Litian Pictures Holdings Limited (9958) AI Stock Analysis

• Market Cap: HK$36.00M
• Dividend Yield: N/A
• Average Volume (3M): 1.12M
• Price to Earnings (P/E): ―
• Beta (1Y): -0.51
• Revenue Growth: -87.05%
• EPS Growth: 72.21%
• Country: HK
• Employees: 38
• Sector: Communication Services
• Sector Strength: 82
• Industry: Entertainment
• EPS (TTM): -0.15
• Shares Outstanding: 360,000,000
• 10 Day Avg. Volume: 814,000
• 30 Day Avg. Volume: 1,115,233
• PEG Ratio: >-0.01
• Price to Book (P/B): -2.64
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 44.55
• 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: 0

• Rating: 47 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

The overall stock score is significantly impacted by the company's poor financial performance, which is the most crucial factor. Despite neutral technical indicators, the negative valuation metrics due to ongoing losses further challenge the stock's attractiveness.

Litian Pictures Holdings Limited Business Overview & Revenue Model

Company Description

Litian Pictures Holdings Limited, a drama series distribution company, develops, markets, and distributes films and television (TV) dramas in the People's Republic of China. The company operates through three segments: Self-Produced Drama Series, Outright-Purchased Drama Series, and Others. It engages in licensing the broadcasting rights of self-produced and outright-purchased drama series; selling drama series script copyrights; acting as a distribution agent of the broadcasting rights of TV series; and investing and acting as a non-executive producer. The company also distributes and licenses broadcasting rights of drama series under co-financing arrangements. It serves TV channels, including satellite and terrestrial TV channels, as well as online media platforms. Litian Pictures Holdings Limited was founded in 2013 and is headquartered in Beijing, China.

How the Company Makes Money

Litian Pictures Holdings Limited generates revenue through multiple streams in the entertainment industry. The primary source of income is the production and distribution of films and television dramas, where the company earns from box office sales, licensing fees, and broadcast rights. Additionally, the company may engage in co-production deals and partnerships with other media firms to expand its content distribution reach. Revenue is also derived from digital streaming platforms, where the company licenses its content for online streaming, tapping into the growing demand for digital entertainment. Significant partnerships with leading broadcasters and digital platforms further enhance its revenue potential by ensuring wider audience reach and diversified income sources.

Litian Pictures Holdings Limited Financial Statement Overview

Summary

Litian Pictures Holdings Limited is facing significant financial challenges across all areas, with persistent revenue decline, negative profit margins, and a deteriorating balance sheet position, indicating a company in distress.

Income Statement

Litian Pictures Holdings Limited has experienced a significant decline in revenue over the past years, with a dramatic drop from 2020 to 2024. Gross profit margins have turned negative in recent years, and the company has been consistently reporting net losses, indicating severe profitability challenges. The EBIT and EBITDA margins are also negative, highlighting operational inefficiencies.

Balance Sheet

The company has a negative stockholders' equity as of 2024, indicating financial distress. The debt-to-equity ratio is uncalculable due to negative equity, but the rising total debt levels are a concern. The decreasing total assets and liabilities suggest potential asset divestment or writedowns.

Cash Flow

The cash flow position is concerning, with operating cash flows dropping to zero in 2024. Historical free cash flow was positive in 2023 due to reduced capital expenditures, but the inability to generate positive operating cash flows consistently is a significant risk.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.12M	113.44M	23.12M	304.96M	455.27M
Gross Profit	4.65M	-67.68M	-189.22M	-49.79M	125.88M
EBITDA	-30.55M	-120.62M	-245.88M	-91.69M	92.66M
Net Income	-43.12M	-155.46M	-295.66M	-75.12M	70.08M
Balance Sheet
Total Assets	685.67M	721.41M	820.68M	1.01B	1.17B
Cash, Cash Equivalents and Short-Term Investments	8.29M	4.50M	10.00M	38.19M	185.69M
Total Debt	159.35M	165.12M	217.21M	133.92M	83.33M
Total Liabilities	696.06M	688.53M	633.80M	537.03M	616.32M
Stockholders Equity	-10.40M	32.88M	186.88M	477.75M	554.90M
Cash Flow
Free Cash Flow	11.12M	63.85M	-77.37M	-137.41M	-115.15M
Operating Cash Flow	11.12M	64.06M	-76.42M	-133.27M	-114.60M
Investing Cash Flow	4.00K	-180.00K	-243.00K	-3.21M	-3.45M
Financing Cash Flow	-9.93M	-71.02M	43.69M	43.19M	181.29M

Litian Pictures Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:9958, the sentiment is Positive. The current price of 0.1 is above the 20-day moving average (MA) of 0.09, above the 50-day MA of 0.09, and below the 200-day MA of 0.16, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 63.25 is Neutral, neither overbought nor oversold. The STOCH value of 92.86 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:9958.

Litian Pictures Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$41.05B	-1.44	-12.05%	3.94%	2.10%	-69.66%
0953	53 Neutral	HK$241.33M	―	-1.32%	―	-21.40%	-100.00%
8082	49 Neutral	HK$201.28M	―	-110.51%	―	-33.40%	29.14%
1132	48 Neutral	HK$125.99M	―	-12.77%	―	-8.19%	-498.76%
9958	47 Neutral	HK$36.00M	―	-372.16%	―	-87.05%	72.21%
1326	42 Neutral	HK$109.02M	―		―	60.31%	-73.59%
1740	38 Underperform	HK$57.06M	―	-76.84%	―	-91.55%	1.34%

Litian Pictures Holdings Limited Corporate Events

Leadership Changes at Litian Pictures Holdings Limited

Litian Pictures Holdings Limited announced the resignation of Ms. Fu Jieyun from her roles as Chief Financial Officer, Joint Company Secretary, and Authorized Representative, effective June 27, 2025, to focus on personal endeavors. The company has appointed Mr. Wong Sai Hung as the new Authorized Representative, ensuring continuity in its leadership structure.

Litian Pictures Forms Nomination Committee to Enhance Governance

Litian Pictures Holdings Limited has established a Nomination Committee as per a resolution by its board of directors. This committee, composed of at least three members with a majority being independent non-executive directors, is tasked with overseeing the nomination process within the company. The formation of this committee aligns with the company’s adherence to the Listing Rules of the Hong Kong Stock Exchange, potentially enhancing governance and transparency.