Huanxi Media Group Ltd. (1003) AI Stock Analysis

• Market Cap: HK$1.43B
• Dividend Yield: N/A
• Average Volume (3M): 12.70M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.41
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 85
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): -0.03
• Shares Outstanding: 3,656,472,400
• 10 Day Avg. Volume: 23,942,000
• 30 Day Avg. Volume: 12,695,001
• PEG Ratio: 0.02
• Price to Book (P/B): 1.47
• Price to Sales (P/S): 49.74
• P/FCF Ratio: -9.00
• 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: Hold
• Number of Analyst Covering: 0

• Rating: 44 Neutral
• Price Target: HK$0.50 ▲(47.06% Upside)

The overall stock score is primarily impacted by significant financial challenges, including declining revenue and negative cash flows. Technical analysis indicates a bearish trend, though there is potential for a rebound. Valuation remains uncertain due to the lack of key metrics.

Huanxi Media Group Ltd. Business Overview & Revenue Model

Company Description

Huanxi Media Group Ltd. (1003) is a leading Chinese media and entertainment company specializing in the production and distribution of films and television content. The company is actively engaged in various sectors of the media industry, including film production, online video streaming, and entertainment services. Huanxi Media is known for its significant contributions to the Chinese film market, focusing on high-quality content that appeals to both domestic and international audiences.

How the Company Makes Money

Huanxi Media Group generates revenue primarily through multiple streams, including film production and distribution, online streaming services, and licensing of its content. The company makes money by producing films that are released in theaters, followed by distribution rights sales to various platforms. Additionally, Huanxi Media operates its own streaming service, which provides subscription-based access to its extensive library of films and television shows. Key partnerships with other media companies and streaming platforms enhance its reach and revenue potential. The success of its productions and the popularity of its content in the Chinese market significantly contribute to its earnings.

Huanxi Media Group Ltd. Financial Statement Overview

Summary

Huanxi Media Group Ltd. faces significant financial challenges with declining revenue and profit margins, coupled with negative cash flows. While the company maintains a solid equity base, the overall financial health is impacted by operational inefficiencies and liquidity concerns. Strategic initiatives are needed to stabilize and rejuvenate the company’s financial performance.

Income Statement

The company has experienced significant fluctuations in revenue, with a sharp decline in 2024 compared to previous years. Profitability metrics are concerning, with negative gross profit margin and net profit margin for 2024. Revenue volatility suggests instability in core operations.

Balance Sheet

While the company maintains a reasonable equity ratio, indicating low leverage, the total debt has increased over time. However, the strong stockholders' equity position provides some stability amidst financial challenges.

Cash Flow

Cash flow from operations has been inconsistent and negative in recent years, signaling potential liquidity issues. The inability to generate positive free cash flow in 2024 further exacerbates these concerns. Cash reserves appear to be depleting without sufficient inflow from operations or financing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	98.91M	34.18M	1.33B	13.63M	158.35M	633.18M
Gross Profit	-132.36M	-185.14M	906.26M	-93.28M	-119.80M	-183.98M
EBITDA	-244.26M	-38.70M	519.76M	-117.26M	20.32M	429.13M
Net Income	-274.00M	-260.82M	159.13M	-221.81M	-235.56M	-237.26M
Balance Sheet
Total Assets	1.85B	1.95B	2.23B	2.22B	2.27B	1.75B
Cash, Cash Equivalents and Short-Term Investments	38.68M	148.61M	310.15M	53.70M	118.78M	142.14M
Total Debt	43.62M	56.75M	17.87M	138.18M	122.79M	71.31M
Total Liabilities	761.74M	793.74M	780.67M	888.60M	613.70M	299.18M
Stockholders Equity	1.08B	1.15B	1.45B	1.33B	1.66B	1.45B
Cash Flow
Free Cash Flow	-84.00M	-188.86M	362.94M	-46.08M	-483.47M	-572.49M
Operating Cash Flow	-83.96M	-188.82M	364.31M	-45.94M	-483.32M	-572.27M
Investing Cash Flow	473.00K	1.39M	23.06M	4.06M	-545.00K	1.39M
Financing Cash Flow	15.69M	28.60M	-128.25M	-11.71M	440.57M	455.08M

Huanxi Media Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.34
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1003, the sentiment is Negative. The current price of 0.34 is below the 20-day moving average (MA) of 0.37, below the 50-day MA of 0.35, and below the 200-day MA of 0.41, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 37.95 is Neutral, neither overbought nor oversold. The STOCH value of 4.85 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1003.

Huanxi Media Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2230	―	HK$510.30M	9.71	8.70%	6.50%	32.53%	7.06%
Sector *	―	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
1981	―	HK$2.30B	12.40	7.57%	4.32%	0.59%	―
1060	―	HK$28.98B	72.39	2.29%	―	31.62%	3.08%
0391	―	HK$604.22M	―	-20.32%	―	-6.36%	-166.67%
1003	―	HK$1.43B	―	―	―	―	―
1159	―	HK$334.78M	1.80	―	―	-57.01%	―

Huanxi Media Group Ltd. Corporate Events

Huanxi Media Group Faces Compliance Issue Over Share Sale

Huanxi Media Group Ltd. announced that Newwood Investments Limited, a company controlled by former chairman Mr. Dong Ping, sold 119,370,000 shares, representing 3.26% of the company’s total issued share capital, during a blackout period. This sale violated the Model Code for Securities Transactions, as it occurred without the knowledge or consent of the company’s relevant directors, who were unable to prevent the transaction due to lack of control over Newwood’s actions.

Huanxi Media Group Announces Director Resignation

Huanxi Media Group Ltd. has announced the resignation of Ms. Li Ni from her role as a non-executive director, effective September 15, 2025. Ms. Li has decided to step down to focus more on her other business commitments. The company has expressed gratitude for her contributions during her tenure, and there are no disagreements or issues related to her departure that need to be addressed. This change in the board composition is not expected to impact the company’s operations or market position significantly.

Huanxi Media Group Ltd. Announces Board Restructuring

Huanxi Media Group Ltd. has announced changes to its board of directors, effective from September 15, 2025. The new board structure includes Xiang Shaokun, Steven as CEO, with a mix of executive, non-executive, and independent non-executive directors. The announcement also details the composition of the board’s committees, highlighting the roles of Wong Tak Chuen, Li Xiaolong, Wang Hong, and Hu Hui in the audit, remuneration, and nomination committees. These changes may impact the company’s governance and strategic direction.

Huanxi Media Reports Improved Interim Financial Results Despite Operating Loss

Huanxi Media Group Ltd. reported its unaudited interim results for the first half of 2025, showing a gross loss of HK$17.57 million, an improvement from a HK$70.35 million loss in the same period of 2024. Despite a rise in revenue and film investment income to HK$179.94 million, the company faced an operating loss of HK$100.66 million, attributed to high costs and expenses, impacting its financial performance and stakeholder interests.

Huanxi Media Group Schedules Board Meeting for Interim Results and Dividend Consideration

Huanxi Media Group Ltd. has announced a board meeting scheduled for August 29, 2025, to approve the interim results for the first half of 2025 and consider an interim dividend. This meeting could impact the company’s financial strategy and stakeholder interests, as it may influence dividend payouts and reflect on the company’s performance in the media sector.