Cherish Sunshine International Limited (1094) AI Stock Analysis

• Market Cap: HK$198.49M
• Dividend Yield: N/A
• Average Volume (3M): 1.45M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.93
• Revenue Growth: -92.58%
• EPS Growth: -44916.67%
• Country: HK
• Employees: 88
• Sector: Industrials
• Sector Strength: 72
• Industry: Information Technology Services
• EPS (TTM): -0.06
• Shares Outstanding: 592,512,700
• 10 Day Avg. Volume: 195,116
• 30 Day Avg. Volume: 1,452,748
• PEG Ratio: <0.01
• Price to Book (P/B): 0.85
• Price to Sales (P/S): 1.76
• P/FCF Ratio: 3.77
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 41 Neutral
• Price Target: HK$0.50 ▲(47.06% Upside)

The overall stock score of 41 reflects significant financial challenges, bearish technical indicators, and unattractive valuation metrics. The company's substantial losses and revenue volatility weigh heavily on its financial performance. Technical analysis indicates a downtrend, and the negative P/E ratio suggests valuation concerns. These factors collectively result in a low stock score.

Positive Factors

Cash Flow Improvement

The significant improvement in free cash flow growth indicates enhanced cash generation efficiency, which can support operational needs and strategic investments, contributing to long-term financial stability.

Manageable Leverage

A moderate debt-to-equity ratio indicates that the company has a balanced approach to leveraging, which can provide financial flexibility and reduce the risk of financial distress in the long term.

Diversified Revenue Streams

A diversified revenue model reduces dependency on a single income source, enhancing resilience against market fluctuations and supporting sustainable growth over time.

Negative Factors

Revenue Decline

A significant revenue decline indicates challenges in maintaining market share or demand, which could impact long-term growth prospects and financial health if not addressed.

Profitability Issues

Negative profitability margins highlight operational inefficiencies and cost management issues, which can hinder the company's ability to reinvest in growth and innovation.

Revenue Volatility

Inconsistent revenue growth suggests instability in business operations, which can affect investor confidence and the company's ability to plan for long-term strategic initiatives.

Cherish Sunshine International Limited Business Overview & Revenue Model

Company Description

China Public Procurement Limited, an investment holding company, engages in the trading of various products in the People's Republic of China. It operates through five segments: Provision of Procurement Services, Trading Business, Provision of Corporate IT Solution, Rental Income, Energy Management Contracting Business. The company is involved in the provision of procurement services to governmental authorities, and private enterprises; and provides energy management contracting services. It also engages in the leasing of investment properties; and trades in various products. In addition, the company develops software and provides maintenance services. The company was formerly known as Sunny Global Holdings Limited and changed its name to China Public Procurement Limited in May 2009. China Public Procurement Limited was incorporated in 2002 and is headquartered in Hangzhou, Hong Kong.

How the Company Makes Money

Cherish Sunshine International Limited generates revenue through multiple key streams. The primary revenue model revolves around the wholesale distribution of its imported goods to retailers, which includes generating sales through bulk orders. Additionally, the company may engage in direct-to-consumer sales through online platforms, expanding its market reach and customer base. Significant partnerships with manufacturers and suppliers enable Cherish Sunshine to maintain a steady flow of products while negotiating favorable terms that enhance profitability. Furthermore, the company's ability to adapt to market trends and consumer preferences allows it to optimize its inventory and reduce overhead costs, thereby contributing positively to its earnings.

Cherish Sunshine International Limited Financial Statement Overview

Summary

Cherish Sunshine International Limited faces significant financial challenges, particularly in terms of profitability and revenue stability. The income statement reveals substantial losses and revenue volatility, while the balance sheet shows moderate leverage. Cash flow improvements are a positive sign, but the company needs to address its profitability issues to ensure long-term sustainability.

Income Statement

The income statement reveals significant challenges, with a drastic revenue decline of 85.15% in the latest period. The company has negative net and EBIT margins, indicating substantial losses. The gross profit margin is relatively low at 28.68%, and the revenue growth trajectory has been inconsistent over the years, reflecting volatility in the company's operations.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 0.84, suggesting manageable leverage. However, the return on equity is negative, indicating that the company is not generating profits from its equity base. The equity ratio is not explicitly provided, but the overall financial health appears stable with a reasonable level of equity compared to assets.

Cash Flow

Cash flow analysis highlights a remarkable improvement in free cash flow growth, up by 968.47%. The operating cash flow to net income ratio is low at 0.14, suggesting limited cash generation relative to net income. However, the free cash flow to net income ratio is strong at 0.99, indicating efficient cash conversion from earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	49.07M	98.25M	782.18M	271.72M	112.20M	93.56M
Gross Profit	16.76M	28.18M	59.51M	37.63M	19.38M	18.61M
EBITDA	-103.47M	-129.58M	-1.38M	3.12M	-27.94M	-4.21M
Net Income	-159.16M	-123.89M	656.00K	13.28M	-25.54M	1.64M
Balance Sheet
Total Assets	508.06M	538.01M	727.93M	593.42M	369.22M	360.00M
Cash, Cash Equivalents and Short-Term Investments	21.69M	30.53M	6.31M	8.48M	27.59M	17.66M
Total Debt	173.88M	171.97M	124.11M	137.96M	26.94M	34.74M
Total Liabilities	341.85M	344.97M	432.62M	283.06M	174.56M	155.53M
Stockholders Equity	177.44M	204.72M	307.00M	321.87M	206.91M	214.38M
Cash Flow
Free Cash Flow	-28.20M	45.92M	11.80M	-222.47M	-25.67M	1.22M
Operating Cash Flow	-28.01M	46.11M	12.58M	-217.05M	-25.13M	1.61M
Investing Cash Flow	-10.63M	-95.33M	-146.00K	-764.00K	1.03M	-6.09M
Financing Cash Flow	7.45M	62.45M	-14.40M	200.86M	33.98M	-2.99M

