Beijing Chunlizhengda Medical Instruments Co., Ltd. Class H (1858) AI Stock Analysis

• Market Cap: HK$8.18B
• Dividend Yield: 0.07%
• Average Volume (3M): 1.64M
• Price to Earnings (P/E): 41.0
• Beta (1Y): 1.25
• Revenue Growth: -32.05%
• EPS Growth: -54.47%
• Country: HK
• Employees: 1,237
• Sector: Healthcare
• Sector Strength: 37
• Industry: Medical - Devices
• EPS (TTM): 0.16
• Shares Outstanding: 95,140,500
• 10 Day Avg. Volume: 2,122,305
• 30 Day Avg. Volume: 1,644,776
• PEG Ratio: 18.60
• Price to Book (P/B): 2.51
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -4.62
• 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$11.00
• Price Target Upside: -33.66% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 67 Neutral
• Price Target: HK$18.00 ▲(8.56%Upside)

The stock exhibits strong technical momentum, supporting a higher score, but this is countered by financial performance concerns due to revenue and cash flow challenges. The high P/E ratio raises valuation concerns, though a strong dividend yield offers some offset. The absence of earnings call data prevents further analysis.

Beijing Chunlizhengda Medical Instruments Co., Ltd. Class H Business Overview & Revenue Model

Company Description

Beijing Chunlizhengda Medical Instruments Co., Ltd., an orthopedic medical device company, engages in the research and development, production, and sale of surgical implants, instruments, and related products in the People's Republic of China. It offers implantable orthopedic medical devices, which consist of joint prosthesis products and spinal products. The company primarily sells its products through distributors, or on ODM and OEM bases under the Chunli brand, as well as to hospitals directly. It also exports its products to various countries. The company was incorporated in 1998 and is headquartered in Beijing, China.

How the Company Makes Money

Beijing Chunlizhengda Medical Instruments Co., Ltd. generates revenue through the sale of its orthopedic implants and surgical instruments. The company's primary revenue streams include the direct sale of joint prostheses and spinal implants to hospitals, clinics, and healthcare providers. Chunlizhengda also engages in partnerships and collaborations with medical institutions and distributors to expand its market reach. Additionally, the company invests in research and development to continuously improve its product offerings, which helps maintain its competitive edge and drive sales growth. Key factors contributing to its earnings include its robust distribution network, commitment to product quality, and ability to meet the evolving demands of the healthcare sector.

Beijing Chunlizhengda Medical Instruments Co., Ltd. Class H Financial Statement Overview

Summary

The company shows strong balance sheet stability with minimal debt, but faces financial stress due to declining revenue and profitability margins, coupled with negative cash flow from operations. Improving cash generation and revenue is critical for long-term growth.

Income Statement

The gross profit margin remains strong at 64.08% in 2024, indicating efficient cost management in production. However, revenue showed a significant decline of 33.33% from 2023 to 2024, indicating challenges in maintaining sales volumes. The net profit margin also decreased, reflecting reduced profitability. EBIT and EBITDA margins have also decreased, suggesting pressures on operational efficiency.

Balance Sheet

The company maintains a solid equity position with a debt-to-equity ratio of 0.0003, indicating minimal leverage and financial risk. The equity ratio is robust at 81.38%, showcasing strong financial stability. Despite a slight drop in stockholders' equity, the company's balance sheet remains strong.

Cash Flow

The operating cash flow turned negative in 2024, indicating issues in cash generation from core operations. Free cash flow has also declined, pointing to challenges in maintaining liquidity. The free cash flow to net income ratio is negative, highlighting the need for cash management improvements.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	805.86M	1.21B	1.20B	1.11B	937.69M
Gross Profit	516.49M	875.89M	913.53M	854.54M	680.76M
EBITDA	169.32M	340.65M	366.96M	360.99M	349.78M
Net Income	124.99M	277.82M	307.72M	322.36M	283.37M
Balance Sheet
Total Assets	3.47B	3.65B	3.41B	3.00B	1.54B
Cash, Cash Equivalents and Short-Term Investments	1.89B	2.10B	1.72B	1.74B	690.12M
Total Debt	866.44K	1.75M	1.31M	1.23M	1.85M
Total Liabilities	644.39M	770.33M	690.07M	530.58M	460.41M
Stockholders Equity	2.82B	2.88B	2.72B	2.47B	1.08B
Cash Flow
Free Cash Flow	-51.07M	478.47M	16.10M	-34.62M	236.68M
Operating Cash Flow	-1.90M	511.71M	41.01M	164.79M	260.68M
Investing Cash Flow	55.84M	-81.56M	―	―	―
Financing Cash Flow	-183.14M	-121.33M	―	1.07B	-11.88M

Beijing Chunlizhengda Medical Instruments Co., Ltd. Class H Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.58
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1858, the sentiment is Positive. The current price of 16.58 is above the 20-day moving average (MA) of 13.88, above the 50-day MA of 12.14, and above the 200-day MA of 9.50, indicating a bullish trend. The MACD of 1.18 indicates Negative momentum. The RSI at 73.59 is Negative, neither overbought nor oversold. The STOCH value of 68.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1858.

