China Longevity Group Co. Ltd. (1863) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: N/A
• Average Volume (3M): N/A
• Price to Earnings (P/E): ―
• Beta (1Y): N/A
• Revenue Growth: 19.99%
• EPS Growth: -17.35%
• Country: HK
• Employees: N/A
• Sector: Healthcare
• Sector Strength: 45
• Industry: Industrial Materials
• EPS (TTM): 0.02
• Shares Outstanding: 852,612,500
• 10 Day Avg. Volume: N/A
• 30 Day Avg. Volume: N/A
• PEG Ratio: -1.68
• Price to Book (P/B): 1.46
• Price to Sales (P/S): 0.94
• P/FCF Ratio: -45.98
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: ―

The score is primarily driven by a moderate financial profile: revenue recovery but weaker margins and earnings, increased leverage with lower ROE, and volatile cash generation with negative free cash flow. Technical and valuation inputs were not provided, limiting confidence in momentum and pricing assessments.

Positive Factors

Revenue Growth

The strong revenue rebound indicates a recovery in market demand and potential for future growth, supporting long-term business sustainability.

Research and Development

Ongoing R&D investment suggests a commitment to innovation, which can lead to competitive advantages and new market opportunities over time.

Operating Cash Flow Improvement

Improved operating cash flow enhances financial flexibility, allowing for reinvestment in growth initiatives and debt reduction, strengthening long-term stability.

Negative Factors

Weak Profitability

Declining margins indicate cost pressures or pricing challenges, which can erode earnings and reduce competitive positioning over time.

Rising Leverage

Increased leverage limits financial flexibility and raises risk, potentially impacting the company's ability to invest in growth or weather downturns.

Negative Free Cash Flow

Persistent negative free cash flow suggests challenges in converting earnings into cash, which can strain liquidity and hinder long-term investment capacity.

China Longevity Group Co. Ltd. Business Overview & Revenue Model

Company Description

China Longevity Group Co Ltd is involved in the reinforced materials business. It engaged in designing, developing, manufacturing, and sale of polymer-processed polyester fabric composite materials, reinforced composite materials, conventional materials, and inflatable and waterproof products. Its products are used in various industries, such as outdoor leisure, sports, renewable energy, protection, construction, transportation, packaging, medical, safety, advertisement, and daily supplies. Geographically business presence of the firm can be seen across the region of China, USA, Russia, and other regions.

How the Company Makes Money

The company generates revenue through multiple streams, including the sale of health supplements and herbal products, which are marketed both online and through traditional retail channels. Key revenue streams include direct-to-consumer sales, distribution agreements with pharmacies and health stores, and partnerships with e-commerce platforms to enhance market reach. Additionally, China Longevity Group may benefit from collaborations with health and wellness practitioners who recommend its products to clients. The company also invests in research and development to innovate and expand its product lines, which helps maintain its competitive edge and drive sales.

China Longevity Group Co. Ltd. Financial Statement Overview

Summary

China Longevity Group Co. Ltd. demonstrates solid revenue growth and efficient operations within the industrial materials sector. While profitability indicators are generally positive, the company faces challenges with net profit margin compression and maintaining a healthy balance between debt and equity. The cash flow position shows improvement, yet the company must continue to manage its capital expenditure to ensure sustainable cash flow generation.

Income Statement

China Longevity Group Co. Ltd. shows a strong revenue growth trajectory, with revenue increasing from 2023 to 2024 by 24.8%. The gross profit margin stands at 17.4% for 2024, reflecting solid operational efficiency. However, the net profit margin decreased to 4.8% in 2024, indicating potential cost pressures or increased expenses. EBIT and EBITDA margins are healthy at 6.6% and 10.9%, respectively, showing effective cost management despite a slight dip in EBIT from the previous year.

Balance Sheet

The company's debt-to-equity ratio remains relatively stable at 0.91, suggesting a balanced approach to leverage. Return on equity (ROE) is moderate at 7.4%, indicating reasonable profitability for shareholders. The equity ratio of 38.6% highlights a decent proportion of assets financed by equity, providing stability. However, the overall increase in total debt may pose future risks if not managed carefully.

Cash Flow

Free cash flow improved significantly from a negative position in 2023 to a smaller negative value in 2024, indicating improved cash management. The operating cash flow to net income ratio of 1.86 in 2024 suggests strong cash generation relative to reported earnings. However, the free cash flow to net income ratio remains negative, reflecting ongoing capital expenditure needs that exceed cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.27B	1.17B	933.93M	926.62M	1.44B	812.14M
Gross Profit	218.34M	202.74M	186.04M	146.32M	260.47M	188.71M
EBITDA	151.58M	127.29M	127.75M	122.09M	195.87M	92.27M
Net Income	53.89M	55.55M	63.00M	46.19M	106.93M	45.03M
Balance Sheet
Total Assets	1.95B	1.94B	1.71B	1.33B	1.39B	970.22M
Cash, Cash Equivalents and Short-Term Investments	110.73M	83.35M	64.36M	90.58M	77.99M	34.90M
Total Debt	707.91M	680.75M	619.57M	332.50M	255.45M	203.23M
Total Liabilities	1.10B	1.11B	951.79M	688.27M	831.66M	569.76M
Stockholders Equity	766.55M	749.28M	676.42M	599.34M	531.17M	400.47M
Cash Flow
Free Cash Flow	-19.99M	-23.86M	-354.53M	-138.53M	55.80M	-87.02M
Operating Cash Flow	167.06M	103.56M	-10.62M	35.14M	177.51M	28.38M
Investing Cash Flow	-188.62M	-135.18M	-333.16M	-95.10M	-201.75M	-115.49M
Financing Cash Flow	69.49M	50.22M	317.36M	73.07M	67.21M	95.77M

China Longevity Group Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2211	59 Neutral	HK$152.55M	-4.06	-7.71%	―	-34.73%	-4642.86%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
1863	51 Neutral	―	―	7.16%	―	19.99%	-17.35%
0876	50 Neutral	HK$504.21M	-20.48	―	―	-8.46%	45.13%
2135	50 Neutral	HK$94.70M	-1.38	-51.07%	―	-20.66%	-77.84%

China Longevity Group Co. Ltd. Corporate Events

China Longevity Group Updates on Trading Suspension and Business Health

China Longevity Group Company Limited, listed on the Stock Exchange of Hong Kong, has announced that its production, operation, and financial health remain stable, with a continued focus on research and development of new materials and products. Despite the suspension of its shares from trading since February 2013, the company has not received any notice from the Stock Exchange regarding delisting. The Securities and Futures Commission is still considering the company’s resumption application, with no decision made yet. The company will keep shareholders informed of any developments.