Cherish Sunshine International Limited Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1094, the sentiment is Negative. The current price of 0.34 is below the 20-day moving average (MA) of 0.36, below the 50-day MA of 0.36, and below the 200-day MA of 0.44, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 30.04 is Neutral, neither overbought nor oversold. The STOCH value of 54.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1094.

Cherish Sunshine International Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1222	51 Neutral	€298.80M	-0.25	-30.56%	―	30.86%	-67.89%
2700	51 Neutral	HK$336.55M	-118.60	-7.37%	―	11.32%	62.61%
0118	49 Neutral	HK$204.28M	21.94	0.53%	―	-9.32%	―
1282	47 Neutral	HK$600.00M	-1.65	-4.03%	―	55.27%	68.84%
1094	41 Neutral	HK$198.49M	-1.24	-58.89%	―	-92.58%	-44916.67%
0925	40 Underperform	―	―	―	―	―	―

Cherish Sunshine International Limited Corporate Events

Cherish Sunshine Forms Photovoltaic Joint Venture in Shanghai

Cherish Sunshine International Limited has announced the formation of a joint venture company in Shanghai with Xinhui Yuanheng, focusing on the photovoltaic industry. The joint venture will have a registered capital of RMB120 million, with Cherish Sunshine’s subsidiary Chengguang Zhongcai contributing 37.5% and Xinhui Yuanheng contributing 62.5%. As a minority shareholder, Cherish Sunshine will not consolidate the joint venture’s financial results into its own statements, indicating a strategic move to expand its market presence without impacting its current financial structure.

Cherish Sunshine Reports Interim Loss Amid Revenue Decline

Cherish Sunshine International Limited reported its unaudited interim results for the six months ending September 30, 2025, showing a significant decline in revenue and profit compared to the same period in 2024. The company experienced a loss of HK$32,895,000, attributed to various factors including a decrease in revenue, increased administrative expenses, and losses in fair value of investment properties, despite some gains from other income and disposal of subsidiaries.

Cherish Sunshine International Issues Profit Warning Amid Expected Loss

Cherish Sunshine International Limited has issued a profit warning, indicating a significant expected loss for the current period compared to a profit in the previous year. The anticipated loss, ranging from HK$30 million to HK$35 million, is primarily due to a fair value loss on investment properties, which contrasts with a gain in the prior period. The company is taking measures to protect its interests and does not expect this result to significantly impact future operations.

Cherish Sunshine International Limited Schedules Board Meeting for Interim Results

Cherish Sunshine International Limited has announced that its Board of Directors will convene on November 28, 2025, to review and approve the interim financial results for the six months ending September 30, 2025. The meeting will also consider the recommendation for the payment of an interim dividend, reflecting the company’s ongoing financial assessments and potential shareholder returns.

Cherish Sunshine International Announces Board Reshuffle

Cherish Sunshine International Limited has announced significant changes in its board of directors. Mr. Zhou Xiangtao has resigned as Executive Director and Joint Chairman to focus on other business commitments, while Mr. Ng Siu Hong has been appointed as a non-executive Director. Additionally, Mr. Zhao Zhijiao has been appointed as Joint Chairman of the Board. These changes are expected to impact the company’s leadership dynamics and potentially influence its strategic direction.

Cherish Sunshine International Limited Announces Board Composition

Cherish Sunshine International Limited, incorporated in Bermuda, has announced the composition of its board of directors and their respective roles within the company. The board includes executive directors, a non-executive director, and independent non-executive directors, with specific members serving on the audit, remuneration, and nomination committees. This announcement provides clarity on the governance structure of the company, potentially impacting its strategic decision-making and stakeholder confidence.

Cherish Sunshine International Enhances Risk Management and Reporting Processes

Cherish Sunshine International Limited has announced supplemental information regarding its risk management and internal control measures following a delay in the publication of its FY24/25 annual results. The company has implemented an enhanced human resources policy to ensure proper handover of information, established a centralized contact list for suppliers and customers, and reviewed joint venture agreements to improve cooperation with partners. These measures aim to streamline the company’s annual reporting process and maintain effective communication with stakeholders.

Cherish Sunshine International Limited Announces Change of Business Location

Cherish Sunshine International Limited, listed on the Hong Kong Stock Exchange, has announced a change in its principal place of business and telephone number in Hong Kong, effective from October 31, 2025. The company’s operations will now be based at Unit 12, 21/F, Wayson Commercial Building, No. 28 Connaught Road West, Sheung Wan, Hong Kong. This strategic move may reflect the company’s focus on optimizing its operational efficiency and enhancing its business presence in the region.