Creative China Holdings Ltd. (8368) AI Stock Analysis

• Market Cap: HK$514.24M
• Dividend Yield: N/A
• Average Volume (3M): 447.15K
• Price to Earnings (P/E): 19.4
• Beta (1Y): -0.93
• Revenue Growth: -18.38%
• EPS Growth: -59.84%
• Country: HK
• Employees: 35
• Sector: Communication Services
• Sector Strength: 84
• Industry: Entertainment
• EPS (TTM): 0.04
• Shares Outstanding: 577,797,700
• 10 Day Avg. Volume: 530,820
• 30 Day Avg. Volume: 447,154
• PEG Ratio: 5.04
• Price to Book (P/B): 2.84
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -7.42
• 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: 58 Neutral
• Price Target: ―

Creative China Holdings Ltd. has a stable financial base but faces challenges due to declining revenue and cash flow issues. Technical indicators suggest a bearish trend, but the valuation may attract value investors. The absence of dividend yield and earnings call data limits additional insights. The company needs to address its cash flow management to improve future prospects.

Creative China Holdings Ltd. Business Overview & Revenue Model

Company Description

Creative China Holdings Limited, an investment holding company, primarily provides film and television program original script creation, adaptation, production and licensing, and related services in the People's Republic of China. The company operates through Program Production; Concert and Event Organisation; Mobile Live Broadcasting and E-commerce; and Artist Management segments. It also offers concert and event organization services, such as music concerts, prize presentation ceremony, automobile shows, university alumni, and other performance events. In addition, the company provides an electronic platform for entertainment contents consumption and e-commerce services, such as an online store; and online program production and advertising, and related services. Further, it offers agency services for the artists for arranging various performance activities. The company was founded in 2002 and is headquartered in Beijing, the People's Republic of China.

How the Company Makes Money

Creative China Holdings Ltd. generates revenue through multiple streams within the entertainment industry. Its primary source of income is from the production and distribution of television programs and films. The company also earns from organizing and managing cultural and entertainment events, which include concerts, live performances, and promotional activities. Additionally, Creative China offers artist management services, where it represents and promotes artists, thus earning commissions on their engagements and endorsements. The company may also derive income from strategic partnerships and collaborations with other media firms, leveraging shared resources and networks to boost its market presence and profitability.

Creative China Holdings Ltd. Financial Statement Overview

Summary

Creative China Holdings Ltd. shows resilience with a consistent revenue base but faces challenges due to an 18.2% revenue decline in 2024. While profitability margins remain healthy, recent declines and cash flow issues pose significant risks. The company has a strong equity base but must improve cash flow management to support future growth.

Income Statement

Creative China Holdings Ltd. shows resilience with a consistent revenue base, although revenue declined in 2024 by 18.2% from the previous year. The company maintains healthy profitability metrics with a gross profit margin of 31.64% and a net profit margin of 16.11% for 2024. However, the decline in revenue and profit margins from 2023 indicates potential challenges in maintaining growth.

Balance Sheet

The company has a strong equity base with an equity ratio of 74.87% as of 2024, indicating solid financial stability. The debt-to-equity ratio is low at 0.11, suggesting manageable leverage. Return on Equity (ROE) is robust at 7.92%, highlighting effective use of equity to generate profits. However, the decline in cash reserves and increasing debt levels in 2024 need monitoring.

Cash Flow

Cash flow management appears challenging, with no reported operating or free cash flow in 2024. The absence of free cash flow growth and the previous reliance on financing activities to manage cash needs highlight liquidity concerns. Improving operational cash generation will be crucial for long-term sustainability.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
151.14M	184.80M	152.69M	59.31M	45.66M
	Gross Profit
47.85M	74.06M	72.65M	42.12M	39.56M
	EBIT
25.33M	47.14M	57.37M	25.99M	25.39M
	EBITDA
25.60M	48.56M	63.74M	28.34M	27.74M
	Net Income Common Stockholders
24.35M	43.85M	49.08M	23.56M	20.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
11.84M	25.66M	24.04M	6.13M	11.38M
	Total Assets
410.86M	363.50M	340.73M	244.49M	223.07M
	Total Debt
34.40M	18.37M	65.86M	26.42M	25.04M
	Net Debt
22.57M	-7.29M	41.82M	20.29M	13.66M
	Total Liabilities
103.84M	102.24M	163.02M	148.98M	155.68M
	Stockholders Equity
307.66M	261.77M	176.22M	95.66M	67.49M
Cash Flow		Free Cash Flow
0.00	5.58M	-19.05M	-13.47M	-23.57M
	Operating Cash Flow
0.00	5.60M	-18.54M	-9.43M	-23.53M
	Investing Cash Flow
0.00	16.00K	7.00K	968.00K	1.97M
	Financing Cash Flow
0.00	-4.24M	35.84M	3.55M	21.72M

Creative China Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.87
• 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:8368, the sentiment is Positive. The current price of 0.87 is above the 20-day moving average (MA) of 0.76, above the 50-day MA of 0.52, and above the 200-day MA of 0.56, indicating a bullish trend. The MACD of 0.12 indicates Positive momentum. The RSI at 66.99 is Neutral, neither overbought nor oversold. The STOCH value of 73.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8368.

Creative China Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$14.33B	5.90	-3.82%	8.01%	2.79%	-33.24%
8368	58 Neutral	HK$514.24M	19.43	8.58%	―	-18.38%	-59.84%
8083	50 Neutral	HK$3.02B	―	-16.87%	―	-2.35%	-837.50%
8096	47 Neutral	HK$19.44M	―	-83.53%	―	-39.07%	71.87%
8071	43 Neutral	HK$164.01M	―	-69.43%	―	22.29%	27.27%
8206	42 Neutral	HK$138.39M	―		―	-51.85%	-50.00%
8028	33 Underperform	€91.57M	―	-48.55%	―	94428.16%	-88.74%