Sinco Pharmaceuticals Holdings Ltd. (6833) AI Stock Analysis

• Market Cap: HK$386.25M
• Dividend Yield: 1.05%
• Average Volume (3M): 120.20K
• Price to Earnings (P/E): 8.5
• Beta (1Y): 0.08
• Revenue Growth: 9.27%
• EPS Growth: -2.61%
• Country: HK
• Employees: 291
• Sector: Healthcare
• Sector Strength: 39
• Industry: Advertising Agencies
• EPS (TTM): 0.02
• Shares Outstanding: 2,032,890,600
• 10 Day Avg. Volume: 104,000
• 30 Day Avg. Volume: 120,200
• PEG Ratio: -0.12
• Price to Book (P/B): 0.79
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 21.23
• 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: 66 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

The overall stock score reflects strong revenue growth and a favorable valuation with a low P/E ratio. However, profitability challenges and cash flow concerns weigh down the score. Technical analysis shows mixed signals, adding caution to the stock's outlook.

Sinco Pharmaceuticals Holdings Ltd. Business Overview & Revenue Model

Company Description

Sinco Pharmaceuticals Holdings Limited, an investment holding company, provides marketing, promotion, and channel management services for imported pharmaceutical products and medical devices in China. The company offers Octapharma, a human albumin solution for use in premature infants; Axetine, which is used for the treatment of bacterial infections, including respiratory infections, urinary tract infections, soft tissue infections, gynecological and obstetrical infections, gonorrhea, and other infections, as well as for the prevention of post-surgery infections; and Medocef that is used for the treatment of bacterial infections, such as the infections of the lower respiratory tract comprising pneumonia, urinary tract, bile duct, peritoneum, skin, soft tissue, pelvic area, and sepsis. It also provides Esafosfina, which is used for treating hypophosphatemia and chronic diseases, including alcohol intoxication, malnutrition, and hypophosphatemic respiratory failure; Taurolite, a third generation oral cholic acid drug that is used for the treatment of gallstone diseases; and Tamifil injection for the treatment of metastatic prostate cancer, true precocious puberty, and endometriosis. In addition, the company engages in the sale of pharmaceutical products; and provides warehouse facilities for pharmaceutical products; and offers international trade services, as well as provides consultation services for medical and biological technology. The company was founded in 2011 and is headquartered in Chengdu, the People's Republic of China. Sinco Pharmaceuticals Holdings Limited is a subsidiary of Risun Investments Limited.

How the Company Makes Money

Sinco Pharmaceuticals Holdings Ltd. generates revenue primarily through the sale of its pharmaceutical products, including both prescription and over-the-counter drugs. The company's revenue model relies on a combination of direct sales to healthcare institutions, pharmacies, and distributors, as well as partnerships with other pharmaceutical companies for co-development and distribution. Additionally, Sinco Pharmaceuticals may earn income from licensing agreements and collaborations that leverage its research and development capabilities. The company's earnings are also influenced by factors such as market demand, regulatory approvals, and competitive positioning within the pharmaceutical industry.

Sinco Pharmaceuticals Holdings Ltd. Financial Statement Overview

Summary

The company exhibits strong revenue growth, but profitability challenges persist with declining margins and cash flow concerns, particularly in operational cash generation, which need addressing to ensure financial health.

Income Statement

The company shows a solid revenue growth trajectory, with a 10% increase from 2023 to 2024. However, the gross profit margin has slightly decreased to around 10.6%, and net profit margin remains low at approximately 1.5%. Despite these challenges, EBIT and EBITDA margins are stable, indicating operational efficiency.

Balance Sheet

The company's debt-to-equity ratio is moderate, reflecting a manageable level of leverage. The return on equity has been declining, suggesting lower profitability for shareholders. However, the equity ratio has improved, indicating a stronger balance sheet and financial stability.

