Kontafarma China Holdings Ltd (1312) AI Stock Analysis

• Market Cap: HK$156.20M
• Dividend Yield: N/A
• Average Volume (3M): 9.95M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.20
• Revenue Growth: 6.55%
• EPS Growth: -475.22%
• Country: HK
• Employees: 714
• Sector: Healthcare
• Sector Strength: 45
• Industry: Construction Materials
• EPS (TTM): -0.05
• Shares Outstanding: 5,588,572,000
• 10 Day Avg. Volume: 1,701,000
• 30 Day Avg. Volume: 9,954,100
• PEG Ratio: -0.01
• Price to Book (P/B): 0.15
• Price to Sales (P/S): 0.16
• P/FCF Ratio: 4.34
• 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: 39 Underperform
• Price Target: HK$0.00 ▼(-100.00% Downside)

Kontafarma China Holdings Ltd's overall stock score is primarily impacted by its poor financial performance, characterized by declining revenues, negative profitability, and weak cash flow. The technical analysis indicates bearish momentum, further weighing on the score. The negative P/E ratio and lack of dividend yield highlight valuation concerns. These factors collectively suggest significant risks and challenges for the company.

Kontafarma China Holdings Ltd Business Overview & Revenue Model

Company Description

Kontafarma China Holdings Ltd. engages in the manufacture and sale of cement. It operates through the following segments: Pharmaceutical and Fitness Business. The Pharmaceutical Business segment involves in manufacture and sales of prescription drugs and laboratory related products. The Fitness Business segment includes the operation of fitness centers and provide consultation services for fitness and health activities and operate the franchise business for royalty fee income. The company was founded on March 21, 2011 and is headquartered in Hong Kong.

How the Company Makes Money

Kontafarma generates revenue through multiple streams, primarily from the sale of pharmaceutical products, which includes both prescription and over-the-counter medications. The company capitalizes on its extensive distribution network to reach hospitals, clinics, and retail pharmacies across China. Additionally, Kontafarma may receive income from collaborations or partnerships with healthcare institutions and other pharmaceutical companies for research and development initiatives. The growing demand for healthcare products in China, driven by an aging population and increasing health awareness, also contributes significantly to its revenue growth.

Kontafarma China Holdings Ltd Financial Statement Overview

Summary

Kontafarma China Holdings Ltd is facing significant financial challenges. The income statement reflects ongoing profitability issues, exacerbated by declining revenues. The balance sheet shows a weakening financial position, while cash flows are inconsistent, highlighting operational and financial risks. Strategic pivots or efficiency improvements are needed to stabilize and grow the business.

Income Statement

Kontafarma China Holdings Ltd shows declining revenue and profitability. The net profit margin is negative due to consistent net losses, and EBIT margins remain poor. Revenue growth has been negative or stagnant, reflecting challenges in maintaining market share or pricing power.

Balance Sheet

The company's balance sheet indicates moderate leverage with a debt-to-equity ratio that has been manageable, but declining equity due to continuous losses is a concern. The equity ratio suggests moderate reliance on equity financing, but the decreasing total assets are troubling.

Cash Flow

Cash flow performance is weak with erratic operating cash flow and negative free cash flow in recent years. The inability to consistently generate free cash flow raises concerns about the company's capacity to fund operations and growth internally.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	891.73M	897.52M	809.11M	894.06M	803.27M	1.01B
Gross Profit	493.63M	516.16M	471.29M	506.22M	396.18M	555.75M
EBITDA	-79.14M	-49.93M	78.50M	26.93M	112.18M	156.31M
Net Income	-362.77M	-75.54M	-28.84M	-41.55M	-15.05M	-267.16M
Balance Sheet
Total Assets	1.15B	1.59B	1.73B	2.12B	2.56B	2.54B
Cash, Cash Equivalents and Short-Term Investments	78.33M	90.58M	87.66M	142.59M	183.96M	194.79M
Total Debt	235.86M	297.19M	333.82M	590.72M	728.95M	782.61M
Total Liabilities	532.12M	625.90M	665.39M	964.16M	1.22B	1.19B
Stockholders Equity	684.99M	978.70M	1.06B	1.10B	1.19B	1.21B
Cash Flow
Free Cash Flow	32.13M	33.41M	12.92M	-53.84M	-49.31M	51.02M
Operating Cash Flow	49.63M	47.05M	37.12M	-2.17M	75.07M	206.93M
Investing Cash Flow	6.74M	-6.01M	144.14M	121.53M	23.24M	-206.12M
Financing Cash Flow	-35.78M	-42.52M	-198.81M	-137.33M	-99.80M	19.10M

Kontafarma China Holdings Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.03
• 50DMA: Negative
• 100DMA: Negative
• 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:1312, the sentiment is Negative. The current price of 0.03 is below the 20-day moving average (MA) of 0.03, below the 50-day MA of 0.03, and above the 200-day MA of 0.03, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 46.74 is Neutral, neither overbought nor oversold. The STOCH value of 94.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1312.

