Honliv Healthcare Management Group Co Ltd (9906) AI Stock Analysis

• Market Cap: HK$900.00M
• Dividend Yield: N/A
• Average Volume (3M): 1.60K
• Price to Earnings (P/E): 72.8
• Beta (1Y): 0.27
• Revenue Growth: -13.22%
• EPS Growth: -69.35%
• Country: HK
• Employees: 1,955
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Care Facilities
• EPS (TTM): >-0.01
• Shares Outstanding: 600,000,000
• 10 Day Avg. Volume: 1,000
• 30 Day Avg. Volume: 1,600
• PEG Ratio: -5.51
• Price to Book (P/B): 1.87
• Price to Sales (P/S): 1.40
• P/FCF Ratio: 34.40
• 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: HK$1.50
• Price Target Upside: 0.00%
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 58 Neutral
• Price Target: HK$1.50 ▲(0.00% Upside)

Honliv Healthcare's overall stock score is primarily influenced by its stable financial performance, which provides a solid foundation despite challenges in profitability. Technical analysis indicates bearish momentum, which negatively impacts the score. The valuation is moderate, with a reasonable P/E ratio but no dividend yield. The lack of earnings call data and corporate events means these factors do not influence the score.

Honliv Healthcare Management Group Co Ltd Business Overview & Revenue Model

Company Description

Honliv Healthcare Management Group Company Limited owns and operates a general hospital in Mainland China. The company provides medical and pharmaceutical services, and hospital management services. It also operates as the pharmaceutical wholesaler. As of December 31, 2021, the company operated and managed Henan Honliv Hospital with 1,500 beds in operation located in Henan Province. The company was founded in 2004 and is headquartered in Changyuan, China. Honliv Healthcare Management Group Company Limited is a subsidiary of Sunny Rock Capital Limited.

How the Company Makes Money

Honliv Healthcare Management Group Co Ltd generates revenue primarily through the management and operation of hospitals and healthcare facilities. Its key revenue streams include patient services fees, which are collected for various medical treatments and healthcare services provided at its facilities. Additionally, the company may earn income from partnerships with governmental health programs or private insurance companies, enhancing its service offerings and patient reach. Revenue is also supplemented by providing specialized healthcare services such as health management programs and elderly care, which cater to a growing demand for comprehensive health solutions in China.

Honliv Healthcare Management Group Co Ltd Financial Statement Overview

Summary

Honliv Healthcare demonstrates stability through solid financial health, characterized by a strong balance sheet with low leverage and steady cash flow generation. While revenue growth is moderate, the company faces pressure on profit margins, indicating potential challenges in cost management. Overall, the financial position is robust, providing a firm foundation for future operations despite the need to enhance profitability metrics.

Income Statement

The company has shown steady revenue growth, with the latest annual growth rate at 1.08%. However, gross profit margin has decreased from 19.05% to 16.48% over the past year, indicating potential cost pressures. Net profit margin slightly decreased from 5.04% to 4.05%, suggesting some challenges in maintaining profitability. The EBIT and EBITDA margins have remained relatively stable, which is a positive sign for operational efficiency.

Balance Sheet

The balance sheet reveals a solid equity position with an equity ratio of 58.83% as of the latest report. The debt-to-equity ratio is low at 0.31, indicating low leverage and financial stability. However, the return on equity has decreased from 7.07% to 5.44% over the past year, reflecting a potential decline in shareholder returns.

Cash Flow

The company has demonstrated a strong recovery in free cash flow, growing from a negative position in earlier years to a positive $31.19 million in the latest year. The operating cash flow to net income ratio is robust at 2.68, illustrating effective cash generation relative to net income. However, the free cash flow to net income ratio has room for improvement at 1.00, indicating that not all profits are being converted into free cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	805.24M	768.73M	760.53M	727.79M	606.84M	524.04M
Gross Profit	146.51M	126.69M	144.84M	138.40M	135.31M	137.59M
EBITDA	118.11M	125.80M	119.31M	127.13M	98.20M	79.43M
Net Income	34.09M	31.15M	38.31M	48.95M	36.62M	21.84M
Balance Sheet
Total Assets	992.67M	974.00M	968.71M	935.04M	961.71M	972.46M
Cash, Cash Equivalents and Short-Term Investments	260.20M	258.50M	239.75M	255.24M	263.61M	302.48M
Total Debt	171.06M	176.04M	180.76M	143.12M	188.48M	250.05M
Total Liabilities	424.96M	395.08M	421.26M	380.37M	395.08M	442.85M
Stockholders Equity	561.90M	573.00M	541.85M	549.47M	561.83M	525.21M
Cash Flow
Free Cash Flow	29.23M	31.19M	2.01M	98.66M	40.08M	-6.24M
Operating Cash Flow	102.49M	83.34M	91.56M	118.47M	91.44M	74.61M
Investing Cash Flow	-73.94M	-51.38M	-88.76M	-19.16M	-50.46M	-80.06M
Financing Cash Flow	-42.56M	-13.30M	-19.12M	-117.85M	-76.87M	215.16M

Honliv Healthcare Management Group Co Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:9906, the sentiment is Negative. The current price of 1.5 is below the 20-day moving average (MA) of 1.50, below the 50-day MA of 1.50, and below the 200-day MA of 1.65, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 21.81 is Positive, neither overbought nor oversold. The STOCH value of <0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:9906.

Honliv Healthcare Management Group Co Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3689	70 Outperform	712.26M	8.63	1.07%	7.51%	0.47%	50.46%
1526	68 Neutral	1.67B	5.75	22.09%	4.29%	-3.56%	-17.45%
9906	58 Neutral	HK$900.00M	72.82	1.87%	―	-13.22%	-69.35%
1419	55 Neutral	390.94M	18.63	0.00%	2.72%	-0.69%	0.00%
6639	52 Neutral	1.26B	48.37	1.28%	―	-4.30%	13.83%
3869	48 Neutral	939.72M	6.46	0.00%	―	2.30%	0.00%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Honliv Healthcare Management Group Co Ltd Corporate Events

Honliv Healthcare Management Group’s AGM Approves Key Resolutions

Honliv Healthcare Management Group Co Ltd held its annual general meeting on June 13, 2025, where all proposed resolutions were passed with unanimous approval. Key resolutions included the re-election of directors, authorization of directors’ remuneration, reappointment of PricewaterhouseCoopers as auditors, and granting mandates for share repurchase and issuance. These decisions reflect strong shareholder support and are likely to enhance the company’s governance and operational flexibility.