Zhenro Properties Group Limited (6158) AI Stock Analysis

• Market Cap: HK$183.45M
• Dividend Yield: N/A
• Average Volume (3M): 3.27M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.83
• Revenue Growth: -15.39%
• EPS Growth: 19.69%
• Country: HK
• Employees: 927
• Sector: Real Estate
• Sector Strength: 48
• Industry: Real Estate - Development
• EPS (TTM): -1.11
• Shares Outstanding: 4,367,756,000
• 10 Day Avg. Volume: 2,229,000
• 30 Day Avg. Volume: 3,273,666
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: Moderate Sell
• Number of Analyst Covering: 1

• Rating: 39 Underperform
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score is primarily driven by severe financial challenges, including declining revenues, operational losses, and negative equity. Technical indicators and valuation metrics further contribute to the low score, reflecting a high-risk investment with limited upside potential.

Zhenro Properties Group Limited Business Overview & Revenue Model

Company Description

Zhenro Properties Group Limited (6158) is a leading real estate developer primarily engaged in the development, investment, and management of residential and commercial properties in China. The company focuses on providing high-quality residential communities and integrated commercial complexes, offering a diverse range of products that cater to various customer needs. Zhenro Properties operates in key economic regions, including the Yangtze River Delta, the Bohai Economic Rim, and the Pearl River Delta, with a strategic focus on urbanization and regional expansion.

How the Company Makes Money

Zhenro Properties Group Limited generates revenue primarily through the sale of residential properties, including apartments, villas, and townhouses. The company also earns income from leasing and managing commercial properties, such as office buildings, shopping malls, and mixed-use developments. Additionally, Zhenro Properties benefits from property management services, providing comprehensive management solutions to its developed properties. Key revenue streams include property sales, rental income, and property management fees. The company's earnings are significantly influenced by its urbanization strategy, regional economic growth, and its ability to secure land resources and develop projects in high-demand areas.

Zhenro Properties Group Limited Financial Statement Overview

Summary

The company is experiencing critical financial challenges, including declining revenues, substantial operational losses, negative equity, and severe liquidity issues. These factors indicate significant risks to financial stability and operational continuity.

Income Statement

The income statement reveals a concerning trend of declining revenues and escalating losses. Gross profit and net profit margins have turned negative, with EBIT and EBITDA margins also deteriorating significantly. Revenue has decreased by 13.82% from the previous year. These figures highlight substantial operational challenges and a lack of profitability.

Balance Sheet

The balance sheet is under significant stress, characterized by negative stockholders' equity indicating technical insolvency. The debt-to-equity ratio is not calculable due to negative equity, and the equity ratio is negative as well. This suggests a high level of financial risk and vulnerability.

Cash Flow

The cash flow statement indicates severe liquidity issues, with free cash flow dropping to zero and no operating cash flow. This lack of cash generation raises concerns about the company's ability to sustain operations and meet financial obligations in the short term.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	33.42B	38.77B	25.90B	36.99B	36.13B
Gross Profit	-364.31M	2.18B	-6.65B	4.22B	6.82B
EBITDA	-2.47B	-6.36B	-11.40B	1.72B	4.50B
Net Income	-6.83B	-8.47B	-12.88B	809.00M	2.65B
Balance Sheet
Total Assets	113.38B	153.19B	194.47B	253.84B	221.39B
Cash, Cash Equivalents and Short-Term Investments	2.19B	1.72B	6.26B	19.00B	46.97B
Total Debt	60.17B	59.53B	59.48B	74.25B	67.39B
Total Liabilities	115.66B	147.04B	176.99B	212.90B	183.78B
Stockholders Equity	-11.21B	-3.89B	4.76B	19.35B	19.58B
Cash Flow
Free Cash Flow	350.60M	2.19B	767.62M	11.71B	1.86B
Operating Cash Flow	350.64M	2.19B	849.20M	11.73B	1.90B
Investing Cash Flow	14.99M	129.47M	2.50B	-7.51B	-2.00B
Financing Cash Flow	-868.27M	-3.87B	-14.85B	-24.87B	7.68B

Zhenro Properties Group Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6158, the sentiment is Negative. The current price of 0.05 is below the 20-day moving average (MA) of 0.05, above the 50-day MA of 0.04, and below the 200-day MA of 0.06, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 37.19 is Neutral, neither overbought nor oversold. The STOCH value of 8.28 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:6158.

