Town Health International Medical Group Ltd. (3886) AI Stock Analysis

• Market Cap: HK$1.59B
• Dividend Yield: 0.51%
• Average Volume (3M): 734.18K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.04
• Revenue Growth: 0.04%
• EPS Growth: -4.88%
• Country: HK
• Employees: 1,138
• Sector: Healthcare
• Sector Strength: 44
• Industry: Medical - Care Facilities
• EPS (TTM): -0.03
• Shares Outstanding: 6,773,522,500
• 10 Day Avg. Volume: 134,090
• 30 Day Avg. Volume: 734,180
• PEG Ratio: -0.35
• Price to Book (P/B): 0.55
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.08
• 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: HK$0.00 ▼(-100.00%Downside)

The overall stock score is primarily affected by financial performance challenges, including negative net income and inconsistent cash flow. Technical indicators suggest a slight bearish trend, while a negative P/E ratio limits valuation appeal. The dividend yield offers some support, but overall concerns dominate.

Town Health International Medical Group Ltd. Business Overview & Revenue Model

Company Description

Town Health International Medical Group Ltd. (3886) is a Hong Kong-based company engaged in the provision of medical and dental services. The company operates a network of clinics offering a wide range of healthcare services, including general medical consultations, specialist services, dental care, and health assessments. It also provides healthcare-related management services and invests in healthcare facilities and technologies to enhance its service offerings.

How the Company Makes Money

Town Health International Medical Group Ltd. generates revenue primarily through its network of clinics that provide medical and dental services. The company's key revenue streams include fees charged for medical consultations, dental procedures, and specialist healthcare services. Additionally, the company earns income from healthcare management services, which may involve partnerships with other healthcare providers or institutions. Factors contributing to its earnings include the demand for private healthcare services in its operating regions, strategic investments in healthcare technology, and potential collaborations or partnerships with other healthcare entities to expand its service offerings.

Town Health International Medical Group Ltd. Financial Statement Overview

Summary

The company shows moderate revenue growth but faces challenges in profitability, with negative net income and operational inefficiencies. The balance sheet is strong, supported by high equity and ample liquidity, though cash flow management is concerning due to inconsistent free cash flow.

Income Statement

The revenue has shown moderate growth from 2020 to 2024, with a notable dip in gross profit margin from 2023 to 2024. The company has experienced negative net income in the recent years, indicating profitability challenges. EBIT and EBITDA margins are also under pressure, suggesting operational inefficiencies.

Balance Sheet

The company maintains a strong equity base with a favorable equity ratio. However, the debt-to-equity ratio has increased slightly over the years, signaling rising leverage. Despite this, the company has ample cash reserves, enhancing financial stability.

Cash Flow

There is a lack of consistent positive free cash flow growth with significant fluctuations over the years. The operating cash flow has been insufficient to cover net income, indicating potential liquidity issues.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.83B	1.83B	1.54B	1.48B	1.07B
Gross Profit	487.39M	501.95M	414.45M	471.26M	284.58M
EBITDA	160.68M	53.50M	237.57M	266.08M	-97.78M
Net Income	-203.70M	-194.21M	49.52M	75.07M	-258.45M
Balance Sheet
Total Assets	4.13B	4.50B	4.75B	4.73B	4.58B
Cash, Cash Equivalents and Short-Term Investments	1.40B	1.24B	1.20B	1.89B	1.82B
Total Debt	357.62M	456.94M	475.02M	117.97M	139.88M
Total Liabilities	746.56M	881.82M	896.09M	504.94M	456.51M
Stockholders Equity	2.98B	3.24B	3.49B	3.86B	3.81B
Cash Flow
Free Cash Flow	206.11M	229.79M	-5.46M	151.00M	3.75M
Operating Cash Flow	244.83M	247.53M	31.73M	170.95M	39.05M
Investing Cash Flow	164.29M	-20.95M	587.77M	-261.67M	-742.86M
Financing Cash Flow	-235.72M	-151.07M	-518.45M	-90.80M	-93.68M

Town Health International Medical Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.24
• 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:3886, the sentiment is Neutral. The current price of 0.24 is above the 20-day moving average (MA) of 0.24, above the 50-day MA of 0.24, and below the 200-day MA of 0.26, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 53.60 is Neutral, neither overbought nor oversold. The STOCH value of 75.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:3886.

Town Health International Medical Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1526	68 Neutral	HK$1.73B	5.38	24.13%	4.13%	-3.85%	-19.28%
3689	66 Neutral	HK$601.91M	36.14	1.07%	8.89%	-1.20%	-87.51%
6639	63 Neutral	HK$1.17B	38.75	1.27%	―	7.58%	―
Sector *	60 Neutral	HK$15.14B	5.56	-7.43%	4.30%	11.60%	-21.06%
3886	56 Neutral	HK$1.59B	―	-6.55%	0.51%	0.04%	-4.88%
3869	48 Neutral	HK$594.23M	―	-10.78%	―	-0.95%	-128.35%
9960	45 Neutral	HK$1.38B	130.77	-1.93%	1.79%	-6.00%	-232.11%

Town Health International Medical Group Ltd. Corporate Events

Town Health International Approves AGM Resolutions and Committee Appointment

Town Health International Medical Group Ltd. announced that all resolutions at their Annual General Meeting were approved, including the adoption of financial statements and the declaration of a final dividend. Additionally, Ms. Lau Suk Hing Clara was appointed to the Nomination Committee, reflecting a strategic move in the company’s governance structure.

Town Health International Announces Board Composition and Roles

Town Health International Medical Group Ltd. announced the composition of its board of directors and the roles within its board committees. This update reflects the company’s governance structure, which is crucial for maintaining transparency and accountability in its operations, potentially impacting stakeholder confidence and the company’s strategic direction.

Town Health International Medical Group Ltd. Announces Annual General Meeting

Town Health International Medical Group Ltd. has announced its annual general meeting scheduled for June 6, 2025, where key business matters will be addressed. These include the adoption of financial statements, declaration of a final dividend, re-election of directors, and re-appointment of auditors. The meeting will also consider resolutions to empower directors to manage share allotments and related financial instruments, potentially impacting the company’s capital structure and shareholder value.

Town Health International Announces Final Dividend for 2024

Town Health International Medical Group Ltd. announced a final cash dividend of HKD 0.0012 per share for the financial year ending December 31, 2024. The dividend will be paid on September 12, 2025, following shareholder approval on June 6, 2025. This announcement updates previous information regarding book closure and record dates, reflecting the company’s commitment to shareholder returns.