Beijing Enterprises Urban Resources Group Ltd. (3718) AI Stock Analysis

• Market Cap: HK$1.24B
• Dividend Yield: 7.43%
• Average Volume (3M): 364.93K
• Price to Earnings (P/E): 44.9
• Beta (1Y): 0.18
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 67,219
• Sector: Industrials
• Sector Strength: 90
• Industry: Waste Management
• EPS (TTM): <0.01
• Shares Outstanding: 3,556,664,000
• 10 Day Avg. Volume: 561,600
• 30 Day Avg. Volume: 364,933
• PEG Ratio: -0.21
• Price to Book (P/B): 0.67
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.33
• 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

• Rating: 56 Neutral
• Price Target: ―

The overall score reflects the company's solid revenue growth and stable gross profits, but challenges in declining net income, increased leverage, and negative cash flow weigh heavily. Technical analysis shows bearish trends, and valuation indicates a high P/E ratio with an attractive dividend yield, balancing potential risks and rewards.

Beijing Enterprises Urban Resources Group Ltd. Business Overview & Revenue Model

Company Description

Beijing Enterprises Urban Resources Group Ltd. (3718) is a prominent company engaged in the environmental hygiene and hazardous waste treatment sectors in China. The company offers comprehensive urban environmental services, including waste management, urban sanitation, and the treatment and disposal of hazardous waste. It is dedicated to enhancing urban living environments and contributing to sustainable urban development across various regions.

How the Company Makes Money

Beijing Enterprises Urban Resources Group Ltd. generates revenue primarily through its extensive range of urban environmental services. The company's key revenue streams include waste collection and transportation, urban sanitation services, and hazardous waste treatment and disposal. It often enters into long-term contracts with municipal governments and commercial entities to provide these essential services. Additionally, the company benefits from strategic partnerships and collaborations with local authorities and businesses, which help secure consistent revenue streams and expand its market presence. By focusing on integrated and sustainable waste management solutions, the company effectively taps into the growing demand for environmental services in urban areas.

Beijing Enterprises Urban Resources Group Ltd. Financial Statement Overview

Summary

Beijing Enterprises Urban Resources Group Ltd. exhibits strong revenue growth and stable gross profits, but faces challenges with declining net income, increased leverage, and negative free cash flow, indicating areas for improvement in profitability and cash flow management.

Income Statement

The company has demonstrated consistent revenue growth over the years, with a notable increase from 2019 to 2024. Gross profit margin and net profit margin are stable, with gross profit margins hovering around 19% and net profit margins experiencing a decline in 2024. EBIT and EBITDA margins indicate healthy operational efficiency, although there is a slight decline in EBIT margin in 2024. Revenue growth is positive, but net income has decreased in 2024 compared to previous years.

Balance Sheet

The balance sheet reflects a significant increase in total assets and stockholder's equity over the years. However, the debt-to-equity ratio has increased, indicating higher leverage, which poses a risk. The equity ratio has decreased slightly, suggesting a higher proportion of assets are financed by debt. Return on equity has declined in 2024, reflecting reduced profitability relative to equity.

Cash Flow

Cash flow from operations has been inconsistent, with free cash flow remaining negative over the years. The operating cash flow to net income ratio is unavailable in 2024 due to zero operating cash flow, indicating potential cash flow management issues. The free cash flow to net income ratio is also unavailable for the latest year, highlighting ongoing cash flow challenges.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
6.41B	5.59B	4.95B	4.45B	3.52B
	Gross Profit
1.22B	1.15B	1.00B	1.16B	1.08B
	EBIT
574.53M	529.78M	484.82M	720.79M	740.88M
	EBITDA
1.07B	1.09B	1.05B	1.22B	1.09B
	Net Income Common Stockholders
27.34M	284.73M	238.58M	410.36M	359.71M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
999.88M	1.08B	1.62B	1.72B	1.74B
	Total Assets
9.13B	8.94B	8.74B	8.16B	7.12B
	Total Debt
2.86B	2.83B	3.00B	2.37B	1.94B
	Net Debt
1.86B	1.63B	1.38B	651.49M	201.94M
	Total Liabilities
5.07B	4.71B	4.48B	3.94B	3.45B
	Stockholders Equity
3.28B	3.48B	3.37B	3.50B	3.01B
Cash Flow		Free Cash Flow
0.00	-316.36M	-425.68M	-439.02M	-350.33M
	Operating Cash Flow
0.00	500.07M	379.19M	501.62M	626.34M
	Investing Cash Flow
0.00	-690.84M	-793.50M	-1.03B	-966.42M
	Financing Cash Flow
0.00	-142.94M	422.82M	475.29M	903.16M

