Binjiang Service Group Co. Ltd. (3316) AI Stock Analysis

• Market Cap: HK$6.77B
• Dividend Yield: 7.1%
• Average Volume (3M): 220.38K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 0.86
• Revenue Growth: 25.93%
• EPS Growth: 8.97%
• Country: HK
• Employees: 14,022
• Sector: Real Estate
• Sector Strength: 68
• Industry: Real Estate - Services
• EPS (TTM): 2.14
• Shares Outstanding: 276,407,000
• 10 Day Avg. Volume: 150,500
• 30 Day Avg. Volume: 220,380
• PEG Ratio: 3.33
• Price to Book (P/B): 4.36
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 41.55
• 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: HK$32.86
• Price Target Upside: 34.12% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: ―

Binjiang Service Group Co. Ltd. demonstrates solid financial health with strong revenue and profit growth, minimal debt, and effective equity utilization. While technical indicators show mixed signals, the longer-term trend remains positive. The stock's attractive valuation and high dividend yield add to its investment appeal. However, the absence of free cash flow in 2024 and the neutral momentum indicators suggest the need for cautious optimism. Overall, the stock is well-positioned but requires attention to cash flow management for future resilience.

Binjiang Service Group Co. Ltd. Business Overview & Revenue Model

Company Description

Binjiang Service Group Co. Ltd. provides property management and related services in the People's Republic of China. Its property management services include security, cleaning, gardening, repair, maintenance, and ancillary services to residential and non-residential properties, such as commercial properties, office buildings, corporate buildings, public facilities, industrial parks, and government buildings. The company also offers value-added services to non-property owners comprising pre-delivery, consulting, and community space services primarily to property developers; and property sales and leasing agency, car parking space, and storage room services, as well as home living, interior design, customized furnishing, facility upgrade, and maintenance services to property owners. In addition, the company sells furniture, parking places, and storage rooms; and provides decoration, advertisement design, producing, releasing, and brokerage services. It serves property owners and residents, property developers, and property management companies. The company was founded in 1995 and is headquartered in Hangzhou, China. Binjiang Service Group Co. Ltd. is a subsidiary of Great Dragon Ventures Limited.

How the Company Makes Money

Binjiang Service Group Co. Ltd. generates revenue through its diverse range of property management services. The company's primary revenue stream comes from property management fees charged to property owners and developers. Additionally, it earns income from value-added services, which include facility management, community activities, and lifestyle services tailored to residents' needs. Binjiang Service Group also offers consulting services to property developers, aiding them in enhancing the quality and appeal of their projects. Strategic partnerships with real estate developers and continuous expansion into new markets contribute to its financial growth and stability.

Binjiang Service Group Co. Ltd. Financial Statement Overview

Summary

Binjiang Service Group Co. Ltd. presents a strong overall financial performance with consistent revenue and profit growth, supported by efficient operations and a solid equity foundation. The minimal debt levels enhance financial stability, while the company's ability to generate strong returns on equity underscores its profitability. However, attention to cash flow management is necessary to further strengthen financial resilience. Overall, the company is well-positioned to capitalize on growth opportunities within the real estate services sector.

Income Statement

Binjiang Service Group Co. Ltd. demonstrates strong financial performance with consistent revenue growth, evidenced by a 28% increase from 2023 to 2024. The company maintains robust profitability, with a gross profit margin of 23.2% and a net profit margin of 15.2% for 2024. Both EBIT and EBITDA margins are healthy at 19.6% and 19.9%, respectively. This indicates effective cost management and operational efficiency. The company shows a positive growth trajectory, enhancing its competitive position in the real estate services industry.

Balance Sheet

The balance sheet reflects a strong financial position with a low debt-to-equity ratio of 0.0017, indicating minimal leverage risk. The equity ratio is 35.9%, pointing to a solid equity base. Additionally, the return on equity is 35.7%, showcasing effective utilization of shareholders' funds to generate profits. However, the high current liabilities compared to current assets could pose potential liquidity challenges. Overall, the company's balance sheet remains robust with a strong equity foundation and limited debt exposure.

