Fusen Pharmaceutical Co., Ltd. (1652) AI Stock Analysis

• Market Cap: HK$279.38M
• Dividend Yield: N/A
• Average Volume (3M): 134.37K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.06
• Revenue Growth: -43.46%
• EPS Growth: -96.48%
• Country: HK
• Employees: 1,131
• Sector: Healthcare
• Sector Strength: 51
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.03
• Shares Outstanding: 739,301,000
• 10 Day Avg. Volume: 97,600
• 30 Day Avg. Volume: 134,366
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: HK$0.50
• Price Target Upside: 31.58% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 49 Neutral
• Price Target: HK$0.50 ▲(31.58% Upside)

The overall stock score is primarily impacted by significant financial challenges, including declining revenues, negative profitability, and liquidity issues. While technical analysis shows some short-term bullish momentum, the longer-term outlook remains bearish. The negative P/E ratio and lack of dividend yield further contribute to a low valuation score.

Positive Factors

Diverse Product Range

A diverse product range allows Fusen Pharmaceutical to cater to multiple therapeutic areas, reducing dependency on a single market segment and enhancing resilience against sector-specific downturns.

Market Expansion Potential

Collaborations and partnerships can lead to new product offerings and expanded market reach, potentially driving future revenue growth and strengthening competitive positioning.

Stable Equity Ratio

A stable equity ratio indicates a balanced capital structure, which can provide a foundation for financial stability and support long-term strategic investments.

Negative Factors

Declining Revenue

Declining revenue and profitability suggest challenges in maintaining market share or pricing power, which could hinder long-term growth and financial health.

Negative Cash Flow

Negative cash flow indicates liquidity challenges, limiting the company's ability to invest in growth opportunities or weather financial downturns, impacting long-term viability.

Increased Leverage

Increased leverage can strain financial resources and elevate risk, potentially affecting the company's ability to finance operations and invest in future growth.

Fusen Pharmaceutical Co., Ltd. Business Overview & Revenue Model

Company Description

Fusen Pharmaceutical Company Limited, an investment holding company, manufactures and sells pharmaceutical products in the People's Republic of China. The company's product portfolio includes Shuanghuanglian-based cold medicines comprising Shuanghuanglian oral solutions and Shuanghuanglian injections; and flunarizine hydrochloride capsules and compound ferrous sulfate granules, as well as Yuanhu Zhitong oral solutions, Ganweikang tablets, and Yixinkang tablets. In addition, it researches, develops, produces, and sells various proprietary Chinese medicines and western medicine products for the treatment of cold and fever, cardiovascular diseases, and anemia. Further, the company offers business management and consulting services. Fusen Pharmaceutical Company Limited was founded in 2003 and is headquartered in Nanyang, China.

How the Company Makes Money

Fusen Pharmaceutical Co., Ltd. generates revenue through the sale of its pharmaceutical products, which include traditional Chinese medicines and chemical drugs. The company's revenue streams are primarily derived from the sale of over-the-counter (OTC) medications and prescription drugs to hospitals, pharmacies, and healthcare providers. Additionally, the company may engage in collaborations or partnerships with other pharmaceutical firms to enhance its research and development capabilities, potentially leading to new product offerings and expanded market reach. Fusen Pharmaceutical's earnings are influenced by factors such as product demand, pricing strategies, regulatory approvals, and market expansion efforts.

Fusen Pharmaceutical Co., Ltd. Financial Statement Overview

Summary

Fusen Pharmaceutical Co., Ltd. faces significant financial challenges. Declining revenues and profitability, increased leverage, and zero or negative free cash flow underscore severe liquidity risks. The negative net income and operating cash flow highlight ongoing operational difficulties.

Income Statement

The company's income statement shows a troubling trend with declining revenues from 2023 to 2024 and negative net income for both years. Gross profit margin deteriorated significantly from 2023 to 2024, reflecting inefficiencies or pricing pressures. The EBIT margin turned negative in 2024, indicating operational challenges. The revenue growth rate was negative, suggesting a contraction phase.

