Ritamix Global Limited (1936) AI Stock Analysis

• Market Cap: HK$320.96M
• Dividend Yield: N/A
• Average Volume (3M): 23.67K
• Price to Earnings (P/E): 20.1
• Beta (1Y): 0.17
• Revenue Growth: 14.31%
• EPS Growth: -8.40%
• Country: HK
• Employees: 52
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Agricultural Farm Products
• EPS (TTM): 0.02
• Shares Outstanding: 472,000,000
• 10 Day Avg. Volume: 26,800
• 30 Day Avg. Volume: 23,666
• PEG Ratio: -0.91
• Price to Book (P/B): 1.53
• Price to Sales (P/S): 1.68
• P/FCF Ratio: -69.01
• 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: 67 Neutral
• Price Target: HK$0.50 ▼(-28.57% Downside)

Ritamix Global Limited's overall stock score is primarily influenced by its stable financial position and bullish technical indicators. However, challenges in profitability and cash flow management, along with a moderate valuation, slightly dampen the score.

Positive Factors

Strong Balance Sheet

A strong balance sheet with minimal leverage provides financial stability and flexibility, allowing the company to invest in growth opportunities without the burden of significant debt.

Equity Ratio

A high equity ratio indicates a solid capital base, reducing financial risk and enhancing the company's ability to withstand economic downturns and invest in strategic initiatives.

Revenue Growth

Despite recent fluctuations, the ability to achieve revenue growth in 2024 suggests potential for market recovery and product demand, supporting long-term business sustainability.

Negative Factors

Declining Margins

Decreasing profit margins indicate challenges in cost management and pricing power, potentially impacting long-term profitability and competitive positioning.

Negative Cash Flow

Negative operating cash flow suggests difficulties in generating sufficient cash from operations, which may constrain the company's ability to fund growth and meet financial obligations.

Decreased Return on Equity

A decline in return on equity reflects reduced efficiency in generating returns on shareholder investments, which could affect investor confidence and future capital raising efforts.

Ritamix Global Limited Business Overview & Revenue Model

Company Description

Ritamix Global Limited, an investment holding company, engages in the distribution of animal feed additives and human food ingredients in Malaysia. It offers amino acids, vitamin premixes, acidifiers, enzymes, organic antioxidants and growth ingredients, and other products for poultry, swine, cattle, aquaculture, etc. The company also provides feed nutrition, formulations, and veterinary consultation services, as well as veterinarian technical support. In addition, it is involved in the manufacturing of animal feed additives premixes. The company was founded in 1982 and is headquartered in Shah Alam, Malaysia. Ritamix Global Limited is a subsidiary of Garry-Worth Investment Limited.

How the Company Makes Money

Ritamix Global Limited generates revenue through multiple key streams including the sale of manufactured products, providing maintenance and support services, and entering into long-term contracts with businesses across various sectors. The company benefits from strategic partnerships with suppliers and distributors, which enhance its market reach and operational efficiency. Additionally, Ritamix invests in research and development to create innovative solutions that address market needs, further driving sales and establishing a competitive advantage in the marketplace.

Ritamix Global Limited Financial Statement Overview

Summary

Ritamix Global Limited exhibits a stable financial position with a strong balance sheet characterized by low leverage and high equity. However, the company faces challenges in maintaining consistent revenue growth and profitability, as evidenced by declining margins and negative cash flows.

Income Statement

Ritamix Global Limited has shown a mixed performance in terms of revenue and profitability. The gross profit margin for 2024 is approximately 21.0%, indicating a moderate level of profitability. However, the net profit margin has decreased to 6.8% from 9.7% in 2023, reflecting reduced profitability. Revenue growth has been inconsistent, with a decline of 4.7% in 2023 and a slight increase of 4.0% in 2024. The EBIT margin has also decreased from 9.7% in 2023 to 5.1% in 2024, indicating a decline in operational efficiency.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.01, indicating minimal leverage. The equity ratio stands at 77.0%, reflecting a robust capital structure. However, the return on equity has decreased to 6.1% in 2024 from 7.1% in 2023, suggesting a decline in the company's ability to generate returns on shareholders' equity.

Cash Flow

The cash flow statement reveals challenges in cash management. Operating cash flow turned negative in 2024, contrasting with positive cash flows in previous years. The free cash flow has also declined, resulting in a negative free cash flow of -$2.99 million in 2024. The free cash flow to net income ratio is negative, indicating that the company is not generating sufficient cash from its operations relative to its net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	122.53M	117.80M	134.18M	120.14M	115.88M
Gross Profit	25.77M	26.12M	31.95M	27.91M	26.12M
EBITDA	7.24M	12.43M	18.40M	15.43M	13.89M
Net Income	8.28M	11.42M	11.31M	11.84M	8.45M
Balance Sheet
Total Assets	174.89M	170.51M	159.14M	153.88M	149.02M
Cash, Cash Equivalents and Short-Term Investments	95.07M	88.22M	74.40M	55.00M	68.25M
Total Debt	1.89M	1.88M	87.00K	122.00K	61.00K
Total Liabilities	41.18M	10.35M	10.54M	13.20M	8.31M
Stockholders Equity	134.66M	160.58M	148.60M	140.68M	140.71M
Cash Flow
Free Cash Flow	-2.98M	14.55M	24.08M	3.43M	8.21M
Operating Cash Flow	-274.00K	15.25M	24.79M	4.18M	9.52M
Investing Cash Flow	7.05M	-1.84M	8.22M	6.61M	-50.45M
Financing Cash Flow	-2.91M	-886.00K	-756.00K	-14.30M	49.63M

Ritamix Global Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.70
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1936, the sentiment is Positive. The current price of 0.7 is above the 20-day moving average (MA) of 0.69, above the 50-day MA of 0.67, and above the 200-day MA of 0.62, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 49.58 is Neutral, neither overbought nor oversold. The STOCH value of 13.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1936.

Ritamix Global Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1431	72 Outperform	HK$1.36B	4.55	5.66%	―	13.78%	432.26%
1936	67 Neutral	HK$320.96M	20.12	5.90%	―	14.31%	-8.40%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
1084	59 Neutral	HK$542.98M	18.23	3.41%	1.88%	-10.60%	―
1117	55 Neutral	HK$12.79B	-5.68	-21.76%	0.86%	-2.69%	-695.87%
1432	53 Neutral	HK$2.89B	85.00	0.82%	0.69%	-7.11%	―