Cash Flow

The cash flow statement indicates fluctuating free cash flow, with no free cash flow reported in 2024 compared to positive figures in previous years. Despite this, the company demonstrates strong operating cash flow in prior years, which supports its ability to fund operations internally. The lack of free cash flow in 2024 raises concerns about cash management and future investments. Continued focus on optimizing cash flow generation will be critical for sustaining long-term growth and financial flexibility.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.59B	2.81B	1.98B	1.40B	960.20M
	Gross Profit
835.37M	695.89M	592.25M	449.68M	297.32M
	EBIT
705.09M	577.30M	515.30M	388.98M	248.62M
	EBITDA
715.92M	667.17M	521.86M	394.05M	252.40M
	Net Income Common Stockholders
546.53M	492.55M	412.00M	321.75M	219.55M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.20B	1.79B	2.12B	1.19B	1.19B
	Total Assets
4.26B	4.05B	2.99B	1.68B	1.50B
	Total Debt
2.65M	4.02M	454.00K	1.71M	2.50M
	Net Debt
-956.34M	-1.45B	-1.95B	-904.04M	-802.89M
	Total Liabilities
2.67B	2.51B	1.71B	711.08M	644.26M
	Stockholders Equity
1.53B	1.49B	1.25B	941.59M	841.63M
Cash Flow		Free Cash Flow
0.00	904.04M	1.10B	229.43M	309.55M
	Operating Cash Flow
0.00	928.89M	1.12B	242.38M	317.74M
	Investing Cash Flow
0.00	-1.17B	32.04M	65.55M	40.60M
	Financing Cash Flow
0.00	-255.82M	-111.35M	-208.13M	-72.05M

Binjiang Service Group Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 24.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3316, the sentiment is Positive. The current price of 24.5 is below the 20-day moving average (MA) of 25.43, below the 50-day MA of 25.15, and above the 200-day MA of 20.53, indicating a neutral trend. The MACD of -0.01 indicates Positive momentum. The RSI at 52.15 is Neutral, neither overbought nor oversold. The STOCH value of 43.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3316.

Binjiang Service Group Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3316	71 Outperform	HK$6.77B	11.43	36.29%	7.10%	25.93%	8.97%
Sector *	61 Neutral	$2.82B	10.77	0.50%	8439.01%	5.72%	-20.80%
CNPPF		$2.14B	10.18		3.28%	―	―
CTRGF		$2.85B	11.20	4.96%	0.36%	―	―
1995	68 Neutral	HK$3.30B	6.39	9.70%	7.93%	2.68%	8.49%
2869	65 Neutral	HK$12.78B	17.13	8.94%	3.59%	1.01%	12.45%
1739	47 Neutral	HK$191.96M	―	-13.24%	14.18%	-12.47%	-30.56%

Binjiang Service Group Co. Ltd. Corporate Events

Binjiang Service Group Announces AGM and Key Resolutions

Binjiang Service Group Co. Ltd. has announced its annual general meeting scheduled for June 5, 2025, in Hangzhou, PRC. Key agenda items include the adoption of the 2024 financial statements, declaration of a final dividend, re-election of directors, and reappointment of KPMG as the auditor. The meeting will also address the authorization for directors to manage share allotments and treasury shares, potentially impacting the company’s capital structure and shareholder value.

Binjiang Service Group Reports Strong 2024 Financial Performance and Dividend Increase

Binjiang Service Group Co. Ltd. reported a significant increase in revenue and profit for the year ended December 31, 2024, with revenue rising by 28% and profit attributable to equity shareholders increasing by 11%. The company also announced a final dividend, reflecting a strong financial performance and commitment to shareholder returns. The expansion in GFA under management and contracted GFA indicates the company’s growth and strengthening market position.

Binjiang Service Group Announces Final Dividend for 2024

Binjiang Service Group Co. Ltd. announced a proposed final dividend of HKD 0.876 per share for the financial year ending December 31, 2024. This announcement reflects the company’s financial performance and commitment to returning value to its shareholders. The dividend is set to be approved by shareholders on June 5, 2025, with the payment scheduled for August 7, 2025. This move is likely to strengthen the company’s market position and reassure stakeholders of its stable financial health.

Binjiang Service Group Schedules Board Meeting for Annual Results and Dividend Consideration

Binjiang Service Group Co. Ltd. has announced that its board of directors will convene on March 25, 2025, to review and approve the company’s annual results for the year ending December 31, 2024. The meeting will also consider the recommendation for a final dividend payment, which could impact shareholder returns and market perception.