Beijing Chunlizhengda Medical Instruments Co., Ltd. Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1858	67 Neutral	HK$8.18B	41.00	4.39%	0.07%	-32.05%	-54.47%
Sector *	52 Neutral	$7.61B	0.11	-63.03%	2.07%	16.35%	0.29%
4WO	―	€592.80M	―	-10.43%	―	―	―
818	―	€800.37M	59.80	3.22%	0.54%	―	―
1789	75 Outperform	HK$6.93B	22.05	10.92%	0.18%	20.19%	45.54%
1763	73 Outperform	HK$5.12B	11.61	8.40%	0.17%	12.41%	―
1302	69 Neutral	HK$8.42B	36.51	6.49%	―	0.87%	-18.05%

Beijing Chunlizhengda Medical Instruments Co., Ltd. Class H Corporate Events

Beijing Chunlizhengda Medical Instruments Discloses Executive Remuneration Details

Beijing Chunlizhengda Medical Instruments Co., Ltd. has released supplemental information regarding the remuneration of its chief executive, who is not a director, for the years 2022, 2023, and 2024. The announcement clarifies the emoluments paid, highlighting that no inducement or compensation for loss of office was provided, nor were any emoluments waived by the chief executive in these years. This disclosure provides transparency in the company’s financial reporting and may impact stakeholder perceptions regarding executive compensation practices.

Beijing Chunlizhengda Medical Instruments Holds Successful Adjourned H Shareholders’ Meeting

The company recently held an Adjourned H Shareholders’ Class Meeting on July 7, 2025, in Beijing, which was convened by the board of directors and chaired by Ms. Shi Wenling. The meeting adhered to the legal and regulatory requirements of the PRC and the Hong Kong Stock Exchange, with voting conducted by a registered poll. All directors attended, either in person or by phone, and there were no restrictions on shareholder voting. The meeting saw attendance from shareholders holding 11.6541% of the total H Shares.

Beijing Chunlizhengda Declares Final Dividend for 2024

Beijing Chunlizhengda Medical Instruments Co., Ltd. announced the results of resolutions passed at their 2024 annual general meeting, including the declaration of a final ordinary cash dividend of RMB 0.49 per 10 shares for the financial year ending December 31, 2024. The dividend, approved on June 26, 2025, will be paid in Hong Kong dollars at a rate of HKD 0.5364 per 10 shares, with specific withholding tax rates applied based on shareholder residency. This announcement reflects the company’s commitment to returning value to its shareholders and may impact its financial performance and investor relations positively.

Beijing Chunlizhengda Medical Instruments Passes All Resolutions at 2024 AGM

Beijing Chunlizhengda Medical Instruments Co., Ltd. held its 2024 Annual General Meeting and A Shareholders’ Class Meeting on June 26, 2025, where all proposed resolutions were passed. The meeting was conducted in compliance with relevant regulations, and voting was overseen by WUYIGE Certified Public Accountants LLP. Key shareholders abstained from voting on certain resolutions, and there were no stated intentions to oppose any resolutions.

Beijing Chunlizhengda Medical Instruments Adjourns H Shareholders’ Meeting

Beijing Chunlizhengda Medical Instruments Co., Ltd. announced the adjournment of its H Shareholders’ Class Meeting due to insufficient voting rights participation. The meeting, initially scheduled for June 26, 2025, will now be held on July 7, 2025. This rescheduling ensures compliance with the company’s articles of association, allowing for adequate shareholder representation and decision-making.

Beijing Chunlizhengda Announces H Shareholders’ Class Meeting for Share Repurchase Mandate

Beijing Chunlizhengda Medical Instruments Co., Ltd. has announced a class meeting for H shareholders to discuss a special resolution regarding the repurchase of H Shares. The proposed mandate would allow the board to repurchase up to 10% of the total H Shares, excluding treasury shares, based on market conditions and company needs. This move could potentially impact the company’s share capital structure and market positioning, reflecting strategic financial management to enhance shareholder value.

Beijing Chunlizhengda Schedules 2024 AGM with Key Resolutions on Agenda

Beijing Chunlizhengda Medical Instruments Co., Ltd. has announced the schedule for its 2024 Annual General Meeting, set for June 26, 2025. Key resolutions to be discussed include the approval of the 2024 profit distribution plan, remuneration for directors and supervisors for 2025, and the re-appointment of auditors. Additionally, a special resolution will consider granting the board a mandate to repurchase up to 10% of its H Shares, reflecting the company’s strategic financial management and commitment to shareholder value.

Beijing Chunlizhengda Announces Leadership Changes in Financial Management

Beijing Chunlizhengda Medical Instruments Co., Ltd. announced the resignation of two senior management members, Mr. Zhai Zhiyong and Ms. Li Yumei, due to personal reasons. Both will continue to serve the company in other capacities. The company appointed Ms. Lu Hongyue as the new Chief Financial Officer, effective immediately, to ensure continuity in financial management. This leadership change is expected to support the company’s ongoing financial strategies and operations.

Beijing Chunlizhengda Medical Instruments Reports Q1 2025 Financial Results

Beijing Chunlizhengda Medical Instruments Co., Ltd. has released its unaudited financial results for the first quarter of 2025, in compliance with the Chinese Accounting Standards for Business Enterprises. The report, available in both Chinese and English, highlights the company’s financial performance for the three months ending March 31, 2025. Stakeholders are advised to consider potential investment risks as the data has not been audited.