Yunkang Group Limited (2325) AI Stock Analysis

• Market Cap: HK$615.04M
• Dividend Yield: 2%
• Average Volume (3M): 1.61M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.14
• Revenue Growth: -18.98%
• EPS Growth: -164.82%
• Country: HK
• Employees: 1,249
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Diagnostics & Research
• EPS (TTM): -1.44
• Shares Outstanding: 621,250,500
• 10 Day Avg. Volume: 4,171,850
• 30 Day Avg. Volume: 1,613,200
• PEG Ratio: >-0.01
• Price to Book (P/B): 4.52
• Price to Sales (P/S): 7.26
• P/FCF Ratio: 22.64
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: HK$1.00 ▲(0.00% Upside)

The overall stock score of 46 reflects significant financial challenges, including declining revenues and negative profitability. Technical analysis indicates bearish momentum, and valuation metrics are concerning with a negative P/E ratio. The company's modest dividend yield provides limited support.

Yunkang Group Limited Business Overview & Revenue Model

Company Description

Yunkang Group Limited operates as a medical operation service provider in the People's Republic of China. The company offers diagnostic testing services for medical institution alliances, including setting up or upgrading diagnostic centers, the establishment of standard operating procedures for diagnostic testing, diagnostic consultation and staff training, procurement of equipment, smart internet of things, and logistics assistance. It also provides diagnostic outsourcing services comprising pathology tests; infectious disease diagnostic tests, including hepatitis B virus, tuberculosis, human papilloma virus, EB virus, rabies virus, and nucleic acid tests for respiratory pathogens; genetic reproduction and screening tests; and routine diagnostic tests for chronic kidney, blood, autoimmune, endocrine metabolism, and other diseases. In addition, the company offers diagnostic testing services for financial institutions and insurance companies, including personalized diagnostic testing, medical report consultation, and hospital referral services; information technology, medical logistics, and medical equipment procurement; healthcare technology development; and project investment. It provides its services through independent clinical laboratories and on-site diagnostic centers. Yunkang Group Limited was founded in 2008 and is headquartered in Guangzhou, the People's Republic of China.

How the Company Makes Money

Yunkang Group Limited generates revenue through multiple streams, primarily from the sale of its traditional Chinese medicine products and health supplements. The company capitalizes on the increasing consumer interest in natural and holistic health solutions. Key revenue streams include direct sales through retail outlets, online platforms, and partnerships with healthcare providers and distributors. Additionally, Yunkang Group may benefit from licensing agreements and collaborations with other firms in the healthcare sector, allowing them to expand their product range and market reach. The company's focus on innovation and quality in its product offerings also plays a significant role in driving sales and enhancing customer loyalty.

Yunkang Group Limited Financial Statement Overview

Summary

Yunkang Group Limited is facing financial headwinds with declining revenues and profitability. While the balance sheet shows manageable leverage, the weakening equity base is a concern. Cash flow remains relatively stable, but the company needs to address its profitability and operational efficiency to improve its financial health.

Income Statement

The company has experienced declining revenue with a significant drop from 2022 to 2023. Gross profit margins have decreased, and the net profit margin is negative, indicating losses. The EBIT and EBITDA margins are also negative, reflecting operational challenges and inefficiencies.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, indicating manageable leverage. However, the decline in stockholders' equity over recent years suggests weakening financial stability. The equity ratio shows a slight decrease, highlighting potential risks in asset management.

Cash Flow

The company shows positive free cash flow, indicating some operational efficiency despite declining revenue. However, the free cash flow growth rate is fluctuating, and the operating cash flow to net income ratio reflects the company's ongoing profitability challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	645.16M	711.88M	891.50M	3.76B	1.70B	1.20B
Gross Profit	189.24M	211.07M	325.79M	1.47B	1.07B	726.08M
EBITDA	-597.39M	-668.52M	25.07M	569.53M	496.15M	366.88M
Net Income	-720.89M	-791.68M	-102.26M	377.31M	380.93M	255.33M
Balance Sheet
Total Assets	3.06B	3.23B	4.53B	5.51B	3.00B	2.32B
Cash, Cash Equivalents and Short-Term Investments	1.69B	1.73B	1.87B	1.43B	800.70M	485.83M
Total Debt	1.02B	1.07B	1.39B	786.12M	362.02M	497.23M
Total Liabilities	1.96B	2.08B	2.41B	2.66B	1.23B	1.06B
Stockholders Equity	1.10B	1.14B	2.33B	2.84B	1.45B	1.24B
Cash Flow
Free Cash Flow	161.48M	228.38M	271.63M	-239.05M	141.06M	-86.66M
Operating Cash Flow	171.25M	258.84M	333.84M	130.33M	413.26M	221.08M
Investing Cash Flow	63.78M	354.02M	-153.94M	-1.25B	310.72M	-191.09M
Financing Cash Flow	-202.32M	-535.63M	276.48M	1.10B	-215.32M	260.99M