Beijing Enterprises Urban Resources Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.34
• 50DMA: Positive
• 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:3718, the sentiment is Positive. The current price of 0.34 is below the 20-day moving average (MA) of 0.34, above the 50-day MA of 0.33, and below the 200-day MA of 0.41, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 54.38 is Neutral, neither overbought nor oversold. The STOCH value of 49.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3718.

Beijing Enterprises Urban Resources Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1330	74 Outperform	€9.78B	9.24	7.85%	6.81%	-9.43%	4.26%
1527	66 Neutral	HK$182.25M	1.99	9.30%	5.33%	17.99%	97.50%
Sector *	66 Neutral	$4.52B	12.34	5.41%	3.62%	4.15%	-12.18%
1543	58 Neutral	HK$491.65M	10.75	2.09%	6.97%	-6.00%	―
3718	56 Neutral	HK$1.24B	44.87		7.43%	―	―
1862	26 Underperform	€15.39M	―		―	-20.10%	-68.68%

Beijing Enterprises Urban Resources Group Ltd. Corporate Events

Beijing Enterprises Urban Resources Group Announces 2025 AGM Agenda

Beijing Enterprises Urban Resources Group Limited has announced its upcoming annual general meeting scheduled for June 3, 2025, in Hong Kong. Key agenda items include the consideration of the audited financial statements for 2024, the declaration of a final dividend, the re-election of directors, and the granting of a mandate to issue additional shares. These resolutions are significant for the company’s governance and capital strategy, potentially impacting shareholder value and market position.

Beijing Enterprises Urban Resources Reports Revenue Growth Amid Profit Decline

Beijing Enterprises Urban Resources Group Limited reported a 19.2% increase in revenue for the year ended December 31, 2024, reaching approximately RMB6,027.7 million. However, the profit attributable to shareholders saw a significant decline of 91% due to a one-off impairment loss on goodwill, which did not affect cash flow. Despite this, the company’s financial position remains healthy, with strong market demand and the acquisition of 64 urban services projects. A final dividend of HK1.3 cents per share is proposed.

Beijing Enterprises Urban Resources Group Ltd. Declares Final Dividend for 2024

Beijing Enterprises Urban Resources Group Ltd. announced a final cash dividend of HKD 0.013 per share for the financial year ending December 31, 2024. The dividend will be paid on July 4, 2025, following shareholder approval on June 3, 2025. This announcement reflects the company’s commitment to returning value to its shareholders and may influence investor sentiment positively.

Beijing Enterprises Urban Resources Group Ltd. Faces Profit Decline Amid Market Challenges

Beijing Enterprises Urban Resources Group Ltd. has announced a significant decrease in profit for FY2024, primarily due to a one-off impairment loss on goodwill in its Hazardous Waste Treatment Business. This loss is attributed to intensified market competition and reduced demand from upstream industrial enterprises. Despite this, the company’s financial position remains healthy, and it has secured new urban services projects worth over RMB6.4 billion during FY2024, with further expansions in the Greater Bay Area.

Beijing Enterprises Urban Resources Group Schedules Board Meeting for Final Results

Beijing Enterprises Urban Resources Group Limited has announced that its board of directors will meet on March 25, 2025, to review and approve the company’s final results for the year ending December 31, 2024, and to consider the payment of a final dividend. This meeting is significant as it will determine the financial performance of the company and any potential returns to shareholders, impacting its market positioning and stakeholder interests.

Beijing Enterprises Urban Resources Group Secures Major Environmental Services Contracts in Hong Kong

Beijing Enterprises Urban Resources Group Limited announced that its subsidiary, Shiny Glory Services HK, has successfully secured contracts to provide cleansing and supporting services in various districts of Hong Kong. These contracts, awarded by the Leisure and Cultural Services Department, involve significant estimated contract values and are expected to enhance the company’s market presence in environmental hygiene services across Hong Kong.