; trades in health supplements; and provides general administrative services. The company was formerly known as RM Group Holdings Limited and changed its name to Shunten International (Holdings) Limited in February 2018. Shunten International (Holdings) Limited was founded in 2002 and is headquartered in Kwai Chung, Hong Kong.

How the Company Makes Money

Shunten International generates revenue through multiple streams, primarily by engaging in the trading and manufacturing of consumer products. The company profits from direct sales of its products to retailers and wholesalers, leveraging its established supply chain and distribution networks. Additionally, Shunten International may earn income through partnerships with manufacturers and suppliers, allowing it to offer a wider range of products without incurring significant production costs. The company's revenue model may also include service agreements and contracts for custom manufacturing solutions, further diversifying its income sources.

Shunten International (Holdings) Ltd. Financial Statement Overview

Summary

The company faces challenges with declining revenue and negative profitability, as indicated by a negative net profit margin and declining EBIT and EBITDA margins. However, cash flow generation is a positive aspect, with strong free cash flow growth. The balance sheet shows manageable leverage but poor returns on equity.

Income Statement

The income statement shows a declining trend in revenue with a negative growth rate of -2.62% in the latest year. Gross profit margin remains strong at 77%, but the company struggles with profitability, evidenced by a negative net profit margin of -17.68% and declining EBIT and EBITDA margins. The company needs to address its cost structure and improve revenue growth to enhance profitability.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio of 0.94, indicating manageable leverage. However, the return on equity is negative at -26.53%, suggesting inefficiencies in generating returns for shareholders. The equity ratio is not explicitly calculated, but the company needs to focus on improving asset utilization and profitability to enhance shareholder value.

Cash Flow

Cash flow analysis shows a positive free cash flow growth rate of 30.24%, indicating improved cash generation. The operating cash flow to net income ratio is 0.17, suggesting some challenges in converting income into cash. However, the free cash flow to net income ratio is strong at 0.99, reflecting effective cash management despite profitability issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	205.05M	205.05M	235.59M	216.13M	155.64M	223.15M
Gross Profit	157.95M	157.95M	184.21M	166.31M	107.31M	161.45M
EBITDA	-14.67M	-14.67M	21.47M	55.24M	-18.47M	-76.59M
Net Income	-36.24M	-36.24M	571.00K	41.04M	-43.89M	-127.38M
Balance Sheet
Total Assets	288.90M	288.90M	344.33M	339.45M	246.77M	208.33M
Cash, Cash Equivalents and Short-Term Investments	5.53M	5.53M	12.70M	13.11M	35.28M	36.65M
Total Debt	128.92M	128.92M	122.18M	86.50M	121.54M	154.91M
Total Liabilities	153.56M	153.56M	172.73M	196.04M	144.12M	189.29M
Stockholders Equity	136.62M	136.62M	172.89M	146.01M	105.16M	21.05M
Cash Flow
Free Cash Flow	23.66M	23.66M	33.77M	2.94M	10.46M	31.05M
Operating Cash Flow	24.02M	24.02M	38.78M	4.84M	10.46M	31.18M
Investing Cash Flow	-342.00K	-342.00K	-4.95M	-15.27M	30.29M	4.21M
Financing Cash Flow	-30.84M	-30.84M	-34.10M	7.45M	-61.66M	-55.73M

Shunten International (Holdings) Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.04
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0932, the sentiment is Positive. The current price of 0.04 is above the 20-day moving average (MA) of 0.04, below the 50-day MA of 0.04, and above the 200-day MA of 0.03, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 50.90 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0932.

Shunten International (Holdings) Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1695	63 Neutral	HK$99.36M	3.95	11.24%	―	37.73%	150.54%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
8362	56 Neutral	HK$79.80M	-47.50	-1.83%	―	-0.97%	-140.00%
2147	51 Neutral	HK$42.00M	-0.31	-28.48%	―	56.39%	-86.79%
0932	47 Neutral	HK$111.88M	-2.52	-30.43%	―	-3.05%	-204.26%
1676	43 Neutral	HK$155.06M	-0.85	-70.35%	―	22.31%	2.36%
0841	43 Neutral	HK$140.33M	-1.20	-20.08%	―	75.21%	18.42%

Shunten International (Holdings) Ltd. Corporate Events

Shunten International Reports Interim Results with Adjusted Loss

Shunten International (Holdings) Limited reported its interim results for the six months ending September 30, 2025, showing a slight decrease in revenue from its health and beauty supplements and property investment businesses compared to the previous year. The company experienced a loss attributable to its owners, with adjusted net loss reflecting the exclusion of unrealized fair value changes in investment properties, indicating challenges in maintaining profitability.

The most recent analyst rating on (HK:0932) stock is a Hold with a HK$0.05 price target. To see the full list of analyst forecasts on Shunten International (Holdings) Ltd. stock, see the HK:0932 Stock Forecast page.

Shunten International Issues Profit Warning Amid Rising Costs

Shunten International (Holdings) Ltd. has issued a profit warning, indicating an expected increase in consolidated losses for the six months ending September 2025, compared to the same period in 2024. The increase in losses is attributed to higher selling and distribution expenses, increased costs of sales due to new product launches, and increased rent expenses from special designated counters. Despite these challenges, the company maintains a healthy business environment and is focused on expanding business channels and optimizing cost structures to improve long-term performance.

Shunten International Announces Upcoming Board Meeting for Interim Results

Shunten International (Holdings) Limited has announced that its board of directors will meet on November 26, 2025, to approve the unaudited interim results for the six months ending September 30, 2025, and to consider the payment of a dividend. This meeting is significant as it may impact the company’s financial outlook and shareholder returns.

Shunten International Concludes Unconditional Cash Offer

Shunten International (Holdings) Limited, incorporated in the Cayman Islands, has announced the closure of a mandatory unconditional cash offer by Leading Virtue Holdings Limited to acquire all issued shares not already owned by the offeror. The offer, which closed on November 4, 2025, received valid acceptances for 53,888,000 shares, representing approximately 1.73% of the company’s entire issued share capital. The total cash consideration for the accepted shares amounts to HK$1,293,312, with payments to be dispatched to shareholders no later than November 13, 2025.

Leading Virtue Holdings Gains Control of Shunten International

Leading Virtue Holdings Limited has made a mandatory conditional cash offer to acquire all issued shares of Shunten International (Holdings) Ltd. not already owned by it or its concert parties. As of October 20, 2025, the offer has become unconditional, with Leading Virtue Holdings and its concert parties now holding over 50% of the voting rights, potentially impacting the company’s control and strategic direction.