Sunshine 100 China Holdings Ltd. (2608) AI Stock Analysis

• Market Cap: HK$28.06M
• Dividend Yield: N/A
• Average Volume (3M): 6.30M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.83
• Revenue Growth: -31.35%
• EPS Growth: -41.47%
• Country: HK
• Employees: 1,603
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): -0.46
• Shares Outstanding: 2,550,811,500
• 10 Day Avg. Volume: 15,029,900
• 30 Day Avg. Volume: 6,297,066
• PEG Ratio: >-0.01
• Price to Book (P/B): >-0.01
• Price to Sales (P/S): 0.02
• P/FCF Ratio: -0.15
• 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: 39 Underperform
• Price Target: HK$0.01 ▲(0.00% Upside)

Sunshine 100 China Holdings Ltd. faces critical financial challenges with insolvency and liquidity issues being the most significant factors. Technical indicators suggest a bearish trend, and valuation metrics are poor due to negative earnings. The absence of earnings call data and corporate events further limits positive outlook.

Positive Factors

Strategic Partnerships

Partnerships with local governments and developers can provide Sunshine 100 with access to prime land and resources, facilitating project development and potentially improving financial performance over time.

Diversified Revenue Streams

Diversification into leasing and property management can provide stable income streams, reducing reliance on property sales and mitigating risks associated with market fluctuations.

Urban Living Focus

Focusing on urban living projects aligns with increasing urbanization trends in China, potentially driving demand for Sunshine 100's developments and supporting long-term growth.

Negative Factors

Insolvency Risk

Negative equity suggests that liabilities exceed assets, posing a significant risk to financial stability and potentially limiting future operational capabilities.

Negative Cash Flow

Lack of cash flow generation raises concerns about the company's ability to fund operations and meet financial obligations, threatening long-term viability.

Declining Revenue

Consistently declining revenue and negative income indicate operational challenges and market pressures, which could hinder future growth and profitability.

Sunshine 100 China Holdings Ltd. Business Overview & Revenue Model

Company Description

Sunshine 100 China Holdings Ltd. (2608) is a prominent real estate developer based in China, primarily focused on the development and management of residential properties. The company operates in various sectors, including commercial real estate, property investment, and asset management. Sunshine 100 specializes in creating high-quality real estate projects that cater to urban living, providing a range of services from land acquisition to property sales and management.

How the Company Makes Money

Sunshine 100 generates revenue primarily through the sale of residential and commercial properties. The company purchases land, develops real estate projects, and sells the completed units to consumers or investors, which constitutes a significant portion of its income. Additionally, Sunshine 100 earns revenue from leasing commercial properties, providing property management services, and engaging in property investment. Strategic partnerships with local governments and other real estate developers enhance its market presence and enable more extensive project development, contributing to its financial performance. Fluctuations in the real estate market, regulatory changes, and economic conditions in China also impact the company's earnings.

Sunshine 100 China Holdings Ltd. Financial Statement Overview

Summary

Sunshine 100 China Holdings Ltd. is facing severe financial distress. The income statement shows persistent losses and declining revenues. The balance sheet indicates insolvency with negative equity, and the cash flow statement reveals liquidity issues with zero operating and free cash flow in the most recent year.

Income Statement

Sunshine 100 China Holdings Ltd. has been experiencing significant financial challenges, as evidenced by persistent negative net income and declining revenue over recent years. The gross profit margin has turned negative, indicating that the company is selling products below cost. Furthermore, EBIT and EBITDA margins are also negative, highlighting operational inefficiencies and high costs relative to revenue.

Balance Sheet

The balance sheet shows concerning signs with negative stockholders' equity, indicating insolvency. The debt-to-equity ratio is not calculable due to negative equity, but the high total debt level presents a severe financial risk. The equity ratio is negative, reflecting more liabilities than assets, which could lead to financial distress.

Cash Flow

The cash flow statement reveals a precarious situation with zero operating and free cash flow in the most recent year, indicating potential liquidity issues. Previous years showed positive operating cash flow, but the recent lack of cash flow generation is alarming, especially in the face of ongoing net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.78B	2.02B	2.10B	2.36B	5.40B	5.76B
Gross Profit	-399.41M	-651.20M	395.11M	128.32M	-601.07M	1.32B
EBITDA	-570.22M	-1.05B	-806.05M	-1.86B	-2.58B	496.23M
Net Income	-5.01B	-5.59B	-2.99B	-3.16B	-3.67B	438.04M
Balance Sheet
Total Assets	39.38B	46.10B	50.83B	52.38B	56.36B	61.28B
Cash, Cash Equivalents and Short-Term Investments	925.73M	1.01B	1.03B	1.08B	1.62B	6.08B
Total Debt	24.65B	27.06B	27.06B	26.88B	26.81B	26.77B
Total Liabilities	45.52B	51.09B	50.02B	48.40B	49.02B	49.11B
Stockholders Equity	-7.10B	-6.01B	-419.94M	2.56B	5.75B	9.38B
Cash Flow
Free Cash Flow	-77.75M	-287.55M	392.21M	379.33M	275.57M	1.33B
Operating Cash Flow	-74.02M	-283.34M	394.27M	402.22M	312.96M	1.36B
Investing Cash Flow	569.57M	575.07M	149.03M	-382.34M	728.78M	991.93M
Financing Cash Flow	-278.00M	-289.42M	-557.36M	-578.52M	-2.98B	-1.69B

Sunshine 100 China Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
1862	47 Neutral	HK$21.54M	>-0.01	―	―	-43.92%	-90.83%
2608	39 Underperform	HK$28.06M	>-0.01	―	―	-31.35%	-41.47%
1246	29 Underperform	HK$28.52M	―	―	―	―	―

Sunshine 100 China Holdings Ltd. Corporate Events

Sunshine 100 China Holdings Ltd Updates on Financial Restructuring Efforts

Sunshine 100 China Holdings Ltd has announced a quarterly update on its efforts to address a disclaimer of opinion issued by its auditors concerning the company’s financial statements for the year ending December 31, 2024. The company has been actively engaging in negotiations with creditors and lenders for debt restructuring and extensions, as well as exploring various financing options. Additionally, Sunshine 100 is accelerating property sales, tightening cost controls, and seeking cooperation with larger property development enterprises. Despite the challenging property market conditions, the company is making progress in extending borrowings and signing new contracts, although some negotiations remain ongoing.