Tibet Water Resources (1115) AI Stock Analysis

• Market Cap: HK$1.41B
• Dividend Yield: N/A
• Average Volume (3M): 6.40M
• Price to Earnings (P/E): ―
• Beta (1Y): <0.01
• Revenue Growth: -29.75%
• EPS Growth: -47.01%
• Country: HK
• Employees: 342
• Sector: Consumer Goods
• Sector Strength: N/A
• Industry: Beverages - Non-Alcoholic
• EPS (TTM): -0.16
• Shares Outstanding: 4,699,946,000
• 10 Day Avg. Volume: 2,023,100
• 30 Day Avg. Volume: 6,404,033
• PEG Ratio: 0.03
• Price to Book (P/B): 0.34
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.09
• 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: 41 Neutral
• Price Target: ―

Tibet Water Resources' overall stock score is driven down by significant financial performance issues, including declining revenues, profitability, and cash flow challenges. The technical analysis further supports a bearish outlook, while valuation metrics highlight potential financial distress. The company's stability is compromised, necessitating strategic improvements for future stability.

Tibet Water Resources Business Overview & Revenue Model

Company Description

Tibet Water Resources Ltd., an investment holding company, manufactures fast-consuming beverages in the People's Republic of China. It operates in two segments, Water and Beer. The Water segment manufactures and sells a range of water products through wholesales under the 5100 Glacial Water, Highland Barley Beer, Zhuoma Spring, and Gesang Spring brand names; sells raw materials and consumables to associates and third parties; leases production lines and a plant to associates; and provides lending services to third parties in Hong Kong with relevant license. The Beer segment offers various beer products through wholesales under the Tibet Green Barley Beer brand name. The company also engages in the marketing, promotion, distribution, and retailing of water products; and investment in culture, entertainment, consumer product, retail business, and related industries. It sells its products through retail outlets, hotels, bars, restaurants, supermarkets, and convenience, as well as through e-commerce platforms. The company was formerly known as Tibet 5100 Water Resources Holdings Ltd. and changed its name to Tibet Water Resources Ltd. in December 2015. Tibet Water Resources Ltd. was founded in 2006 and is headquartered in Admiralty, Hong Kong.

How the Company Makes Money

Tibet Water Resources Ltd. generates revenue through the sale of its bottled water and other beverage products. The company capitalizes on its brand's association with purity and quality, utilizing the natural water sources of the Tibetan Plateau. Key revenue streams include domestic sales within China and exports to international markets, where the demand for premium and mineral-rich bottled water is increasing. The company may also have strategic partnerships with distributors and retailers to enhance its market reach, though specific partnership details are not available. Additionally, Tibet Water Resources might engage in marketing and promotional activities to raise brand awareness and drive sales.

Tibet Water Resources Financial Statement Overview

Summary

Tibet Water Resources faces significant financial challenges characterized by shrinking revenues and profitability. Income statement trends are concerning with declining revenues and increasing net losses. While the balance sheet is relatively stable with a moderate debt-to-equity ratio, cash flow issues and operational inefficiencies pose long-term risks. Overall, strategic improvements are needed to enhance revenue generation and cost management.

Income Statement

The income statement shows a concerning trend with declining revenues and increasing net losses over the years. The gross profit margin has been decreasing, and the company has been unable to generate positive EBIT or EBITDA margins in recent years. Revenue growth is negative, indicating a shrinking market share or operational challenges.

Balance Sheet

The balance sheet reveals a relatively stable equity position, despite declining profitability. The debt-to-equity ratio is moderate, showing a balanced approach to leveraging debt, but there is concern over decreasing stockholders' equity. The company's equity ratio is healthy, indicating strong asset backing.

