Raily Aesthetic Medicine International Holdings Limited (2135) AI Stock Analysis

• Market Cap: HK$91.36M
• Dividend Yield: N/A
• Average Volume (3M): 289.64K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.58
• Revenue Growth: -20.66%
• EPS Growth: -77.84%
• Country: HK
• Employees: 290
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Care Facilities
• EPS (TTM): -0.01
• Shares Outstanding: 557,077,330
• 10 Day Avg. Volume: 121,000
• 30 Day Avg. Volume: 289,644
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.09
• Price to Sales (P/S): 0.05
• P/FCF Ratio: -0.25
• 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: 50 Neutral
• Price Target: HK$0.15 ▼(-11.18% Downside)

The overall stock score is primarily impacted by the company's weak financial performance, characterized by persistent losses and increasing leverage. While technical analysis shows a positive short-term trend, the overbought RSI suggests caution. Valuation metrics are unfavorable, with a negative P/E ratio and no dividend yield, further weighing down the score.

Positive Factors

Structural market growth

The company operates in a structurally expanding aesthetic medicine market driven by demand for non- and minimally invasive procedures. This macro tailwind supports longer-term patient volume growth, pricing opportunities, and new service rollouts that can underpin sustainable revenue expansion.

Fee-for-service, repeat revenue

A fee-for-service model with meaningful repeat business and referrals creates durable revenue visibility and customer lifetime value. Recurring client visits and cross-selling of treatments/products support steady cash flow and make margin improvements scalable as utilization and retention rise.

Operating cash conversion signal

A positive operating cash flow to net income ratio indicates the business can convert operational activity into cash even while reporting accounting losses. That cash-generation capacity helps fund day-to-day operations and provides runway to execute restructuring or growth initiatives without immediate external financing.

Negative Factors

Persistent negative margins

Sustained negative net, EBIT and EBITDA margins signal structural profitability issues that limit reinvestment and shareholder returns. Without durable margin recovery, the company faces ongoing cash strain, reduced ability to scale profitable services, and increased reliance on financing.

Rising financial leverage

An increasing debt-to-equity ratio reduces financial flexibility and raises fixed obligations, constraining capital allocation for clinics, equipment, or marketing. Higher leverage also heightens sensitivity to interest rates and revenue volatility, elevating refinancing and solvency risk over the medium term.

Declining revenue trend

A material negative revenue growth rate erodes scale economics and makes margin recovery harder, pressuring unit economics and pricing power. Continued top-line contraction can undermine clinician utilization, reduce cross-sell potential, and complicate efforts to achieve sustainable profitability.

Raily Aesthetic Medicine International Holdings Limited Business Overview & Revenue Model

Company Description

Raily Aesthetic Medicine International Holdings Limited (2135) is a prominent player in the aesthetic medicine sector, specializing in providing a range of aesthetic and cosmetic services. The company operates in the rapidly growing field of non-invasive and minimally invasive treatments, including injectables, laser therapies, and skin rejuvenation procedures. With a strategic focus on enhancing patient experiences and outcomes, Raily Aesthetic Medicine leverages advanced technologies and skilled practitioners to cater to an expanding clientele seeking aesthetic enhancements and skincare solutions.

How the Company Makes Money

Raily Aesthetic Medicine generates revenue primarily through its diverse offerings of aesthetic treatments and services. The company's revenue model is centered around fee-for-service income from patients seeking cosmetic procedures, which can include consultations, injectables such as Botox and dermal fillers, laser treatments, and other skin care services. Additionally, Raily may generate income through the sale of related skincare products and equipment used in treatments. Key revenue streams include repeat business from returning clients and referrals, as well as potential partnerships with beauty and wellness brands that enhance their service offerings. The growth of the aesthetic medicine market, along with strategic marketing efforts and a strong brand presence, contributes significantly to the company's earnings.

Raily Aesthetic Medicine International Holdings Limited Financial Statement Overview

Summary

Raily Aesthetic Medicine International Holdings Limited faces significant financial challenges, with declining profitability and increasing leverage. The income statement shows persistent losses, while the balance sheet indicates rising debt levels. Cash flow issues further exacerbate the company's financial position, requiring strategic adjustments to improve financial health.

Income Statement

The company has shown a decline in revenue growth, with a slight increase in revenue from 2023 to 2024. Gross profit margin has decreased over the years, indicating pressure on profitability. The net profit margin remains negative, reflecting ongoing losses. The EBIT and EBITDA margins are also negative, highlighting operational challenges.

Balance Sheet

The debt-to-equity ratio has increased, indicating higher leverage and potential financial risk. The return on equity is negative due to net losses, which is concerning for shareholders. However, the equity ratio remains relatively stable, suggesting a balanced asset structure.