Yunkang Group Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2325, the sentiment is Negative. The current price of 1 is below the 20-day moving average (MA) of 1.05, below the 50-day MA of 1.21, and below the 200-day MA of 3.08, indicating a bearish trend. The MACD of -0.06 indicates Negative momentum. The RSI at 36.86 is Neutral, neither overbought nor oversold. The STOCH value of 27.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2325.

Yunkang Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
3309	47 Neutral	HK$2.17B	―	-6.41%	1.16%	2.05%	-285.88%
2325	46 Neutral	HK$615.04M	-0.75	-47.91%	2.00%	-18.98%	-164.82%
2160	43 Neutral	HK$2.70B	509.09	0.22%	―	-4.38%	―
2251	40 Neutral	HK$1.14B	-6.19	-12.97%	―	-32.17%	-1.20%

Yunkang Group Limited Corporate Events

Yunkang Group Relocates Head Office in China

Yunkang Group Limited has announced a change in its head office and principal place of business in the People’s Republic of China to a new address in Guangzhou, Guangdong Province, effective September 1, 2025. This relocation may reflect strategic positioning within the region, potentially impacting the company’s operational dynamics and stakeholder engagements.

The most recent analyst rating on (HK:2325) stock is a Hold with a HK$4.00 price target. To see the full list of analyst forecasts on Yunkang Group Limited stock, see the HK:2325 Stock Forecast page.

Yunkang Group Reports Revenue Decline but Reduces Net Loss in H1 2025

Yunkang Group Limited reported a 17.6% decline in revenue for the first half of 2025, primarily due to centralized procurement, health insurance cost control, and increased competition. Despite the revenue drop, the company reduced its net loss significantly by improving operational efficiency, optimizing its debt structure, and reducing asset impairment losses. The company’s diagnostic testing services for medical institution alliances remained its largest business segment, benefiting from policy support and strategic customer portfolio optimization.

The most recent analyst rating on (HK:2325) stock is a Hold with a HK$4.00 price target. To see the full list of analyst forecasts on Yunkang Group Limited stock, see the HK:2325 Stock Forecast page.

Yunkang Group Schedules Board Meeting for Interim Results

Yunkang Group Limited has announced that its board of directors will meet on August 28, 2025, to approve and publish the interim results for the first half of 2025 and consider the payment of an interim dividend. This meeting is significant as it will provide insights into the company’s financial performance and potential shareholder returns, impacting its market positioning and stakeholder interests.

Yunkang Group Confirms Qualification of Joint Company Secretary

Yunkang Group Limited has announced that Mr. Lin Yingjia has been confirmed by the Hong Kong Stock Exchange as qualified to act as the company secretary under the Listing Rules, eliminating the need for a further waiver. Despite this qualification, the company will maintain its joint company secretary arrangement to ensure high standards of corporate governance, with Ms. Lam Chi Ching Cecilia continuing to assist Mr. Lin.

Yunkang Group Announces Board Changes with New Non-Executive Director Appointment

Yunkang Group Limited has announced a change in its board of directors, with Ms. Huang Luo resigning as a non-executive director effective August 1, 2025, to focus on personal endeavors. She leaves on good terms with no disagreements with the board. Concurrently, Mr. Zhang Weijie has been appointed as a non-executive director, bringing extensive experience in business management and financial oversight from his roles in various companies, including Daan Gene Co., Ltd. This change is expected to enhance the company’s governance and strategic direction.

Yunkang Group Limited Announces Board Composition and Roles

Yunkang Group Limited has announced the composition of its board of directors and the roles each member will play in the company’s governance. This update includes the appointment of Mr. Zhang Yong as Chairman and Executive Director, along with other directors who will serve on various committees such as the Audit, Remuneration, and Nomination Committees. This announcement is significant as it outlines the leadership structure that will guide Yunkang Group Limited’s strategic decisions and governance, potentially impacting its operational efficiency and stakeholder confidence.