Cash Flow

The cash flow statement shows variability in free cash flow, with negative trends in recent periods. Operating cash flow is minimal or negative, indicating operational inefficiencies. The company struggles to convert net income into cash, affecting its financial flexibility.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
225.81M	314.43M	311.95M	456.13M	492.88M
	Gross Profit
61.49M	77.61M	90.21M	190.34M	215.04M
	EBIT
-89.02M	-83.39M	-83.72M	37.69M	67.64M
	EBITDA
-48.84M	-254.27M	-25.00M	108.75M	149.52M
	Net Income Common Stockholders
-573.95M	-352.87M	-102.47M	46.95M	16.97M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.29B	66.11M	89.91M	78.14M	258.09M
	Total Assets
3.51B	3.99B	4.14B	4.15B	4.15B
	Total Debt
611.01M	758.83M	761.48M	765.86M	911.97M
	Net Debt
489.24M	748.18M	703.34M	712.04M	847.22M
	Total Liabilities
1.13B	1.13B	1.28B	1.32B	1.43B
	Stockholders Equity
2.38B	2.86B	2.86B	2.83B	2.72B
Cash Flow		Free Cash Flow
0.00	-306.44M	81.06M	76.09M	80.57M
	Operating Cash Flow
0.00	-292.35M	86.56M	82.16M	86.68M
	Investing Cash Flow
0.00	-56.34M	-208.57M	11.02M	-440.04M
	Financing Cash Flow
0.00	312.20M	127.21M	-104.13M	-97.42M

Tibet Water Resources Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1115, the sentiment is Negative. The current price of 0.3 is above the 20-day moving average (MA) of 0.30, below the 50-day MA of 0.30, and below the 200-day MA of 0.33, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 50.54 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1115.

Tibet Water Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0506	83 Outperform	HK$8.73B	9.35	13.82%	5.11%	-2.10%	0.33%
9633	76 Outperform	HK$431.86B	32.85	39.94%	2.09%	-1.32%	-1.49%
Sector *	62 Neutral	$1.72B	11.58	-0.96%	6.57%	-1.48%	-25.40%
6868	61 Neutral	HK$3.50B	23.36	7.83%	3.70%	-11.58%	-35.85%
1115	41 Neutral	HK$1.41B	―	-21.94%	―	-29.75%	-47.01%
YNAJF		$1.97B	19.95	11.06%	1.30%	―	―
1446	44 Neutral	HK$259.10M	―	-5.09%	―	-7.73%	60.42%

Tibet Water Resources Corporate Events

Tibet Water Resources Ltd. Updates Share Options Grant to Distributors

Tibet Water Resources Ltd. has announced a supplemental update regarding the grant of share options to its service providers. A total of 203,959,400 share options were allocated to various distributors, with none of the grantees being directors, chief executives, or substantial shareholders of the company. This move is aimed at strengthening the company’s distribution network and enhancing its market presence.

Tibet Water Resources Reports Increased Losses Amid Revenue Decline

Tibet Water Resources Ltd. reported a significant decline in its financial performance for the year ended December 31, 2024, with a 28.2% drop in revenue and a 62.7% increase in losses attributable to owners. The company’s operating loss increased by 6.8%, and the loss per share rose by 44.0%. Despite a slight improvement in gross profit margin, the overall financial results indicate challenges in maintaining profitability, impacting stakeholders and the company’s market positioning.

Tibet Water Resources Issues Profit Warning with Increased Net Loss

Tibet Water Resources Ltd. has issued a profit warning, indicating an expected net loss of approximately RMB580 million for the year ending December 31, 2024, compared to a net loss of RMB350 million in the previous year. This increase in net loss is largely due to significant impairment losses on investments, which are non-cash items and do not affect the company’s cash flow immediately. The results are based on preliminary unaudited assessments and may be subject to adjustments.

Tibet Water Resources Completes HK$138 Million Convertible Bonds Issue

Tibet Water Resources Ltd. announced the completion of its issuance of 8% convertible bonds with a principal amount of HK$138,000,000 due in 2025. The bonds issue was completed on March 18, 2025, with no cash proceeds received as the subscription price was fully set off, impacting the company’s financial strategy and potentially its market positioning.

Tibet Water Resources Schedules Board Meeting for Annual Results and Dividend Discussion

Tibet Water Resources Ltd. has announced a board meeting scheduled for March 28, 2025, to discuss the audited consolidated annual results for the year ending December 31, 2024, and to consider recommending a final dividend. This meeting is crucial for stakeholders as it will provide insights into the company’s financial health and potential returns on investment.

Tibet Water Resources Announces HK$138 Million Convertible Bond Issue

Tibet Water Resources Ltd. has announced the proposed issue of 8% convertible bonds amounting to HK$138,000,000, maturing in 2025. The bonds, upon full conversion at a price of HK$0.345, will convert into 400,000,000 shares, affecting the company’s share capital by approximately 8.03%. The company plans to list these conversion shares on the stock exchange and has utilized its general mandate for this issue, demonstrating strategic financial planning to enhance its capital structure and potentially strengthen its market position.