Cash Flow

The company has experienced negative free cash flow, which has worsened from 2023 to 2024. The operating cash flow to net income ratio is positive, indicating some ability to generate cash from operations despite losses. However, the free cash flow to net income ratio is negative, reflecting cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	166.47M	199.34M	189.38M	164.52M	188.37M	164.54M
Gross Profit	52.08M	71.41M	71.49M	66.78M	69.69M	80.17M
EBITDA	-14.90M	-34.29M	-6.03M	3.89M	-6.00M	17.48M
Net Income	-65.17M	-59.21M	-32.46M	-15.91M	-17.69M	4.25M
Balance Sheet
Total Assets	240.89M	249.92M	273.60M	302.65M	344.73M	272.33M
Cash, Cash Equivalents and Short-Term Investments	35.73M	28.87M	39.79M	78.78M	121.72M	148.40M
Total Debt	72.96M	56.37M	51.78M	48.22M	67.45M	32.19M
Total Liabilities	152.57M	154.41M	141.01M	136.77M	162.37M	85.58M
Stockholders Equity	97.97M	104.13M	138.12M	166.08M	178.22M	185.87M
Cash Flow
Free Cash Flow	4.53M	-38.59M	-10.00M	-21.13M	-18.25M	5.56M
Operating Cash Flow	10.29M	6.01M	8.02M	-2.27M	-2.47M	14.16M
Investing Cash Flow	-10.61M	-12.70M	-26.14M	558.00K	-82.45M	-13.34M
Financing Cash Flow	1.51M	19.43M	-10.48M	-25.65M	11.97M	92.67M

Raily Aesthetic Medicine International Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.17
• 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:2135, the sentiment is Positive. The current price of 0.17 is above the 20-day moving average (MA) of 0.16, above the 50-day MA of 0.15, and above the 200-day MA of 0.13, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 50.92 is Neutral, neither overbought nor oversold. The STOCH value of 19.70 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2135.

Raily Aesthetic Medicine International Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2373	66 Neutral	HK$6.67B	21.28	31.23%	1.97%	28.53%	22.34%
8357	61 Neutral	HK$99.22M	-13.47	-10.31%	―	-11.68%	-71.01%
8307	58 Neutral	HK$79.35M	-60.61	-19.93%	―	-2.91%	55.41%
8161	53 Neutral	HK$22.05M	2.46	125.77%	―	-20.81%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
2135	50 Neutral	HK$91.36M	-1.29	-51.07%	―	-20.66%	-77.84%
8437	41 Neutral	HK$17.32M	-0.58	―	―	14.64%	-81.95%

Raily Aesthetic Medicine International Holdings Limited Corporate Events

Raily Aesthetic Medicine to Consolidate New Subsidiary After HK$3.5 Million Share Subscription

Raily Aesthetic Medicine International Holdings Limited has announced that its subsidiary Miusee Beauty and a target company have entered into a subscription agreement with two external investors, under which 233,335 new shares of the target company will be issued for a total subscription price of HK$3.5 million. Upon completion, Miusee Beauty, the first investor and the second investor will hold 30%, 51% and 19% of the target company respectively, making the target company an indirect non-wholly owned subsidiary whose financial results will be consolidated into Raily’s group accounts; the deal qualifies as a discloseable transaction under Hong Kong listing rules, requiring reporting and announcement but not shareholder approval, and signals a further build-out of Raily’s footprint in the aesthetic medicine segment through minority external capital participation.

The most recent analyst rating on (HK:2135) stock is a Hold with a HK$0.14 price target. To see the full list of analyst forecasts on Raily Aesthetic Medicine International Holdings Limited stock, see the HK:2135 Stock Forecast page.

Raily Aesthetic Medicine Redirects Remaining IPO Proceeds to Working Capital Amid Weak Shanghai Market

Raily Aesthetic Medicine International Holdings has reallocated approximately HK$8.4 million of unutilised IPO net proceeds, originally earmarked for organic expansion of its aesthetic medical institutions network, to general working capital, with full deployment now targeted by 31 December 2026. The board determined that using the funds for establishing a new aesthetic medical hospital in Shanghai is no longer optimal, citing prolonged weakness in the city’s aesthetic medicine market following COVID-19 and the failure to identify a suitable institution there, and concluded that strengthening liquidity is currently more prudent for the company’s operations and financial stability.

The most recent analyst rating on (HK:2135) stock is a Hold with a HK$0.14 price target. To see the full list of analyst forecasts on Raily Aesthetic Medicine International Holdings Limited stock, see the HK:2135 Stock Forecast page.