Vedan International (Holdings) Ltd. (2317) AI Stock Analysis

• Market Cap: HK$959.33M
• Dividend Yield: 14.13%
• Average Volume (3M): 56.73K
• Price to Earnings (P/E): 7.7
• Beta (1Y): 0.36
• Revenue Growth: -1.88%
• EPS Growth: 129.25%
• Country: HK
• Employees: 4,033
• Sector: Consumer Defensive
• Sector Strength: 55
• Industry: Packaged Foods
• EPS (TTM): 0.08
• Shares Outstanding: 1,522,742,100
• 10 Day Avg. Volume: 43,600
• 30 Day Avg. Volume: 56,733
• PEG Ratio: 0.20
• Price to Book (P/B): 0.37
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.95
• Enterprise Value/Market Cap: 0.13
• Enterprise Value/Revenue: 0.08
• Enterprise Value/Gross Profit: 1.84
• Enterprise Value/Ebitda: 0.85
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 79 Outperform
• Price Target: HK$0.50 ▼(-20.63%Downside)

Vedan International demonstrates strong financial performance, marked by improved profitability and financial stability. The technical indicators support an upward trend, and the valuation metrics suggest potential undervaluation with an unusually high dividend yield. These factors collectively contribute to a solid stock score.

Vedan International (Holdings) Ltd. Business Overview & Revenue Model

Company Description

Vedan International (Holdings) Ltd. is a leading company in the food and beverage sector, primarily engaged in the production and distribution of various food additive products. The company specializes in the manufacture of fermentation-based amino acids, MSG (monosodium glutamate), starch-based products, sweeteners, and other related food additives, which are essential in enhancing the flavor and quality of a wide array of food products. Vedan operates significant manufacturing facilities and has established a robust distribution network to cater to its diverse clientele across Asia and other international markets.

How the Company Makes Money

Vedan International (Holdings) Ltd. generates revenue primarily through the sale of its food additive products, which include MSG, amino acids, and starch-based products. The company's revenue streams are anchored in its strong manufacturing capabilities, which allow for large-scale production of high-demand food additives. By supplying these essential ingredients to food manufacturers, Vedan taps into the growing global demand for processed and convenience foods. Strategic partnerships with food and beverage companies further bolster its sales, providing a stable and recurring revenue base. Additionally, Vedan's focus on innovation and quality ensures its products meet industry standards, thereby enhancing its market position and enabling premium pricing strategies in some segments.

Vedan International (Holdings) Ltd. Financial Statement Overview

Summary

Vedan International exhibits a strong financial recovery with improved profitability, operational efficiency, and cash flow generation. The balance sheet remains robust with low leverage and high equity ratios, ensuring financial stability. The company is well-positioned with the capability to sustain its operations and pursue growth opportunities.

Income Statement

Vedan International shows a solid recovery in profitability with the net profit margin increasing from 1.81% in 2023 to 4.22% in 2024. The gross profit margin improved to 17.42% in 2024. The revenue growth rate is slightly negative at -1.55% from 2023 to 2024, but the EBIT margin significantly increased to 6.03% in 2024, indicating enhanced operational efficiency. Overall, the income statement reflects a strong rebound in profitability and operational performance.

Balance Sheet

The company maintains a robust financial position with a low debt-to-equity ratio of 0.09 in 2024, reflecting low leverage. The equity ratio is strong at 81.96%, indicating financial stability. Return on equity improved to 5.31% in 2024, showcasing effective utilization of equity. Overall, the balance sheet is solid with low leverage and high equity, supporting a stable financial structure.