Zhenro Properties Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.03B	17.09	4.04%	5.06%	2.27%	0.59%
0865	48 Neutral	HK$233.52M	30.00	-5.30%	―	-72.42%	-1037.50%
2329	47 Neutral	HK$795.55M	―	-11.65%	―	4.78%	-116.13%
2699	42 Neutral	HK$136.20M	―		―	-79.91%	-1.21%
6968	40 Underperform	€139.47M	―	-17.33%	―	-53.75%	-521.24%
6158	39 Underperform	HK$183.45M	―		―	-15.39%	19.69%
1996	39 Underperform	€145.86M	―	-238.71%	―	-43.46%	31.62%

Zhenro Properties Group Limited Corporate Events

Zhenro Properties Reports July 2025 Sales Amidst Restructuring Efforts

Zhenro Properties Group Limited reported unaudited operating statistics for July 2025, with contracted sales of approximately RMB336 million and a gross floor area of about 22,944 square meters. The company is actively addressing liquidity issues and exploring restructuring plans due to ongoing market challenges and the liquidation of its controlling shareholder. Measures include negotiating liability management solutions, extending borrowings, and seeking new loans to stabilize operations and ensure project delivery.

Zhenro Properties Announces Extraordinary General Meeting for Auditor Appointment

Zhenro Properties Group Limited has announced an extraordinary general meeting scheduled for August 15, 2025, in Shanghai, China. The primary agenda is to consider the appointment of ZHONGHUI ANDA CPA Limited as the company’s auditors until the next annual general meeting, with the board authorized to set their remuneration. This decision is part of the company’s governance and operational strategy, potentially impacting its financial oversight and stakeholder confidence.

Zhenro Properties Appoints New Non-Executive Director to Strengthen Leadership

Zhenro Properties Group Limited has announced the appointment of Mr. Chow Wai Shing Daniel as a non-executive director, effective from August 1, 2025. Mr. Chow brings extensive experience in financial reporting, corporate restructuring, and investigations, which could enhance the company’s governance and strategic direction. His appointment is expected to strengthen the company’s leadership team, potentially impacting its market positioning and stakeholder confidence positively.

Zhenro Properties Announces Auditor Change to Enhance Cost-Effectiveness

Zhenro Properties Group Limited has announced a change in its auditors, with Ernst & Young resigning due to a disagreement over audit fees for the year ending December 2025. The company plans to appoint ZHONGHUI ANDA CPA Limited as the new auditors, citing their competitive proposals and capabilities as beneficial for cost-effectiveness and future business development. This change is expected to maintain audit quality and support the company’s operations without impacting the release of annual results.

Zhenro Properties Reports June 2025 Sales Figures

Zhenro Properties Group Limited reported unaudited operating statistics for June 2025, with contracted sales of approximately RMB402 million and a gross floor area of 23,384 square meters sold. For the first half of 2025, the company achieved contracted sales of approximately RMB2.365 billion. These figures, based on preliminary internal data, may differ from future audited reports, and investors are advised to exercise caution.

Zhenro Properties Announces Preliminary Debt Restructuring Plan

Zhenro Properties Group Limited has announced a preliminary restructuring plan to address a disclaimer of opinion expressed by its auditors regarding the company’s financial statements and going concern status. The plan, which aims to manage both offshore and onshore debts, may include debt conversion to equity, extension of debt maturity, debt write-offs, or settlement using company assets. The success of the restructuring plan is contingent on agreements with creditors and may require regulatory and shareholder approvals.

Zhenro Properties AGM Results: Key Resolutions Passed Amidst Shareholder Decisions

Zhenro Properties Group Limited announced the results of its Annual General Meeting held on June 20, 2025, where all proposed resolutions, except for three, were passed by poll. The meeting saw the re-election of several directors and the re-appointment of Ernst & Young as auditors, indicating stability in the company’s governance. However, resolutions related to granting general mandates for share allotment and buyback were not passed, which may impact the company’s financial strategies and shareholder value.

Zhenro Properties Reports RMB467 Million in May Contracted Sales

Zhenro Properties Group Limited announced its unaudited operating statistics for May 2025, reporting aggregated contracted sales of approximately RMB467 million and a contracted gross floor area of about 28,858 square meters. For the first five months of 2025, the company achieved aggregated contracted sales of approximately RMB1.963 billion. These figures are preliminary and may differ from future audited financial statements, indicating a cautious approach for investors.

Zhenro Properties Faces Share Receivership Amid Court Order

Zhenro Properties Group Limited announced the appointment of receivers over a substantial portion of its shares held by its controlling shareholder, RoYue Limited. This decision follows a High Court order for the sale of 1,265,826,000 shares, representing approximately 28.98% of the company’s issued shares. The move could significantly impact the company’s control dynamics and shareholder interests, as the receivers are empowered to exercise all rights associated with the shares.

Zhenro Properties Appoints Joint Liquidators for Controlling Shareholder

Zhenro Properties Group Limited has announced the appointment of joint liquidators for its controlling shareholder, RoYue Limited, as ordered by the Eastern Caribbean Supreme Court. This development may have implications for the company’s operations and its stakeholders, with further updates to be provided as necessary.