Cash Flow

Cash flow performance is concerning with a negative operating cash flow in 2024, contrasting with positive figures in previous years. The free cash flow to net income ratio is negative, highlighting potential liquidity issues. Despite solid cash reserves, the company must improve cash generation from operations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.82B	2.54B	2.27B	2.02B	2.05B
Gross Profit	299.94M	323.28M	305.87M	364.95M	273.83M
EBITDA	132.60M	126.01M	109.01M	197.69M	152.05M
Net Income	42.05M	42.35M	69.46M	135.08M	118.14M
Balance Sheet
Total Assets	2.00B	1.89B	1.42B	1.23B	1.25B
Cash, Cash Equivalents and Short-Term Investments	308.32M	437.92M	329.14M	326.05M	143.76M
Total Debt	350.54M	251.40M	192.41M	340.95M	82.13M
Total Liabilities	1.34B	1.26B	820.52M	857.88M	1.09B
Stockholders Equity	662.88M	628.05M	603.81M	374.89M	165.34M
Cash Flow
Free Cash Flow	-268.05M	289.16M	22.39M	282.19M	136.93M
Operating Cash Flow	-232.88M	353.70M	75.08M	305.71M	137.30M
Investing Cash Flow	-52.87M	-63.63M	-119.27M	-22.73M	-46.84M
Financing Cash Flow	154.59M	-189.73M	35.04M	-97.11M	-169.88M

Sinco Pharmaceuticals Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.19
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6833, the sentiment is Positive. The current price of 0.19 is above the 20-day moving average (MA) of 0.19, above the 50-day MA of 0.18, and below the 200-day MA of 0.20, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 55.11 is Neutral, neither overbought nor oversold. The STOCH value of 85.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:6833.

Sinco Pharmaceuticals Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6833	66 Neutral	HK$386.25M	8.48	6.53%	1.05%	9.27%	-2.61%
Sector *	52 Neutral	$7.50B	0.31	-61.87%	2.27%	17.10%	1.59%
SBMFF		$12.14B	50.18	6.14%	1.50%	―	―
CHJTF		$11.63B	19.34	13.20%	2.61%	―	―
LVZPF		$4.20B	12.02	14.56%	0.56%	―	―
LYPHF		$1.71B	15.40	3.53%	―	―	―
TRSBF		$7.41B	27.46	14.19%	0.13%	―	―

Sinco Pharmaceuticals Holdings Ltd. Corporate Events

Sinco Pharmaceuticals Announces Connected Transaction Amid Listing Rules Breach

Sinco Pharmaceuticals Holdings Ltd. announced a connected transaction involving an interest-free loan of HK$5 million provided by its subsidiary, Hong Kong Prosperous, to Mr. Huang, an executive Director and substantial shareholder. This transaction, which was subject to reporting requirements under the Listing Rules, was initially not announced due to an oversight, resulting in a breach of the rules. The company clarified that the non-compliance was unintentional, arising from a misinterpretation, and was discovered during a regular review of documents. The loan was necessitated by travel restrictions due to the COVID-19 pandemic, which prevented Mr. Huang from completing banking transactions in person.

Sinco Pharmaceuticals Approves New Share Option Scheme at EGM

Sinco Pharmaceuticals Holdings Ltd. held an Extraordinary General Meeting on 26 May 2025, where all proposed resolutions were approved by shareholders. The resolutions included the implementation of a new 2025 Share Option Scheme, the authorization to issue new shares, and the termination of the existing share option scheme from 2016. The approval of these resolutions is expected to enhance the company’s operational flexibility and align its share option schemes with current market practices.

Sinco Pharmaceuticals AGM Resolutions Unanimously Approved

Sinco Pharmaceuticals Holdings Ltd. successfully conducted its Annual General Meeting on May 15, 2025, where all proposed resolutions were unanimously approved by shareholders. Key resolutions included the adoption of the audited financial statements for 2024, re-election of directors, re-appointment of the auditor, and approval of a final dividend, reflecting strong shareholder support and stable governance.

Sinco Pharmaceuticals Proposes New Share Option Scheme

Sinco Pharmaceuticals Holdings Limited, a company listed on the Hong Kong Stock Exchange, has announced an extraordinary general meeting to approve a new 2025 Share Option Scheme. This scheme aims to replace the previous one from 2016, allowing the company to issue new shares and manage share options more effectively, which could enhance its market operations and shareholder engagement.

Sinco Pharmaceuticals Announces 2025 Annual General Meeting Agenda

Sinco Pharmaceuticals Holdings Ltd. has announced its upcoming annual general meeting scheduled for May 15, 2025, in Kunming City, China. Key agenda items include the adoption of the 2024 financial statements, re-election of directors, re-appointment of auditors, and approval of a final dividend. These resolutions are expected to impact the company’s governance and financial strategies, potentially influencing shareholder value and market perception.