Cash Flow

Vedan International achieved a remarkable increase in free cash flow from 23.23 million in 2023 to 43.02 million in 2024, reflecting a significant growth rate of 85.18%. The operating cash flow to net income ratio improved, indicating strong cash flow generation relative to net income. Free cash flow to net income ratio also improved, supporting financial flexibility. Overall, the cash flow statement highlights robust cash flow generation and efficient capital management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	380.18M	386.17M	451.01M	382.36M	360.74M
Gross Profit	66.24M	55.43M	43.35M	60.37M	72.56M
EBITDA	45.78M	35.14M	15.14M	33.56M	42.70M
Net Income	16.05M	6.99M	-3.86M	11.01M	16.65M
Balance Sheet
Total Assets	368.69M	383.51M	405.97M	389.15M	386.54M
Cash, Cash Equivalents and Short-Term Investments	64.01M	50.36M	47.81M	69.74M	72.16M
Total Debt	28.52M	46.72M	63.10M	43.33M	49.38M
Total Liabilities	66.28M	88.73M	114.25M	87.13M	85.27M
Stockholders Equity	302.19M	294.56M	291.49M	301.79M	301.06M
Cash Flow
Free Cash Flow	43.02M	23.23M	-36.12M	13.46M	9.92M
Operating Cash Flow	48.62M	32.18M	-24.71M	24.87M	45.64M
Investing Cash Flow	-1.02M	-30.03M	-7.34M	15.58M	-45.88M
Financing Cash Flow	-28.90M	-19.71M	16.43M	-17.63M	-83.00K

Vedan International (Holdings) Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.63
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2317, the sentiment is Positive. The current price of 0.63 is above the 20-day moving average (MA) of 0.60, above the 50-day MA of 0.60, and above the 200-day MA of 0.51, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 63.80 is Neutral, neither overbought nor oversold. The STOCH value of 75.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2317.

Vedan International (Holdings) Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8476	80 Outperform	HK$1.05B	25.18	15.07%	1.07%	-8.84%	-6.59%
2317	79 Outperform	HK$959.33M	7.66	5.39%	14.13%	-1.88%	129.25%
3838	71 Outperform	HK$1.12B	2.13	12.45%	5.24%	-5.08%	359.16%
1583	66 Neutral	$936.32M	40.92	1.74%	―	-0.82%	―
Sector *	60 Neutral	HK$17.36B	10.94	0.20%	5.76%	2.68%	-48.29%
0829	58 Neutral	HK$904.53M	31.46	1.14%	14.29%	-10.03%	-14.29%
0809	46 Neutral	HK$766.04M	0.99		―	45.65%	-81.70%

Vedan International (Holdings) Ltd. Corporate Events

Vedan International Passes All Resolutions at Annual General Meeting

Vedan International (Holdings) Ltd. held its Annual General Meeting on May 27, 2025, where all proposed resolutions were passed by a significant majority. Key resolutions included the approval of a final dividend, re-election of directors, and authorization for share repurchase and issuance mandates, reflecting strong shareholder support and strategic direction for the company.

Vedan International Declares Final Dividend for 2024

Vedan International (Holdings) Ltd. has announced a final cash dividend of USD 0.0057 per share for the financial year ending December 31, 2024. The dividend will be paid in Hong Kong dollars at a rate of HKD 0.0444999 per share, with an exchange rate of USD 1 to HKD 7.807. Shareholders’ approval was obtained on May 27, 2025, and the payment date is set for June 17, 2025. This announcement reflects the company’s continued commitment to returning value to its shareholders.

Vedan International Announces 2025 AGM and Key Resolutions

Vedan International (Holdings) Ltd. has announced its upcoming annual general meeting, scheduled for May 27, 2025, in Hong Kong. The meeting will address several key items, including the consideration of the company’s audited financial statements for 2024, the declaration of a final dividend, the re-election of directors, and the re-appointment of PricewaterhouseCoopers as auditor. Additionally, a resolution will be proposed to grant the directors a mandate to repurchase up to 10% of the company’s issued shares, reflecting a strategic move to manage share capital effectively. This announcement highlights the company’s commitment to maintaining transparency and shareholder value, potentially impacting its market position and investor confidence.

Vedan International Announces Board Resignation and Committee Changes

Vedan International (Holdings) Limited, a company incorporated in the Cayman Islands, has announced the resignation of Mr. Chen, Joen-Ray as an independent non-executive director due to other business commitments, effective March 31, 2025. Consequently, Mr. Chen will also step down from his roles in the audit, nomination, and remuneration committees. The company has appointed Mr. Huang, Chung-Fong and Ms. Lee, Peir-Fen as new members of the nomination and remuneration committees, ensuring continued governance and oversight.

Vedan International Announces Board Composition and Roles

Vedan International (Holdings) Ltd. has announced the composition of its board of directors and their respective roles within the company. The board comprises executive, non-executive, and independent non-executive directors, with specific members assigned to the audit, nomination, and remuneration committees. This announcement highlights the company’s governance structure, which is crucial for stakeholders to understand the leadership and decision-making processes within the organization.