Tian Lun Gas Holdings Limited (1600) AI Stock Analysis

• Market Cap: HK$3.04B
• Dividend Yield: 4.94%
• Average Volume (3M): 774.00K
• Price to Earnings (P/E): 9.9
• Beta (1Y): 0.65
• Revenue Growth: 7.55%
• EPS Growth: -32.06%
• Country: HK
• Employees: 3,060
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Gas
• EPS (TTM): 0.14
• Shares Outstanding: 981,885,130
• 10 Day Avg. Volume: 914,400
• 30 Day Avg. Volume: 774,003
• PEG Ratio: -0.31
• Price to Book (P/B): 0.58
• Price to Sales (P/S): 0.44
• P/FCF Ratio: 5.60
• 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): 2.49
• Revenue Forecast (FY): HK$60.18B

• Rating: 59 Neutral
• Price Target: HK$3.50 ▲(2.34% Upside)

The overall stock score is primarily influenced by stable financial performance and fair valuation. However, weak technical indicators and cash flow volatility are significant risks. The attractive dividend yield partially offsets these concerns, providing a stable income stream for investors.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market presence and effective business operations, supporting long-term financial stability.

Strategic Partnerships

Partnerships with local governments ensure steady cash flow and market expansion, enhancing competitive positioning in the energy sector.

Operational Efficiency

Sustained operational efficiency through cost management supports profitability and competitive advantage in the long term.

Negative Factors

Declining Profitability

Decreasing net profit margins indicate challenges in maintaining profitability, which could impact future financial performance if not addressed.

Cash Flow Volatility

Volatile cash flows can hinder financial planning and investment capacity, necessitating a focus on stabilizing cash generation.

Decreased Return on Equity

A decline in return on equity suggests reduced efficiency in generating profits from shareholders' equity, potentially affecting investor confidence.

Tian Lun Gas Holdings Limited Business Overview & Revenue Model

Company Description

Tian Lun Gas Holdings Limited (1600) is a leading integrated gas supplier and service provider in China, primarily engaged in the distribution of piped natural gas and the sale of liquefied natural gas (LNG). The company operates in various sectors, including residential, commercial, and industrial gas supply, and is involved in the construction and operation of gas pipelines and related infrastructure. Tian Lun Gas aims to promote the use of cleaner energy sources and contributes to China's efforts in environmental sustainability.

How the Company Makes Money

Tian Lun Gas generates revenue primarily through the sale of natural gas to residential, commercial, and industrial customers. Its revenue model includes income from the distribution of piped natural gas as well as sales from LNG. The company also earns revenue from connection fees charged to new customers for linking to its gas supply network. Additionally, Tian Lun Gas benefits from long-term contracts with local governments and enterprises, ensuring a steady cash flow. Strategic partnerships with regional authorities and investments in expanding its gas infrastructure bolster its earnings, allowing the company to capture more market share in the growing energy sector.

Tian Lun Gas Holdings Limited Financial Statement Overview

Summary

Tian Lun Gas Holdings Limited shows stable revenue growth and operational efficiency. However, declining net income and cash flow volatility are significant concerns, requiring focus on profitability improvements and cash flow stability.

Income Statement

The company exhibited stable revenue growth over the years with a slight decline in 2024. Gross profit margin remained consistent, reflecting effective cost management, but net profit margin decreased due to lower net income. EBIT and EBITDA margins are strong, indicating operational efficiency, although there is a noticeable decline in profitability compared to previous years.

Balance Sheet

The balance sheet shows a reasonable debt-to-equity ratio, indicating moderate leverage. Return on equity has decreased, reflecting lower profitability. The equity ratio remains stable, suggesting a balanced asset financing structure.

Cash Flow

The cash flow statement reveals volatility in free cash flow, with a significant drop in 2024. The operating cash flow to net income and free cash flow to net income ratios are unavailable, limiting insights into cash conversion efficiency. The company needs to focus on stabilizing cash flows to enhance financial health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.19B	7.78B	7.73B	7.54B	7.65B	6.44B
Gross Profit	1.30B	1.34B	1.45B	1.39B	1.78B	1.79B
EBITDA	1.23B	1.30B	1.46B	1.37B	1.81B	1.80B
Net Income	289.07M	300.99M	479.56M	444.60M	1.00B	1.04B
Balance Sheet
Total Assets	16.19B	15.91B	15.69B	15.96B	15.10B	12.92B
Cash, Cash Equivalents and Short-Term Investments	1.22B	1.12B	978.64M	1.35B	1.05B	1.67B
Total Debt	7.52B	7.01B	6.81B	7.21B	6.32B	5.07B
Total Liabilities	9.92B	9.65B	9.58B	10.14B	9.58B	7.94B
Stockholders Equity	5.97B	5.94B	5.80B	5.51B	5.22B	4.70B
Cash Flow
Free Cash Flow	770.52M	614.05M	701.96M	303.68M	-9.88M	1.11B
Operating Cash Flow	913.52M	918.28M	1.02B	689.22M	405.77M	1.39B
Investing Cash Flow	-207.95M	-367.69M	-312.19M	-465.90M	-1.42B	-864.61M
Financing Cash Flow	-872.75M	-409.71M	-1.08B	99.34M	394.50M	-229.86M

Tian Lun Gas Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.42
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1600, the sentiment is Positive. The current price of 3.42 is above the 20-day moving average (MA) of 3.06, above the 50-day MA of 3.17, and above the 200-day MA of 3.19, indicating a neutral trend. The MACD of -0.04 indicates Negative momentum. The RSI at 57.60 is Neutral, neither overbought nor oversold. The STOCH value of 84.85 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1600.

Tian Lun Gas Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2688	76 Outperform	$79.60B	12.30	13.36%	4.30%	-3.19%	-2.68%
1193	75 Outperform	HK$51.49B	16.93	7.17%	4.43%	-4.37%	-41.14%
0384	66 Neutral	HK$42.55B	14.90	4.98%	6.44%	-2.28%	-9.61%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
1083	61 Neutral	HK$13.77B	8.05	6.98%	6.38%	3.86%	30.34%
1600	59 Neutral	HK$3.04B	9.87	4.88%	4.94%	7.55%	-32.06%
3633	48 Neutral	HK$7.78B	50.45	2.04%	0.71%	-7.82%	-38.06%

Tian Lun Gas Holdings Limited Corporate Events

Tian Lun Gas Holdings Updates Interim Dividend for 2025

Tian Lun Gas Holdings Limited has announced an updated interim dividend for the six months ending June 30, 2025, with a declared dividend of RMB 0.046 per share. The dividend will be paid in Hong Kong dollars at a rate of HKD 0.05 per share, reflecting an exchange rate of RMB 1 to HKD 1.097. The payment date is set for November 28, 2025, with the record date on October 31, 2025. This announcement may impact the company’s financial positioning and shareholder returns, reflecting its ongoing commitment to providing value to its investors.

Tian Lun Gas Clarifies Dividend Entitlement Deadline

Tian Lun Gas Holdings Limited issued a clarification announcement regarding the deadline for lodging share transfer documents to determine entitlement to an interim dividend. The corrected deadline is 4:30 p.m. on Thursday, 23 October 2025, rather than the previously stated Friday, 24 October 2025. This clarification does not affect other information in the interim report, and the company confirms the accuracy of the interim results and dividend announcement forms.