Balance Sheet

The balance sheet reveals a moderately leveraged position with a debt-to-equity ratio of approximately 1.04 in 2024. The equity ratio is stable, but stockholders' equity decreased over the period, indicating potential financial strain. Return on equity was negative in 2024, further signaling profitability issues.

Cash Flow

The cash flow analysis highlights severe liquidity challenges with zero free cash flow in 2024 and negative operating cash flow in 2023. The free cash flow growth rate is not calculable due to zero cash flow in 2024, and the operating cash flow to net income ratio is also indeterminate, underscoring cash generation issues.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	326.03M	565.61M	491.76M	385.66M	486.85M
Gross Profit	162.64M	299.51M	225.02M	211.13M	266.07M
EBITDA	-39.07M	18.93M	49.90M	86.84M	110.30M
Net Income	-188.78M	-36.28M	-34.65M	16.64M	70.13M
Balance Sheet
Total Assets	1.24B	1.34B	1.35B	1.24B	1.24B
Cash, Cash Equivalents and Short-Term Investments	21.06M	34.85M	128.11M	81.70M	312.53M
Total Debt	383.69M	344.12M	228.38M	240.69M	198.50M
Total Liabilities	869.80M	781.52M	737.38M	582.39M	583.10M
Stockholders Equity	369.67M	563.52M	614.17M	658.17M	659.44M
Cash Flow
Free Cash Flow	57.43M	-161.84M	86.63M	-62.37M	94.56M
Operating Cash Flow	133.73M	-73.33M	110.49M	47.77M	153.21M
Investing Cash Flow	-163.42M	-108.32M	-13.13M	-282.98M	-68.20M
Financing Cash Flow	15.99M	88.50M	-51.77M	20.53M	-116.33M

Fusen Pharmaceutical Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.38
• 50DMA: Positive
• 100DMA: Positive
• 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:1652, the sentiment is Positive. The current price of 0.38 is above the 20-day moving average (MA) of 0.35, above the 50-day MA of 0.35, and below the 200-day MA of 0.44, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 60.94 is Neutral, neither overbought nor oversold. The STOCH value of 69.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1652.

Fusen Pharmaceutical Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3737	70 Outperform	HK$584.43M	26.44	1.87%	7.46%	-1.99%	-81.66%
Sector *	51 Neutral	$8.02B	-0.39	-43.38%	2.20%	22.34%	-2.13%
1011	50 Neutral	HK$741.67M	―		―	―	―
1652	49 Neutral	HK$279.38M	―	-40.38%	―	-43.46%	-96.48%
0455	―	HK$328.96M	―	-13.08%	―	―	―
8622	48 Neutral	HK$200.19M	―	-8.71%	―	2.54%	33.33%
1498	45 Neutral	HK$175.75M	―	-33.22%	―	-17.32%	55.74%

Fusen Pharmaceutical Co., Ltd. Corporate Events

Fusen Pharmaceutical Reports Significant Revenue Decline in H1 2025

Fusen Pharmaceutical Co., Ltd. reported a significant decline in its financial performance for the first half of 2025, with revenue dropping by 43.3% and gross profit decreasing by 59.4% compared to the same period in 2024. Despite the reduced losses attributable to equity shareholders, the company continues to face challenges in its operations, impacting its market positioning and stakeholder confidence.

The most recent analyst rating on (HK:1652) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Fusen Pharmaceutical Co., Ltd. stock, see the HK:1652 Stock Forecast page.

Fusen Pharmaceutical Schedules Board Meeting to Review Interim Results

Fusen Pharmaceutical Co., Ltd. has announced a board meeting scheduled for August 29, 2025, to review and approve the company’s unaudited interim results for the first half of the year and to consider declaring an interim dividend. This meeting is significant for stakeholders as it will provide insights into the company’s financial performance and potential shareholder returns.

The most recent analyst rating on (HK:1652) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Fusen Pharmaceutical Co., Ltd. stock, see the HK:1652 Stock Forecast page.