Central China Management Company Limited (9982) AI Stock Analysis

• Market Cap: HK$425.22M
• Dividend Yield: N/A
• Average Volume (3M): 0.00
• Price to Earnings (P/E): 7.0
• Beta (1Y): -0.05
• Revenue Growth: 5.32%
• EPS Growth: 9.79%
• Country: HK
• Employees: 914
• Sector: Services
• Sector Strength: N/A
• Industry: Real Estate - Services
• EPS (TTM): <0.01
• Shares Outstanding: 3,865,617,000
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: -0.09
• Price to Book (P/B): 0.15
• Price to Sales (P/S): 1.55
• P/FCF Ratio: 250.47
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: ―

Central China Management Company Limited's stock demonstrates a strong balance sheet and attractive valuation, but the significant decline in revenue and cash flows presents major risks. Technical analysis suggests potential overbought conditions, which could limit short-term upside. The high dividend yield is a positive, yet investors should be cautious due to the company's financial and liquidity challenges.

Positive Factors

Strategic Expansion

Strategic expansion into new regions diversifies revenue sources and reduces dependency on a single market, potentially driving long-term growth and enhancing competitive positioning.

Operational Efficiency

High operational efficiency, as reflected in strong EBIT and EBITDA margins, suggests effective cost management and the ability to maintain profitability even in challenging market conditions.

Balance Sheet Strength

A strong balance sheet with minimal leverage provides financial stability and flexibility, allowing the company to withstand economic fluctuations and invest in growth opportunities.

Negative Factors

Leadership Instability

Frequent changes in leadership can disrupt strategic continuity and decision-making processes, potentially affecting the company's long-term strategic direction and operational stability.

Cash Flow Challenges

Declining cash flow conversion indicates potential liquidity risks, which could constrain the company's ability to fund operations and strategic initiatives without resorting to external financing.

Revenue Decline

A significant decline in revenue poses a risk to future growth and profitability, potentially impacting the company's ability to invest in expansion and innovation.

Central China Management Company Limited Business Overview & Revenue Model

Company Description

Central China Management Company Limited provides project management services for property development projects in China. The company was incorporated in 2020 and is headquartered in Zhengzhou, the People's Republic of China. Central China Management Company Limited operates as a subsidiary of Joy Bright Investments Limited.

How the Company Makes Money

Central China Management Company Limited generates revenue through multiple streams, primarily from management fees associated with its investment and consultancy services in real estate and infrastructure projects. The company earns a significant portion of its income by acting as a project manager for large developments, where it charges fees based on the scale and complexity of the projects. Additionally, Central China may receive performance-based incentives linked to the success of the investments it manages. Partnerships with local governments and private sector entities enhance its project pipeline, further contributing to its revenue through collaborative ventures. The company's strategic focus on high-demand sectors within the Chinese market positions it to capitalize on growth opportunities, thus driving its earnings.

Central China Management Company Limited Financial Statement Overview

Summary

Central China Management Company Limited exhibits strong operational efficiency and profitability, with high EBIT and EBITDA margins. However, the company faces substantial risks due to a significant decline in revenue and cash flows from 2023 to 2024. The robust balance sheet with minimal leverage provides financial stability, but the challenges in revenue generation and cash flow conversion require strategic adjustments.

Income Statement

The company has experienced a notable decline in revenue from 2023 to 2024, with a sharp decrease of approximately 46%. While gross and net profit margins remain high at 100% and 25.8% for 2024, the significant drop in revenue is concerning. The EBIT and EBITDA margins are also high at 38.2% and 40.5% respectively, indicating strong operational efficiency. However, the declining revenue trend poses a risk to future growth.

Balance Sheet

The balance sheet is robust with a very low debt-to-equity ratio of 0.002, signifying minimal leverage and financial risk. The equity ratio is strong at 82.1%, indicating a stable financial structure with a high proportion of equity financing. Return on equity for 2024 is healthy at 2.6%, although lower than in previous years, reflecting the impact of declining net income.