Kontafarma China Holdings Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8622	53 Neutral	HK$260.25M	―	-8.71%	―	2.54%	33.33%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
0858	51 Neutral	HK$229.50M	0.97	23.02%	―	-6.21%	―
1652	49 Neutral	HK$610.24M	―	-40.38%	―	-43.46%	-96.48%
1498	45 Neutral	HK$213.98M	-4.10	-33.22%	―	-17.32%	55.74%
1312	39 Underperform	HK$156.20M	-0.43	-41.48%	―	6.55%	-475.22%
1011	39 Underperform	HK$485.46M	-2.86	―	―	―	―

Kontafarma China Holdings Ltd Corporate Events

Kontafarma China Holdings Ltd Reschedules Extraordinary General Meeting

Kontafarma China Holdings Ltd has announced the adjournment of its Extraordinary General Meeting (EGM) initially scheduled for October 20, 2025, to November 7, 2025, due to the need for additional preparation time. The venue remains unchanged, and the period for determining shareholder entitlements to attend and vote also remains the same. Shareholders who have already submitted proxy forms do not need to resubmit them, as they remain valid for the adjourned meeting.

Kontafarma Faces Potential Winding Up of Taiwanese Associate

Kontafarma China Holdings Ltd announced the potential winding up of its associate, True Concept Ltd, due to severe operational challenges and financial constraints in the Taiwanese fitness industry. Despite efforts to improve conditions, True Concept’s business has deteriorated, leading to the closure of its fitness centers and potential legal proceedings for liquidation. The company has recognized significant impairment losses, and True Concept’s total debts exceed HK$771.1 million, affecting various stakeholders including employees and creditors.

Kontafarma China Holdings Plans New R&D Complex in Beijing

Kontafarma China Holdings Ltd has announced an extraordinary general meeting to approve a construction contract for a new R&D complex in Beijing. This development signifies the company’s commitment to expanding its research capabilities, potentially enhancing its market position and offering growth opportunities for stakeholders.

Kontafarma China Holdings Delays Circular Dispatch for Beijing Project

Kontafarma China Holdings Ltd announced a delay in the dispatch of a circular related to a discloseable and connected transaction concerning the Beijing Construction Contract for the Beijing R&D Complex Project. The delay is due to the need for additional time to finalize certain information, and the company is seeking a waiver from the Stock Exchange to extend the dispatch date to on or before 30 September 2025.

Kontafarma China Holdings Reports Significant Interim Losses

Kontafarma China Holdings Ltd reported its unaudited interim results for the six months ending June 30, 2025, showing a significant financial downturn compared to the previous year. The company experienced a substantial loss of HK$321.4 million, primarily due to increased impairment losses and other financial setbacks, impacting its profitability and market position.

Kontafarma China Holdings Announces New R&D Complex Construction in Beijing

Kontafarma China Holdings Ltd, through its subsidiary Tongfang Pharmaceutical, has entered into a construction contract with Beijing Qingkong for the development of a new R&D complex in Beijing, valued at approximately RMB33.67 million. This transaction is considered both discloseable and connected, requiring independent shareholder approval due to its association with the company’s controlling shareholder, Shenzhen Waranty. The project is expected to strengthen Kontafarma’s research capabilities, potentially impacting its market position positively.

Kontafarma China Holdings Issues Profit Warning Amid Impairment Losses

Kontafarma China Holdings Ltd has issued a profit warning, expecting significant impairment losses across financial assets, intangible assets, and goodwill in its fitness business segment. These losses, combined with decreased revenue and gross profit in its pharmaceutical segment due to market competition, are projected to result in a substantial consolidated net loss for the first half of 2025. Despite these impairments being non-cash items, the announcement highlights challenges in the company’s financial performance and market positioning.

Kontafarma China Holdings to Review Interim Results and Dividend

Kontafarma China Holdings Limited has announced that its board of directors will meet on August 28, 2025, to consider and approve the interim results for the six months ended June 30, 2025, and discuss the potential payment of an interim dividend. This announcement may impact the company’s financial outlook and provide insights into its operational performance, potentially affecting stakeholders’ expectations.