Cash Flow

Operating cash flow has decreased significantly from 2023 to 2024, with a drastic decline in free cash flow as well. The free cash flow to net income ratio is low, indicating challenges in converting income into cash. However, the company has effectively managed investing and financing activities, maintaining a positive cash flow balance. This decline in free cash flow growth highlights potential liquidity risks.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	245.40M	252.03M	468.38M	605.68M	1.30B	1.15B
Gross Profit	245.40M	252.03M	468.38M	605.68M	1.30B	1.15B
EBITDA	72.22M	102.07M	191.59M	422.60M	1.03B	925.64M
Net Income	58.69M	65.13M	198.57M	303.48M	770.15M	681.47M
Balance Sheet
Total Assets	3.14B	3.09B	3.13B	2.69B	2.90B	1.68B
Cash, Cash Equivalents and Short-Term Investments	2.57B	2.48B	1.85B	1.57B	1.98B	384.60M
Total Debt	3.61M	4.73M	7.85M	3.10M	6.07M	12.35M
Total Liabilities	549.23M	543.10M	706.36M	515.50M	575.40M	667.66M
Stockholders Equity	2.58B	2.54B	2.42B	2.18B	2.32B	1.01B
Cash Flow
Free Cash Flow	53.12M	1.56M	372.16M	125.92M	510.53M	610.94M
Operating Cash Flow	53.17M	1.60M	372.21M	134.50M	523.49M	614.72M
Investing Cash Flow	770.97M	725.63M	-256.59M	-96.90M	537.68M	-373.72M
Financing Cash Flow	-83.79M	-82.43M	153.22M	-452.39M	529.98M	-201.78M

Central China Management Company Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.11
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Neutral
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:9982, the sentiment is Negative. The current price of 0.11 is below the 20-day moving average (MA) of 0.11, below the 50-day MA of 0.11, and above the 200-day MA of 0.11, indicating a neutral trend. The MACD of <0.01 indicates Neutral momentum. The RSI at 100.00 is Negative, neither overbought nor oversold. The STOCH value of 40.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:9982.

Central China Management Company Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2165	77 Outperform	HK$557.09M	7.12	11.46%	―	5.01%	-31.83%
9983	63 Neutral	HK$818.54M	3.45	11.48%	16.92%	-2.61%	―
3662	63 Neutral	HK$319.55M	7.50	3.28%	6.52%	-14.43%	-77.55%
9982	62 Neutral	HK$425.22M	7.01	2.19%	―	5.32%	9.79%
2107	57 Neutral	HK$286.39M	-13.45	-4.06%	14.53%	6.30%	-128.34%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%

Central China Management Company Limited Corporate Events

Central China Management Faces Compliance Challenges Amid Key Resignation

Central China Management Company Limited has announced the resignation of Ms. Ho Wing Nga from her roles as company secretary and authorized representative, effective December 1, 2025. This resignation has led to non-compliance with certain listing rules on the Hong Kong Stock Exchange, as the company currently lacks a company secretary and two authorized representatives. Consequently, the company is actively seeking suitable candidates to fill these vacancies to ensure compliance. Additionally, trading in the company’s shares has been suspended since April 2, 2024, and will remain so until further notice, prompting shareholders and investors to exercise caution.

Central China Management Announces New Hong Kong Office and Continued Trading Suspension

Central China Management Company Limited has announced a change in its principal place of business in Hong Kong to a new location in Mong Kok, Kowloon, effective from November 26, 2025. Additionally, the company has stated that trading of its shares on the Hong Kong Stock Exchange remains suspended since April 2, 2024, with no indication of when it will resume, urging shareholders and potential investors to exercise caution.

Central China Management Faces Compliance Challenges After Director Resignation

Central China Management Company Limited announced the resignation of Ms. Yan Yingchun as an independent non-executive director due to personal reasons, effective November 24, 2025. Her departure has resulted in non-compliance with several Hong Kong Stock Exchange listing rules regarding board and committee compositions, including the requirement for a gender-diverse board. The company is actively seeking suitable candidates to fill these vacancies and aims to rectify these compliance issues within three months.

Central China Management Company Limited Updates Board of Directors

Central China Management Company Limited has announced an update to its board of directors and their roles, effective November 24, 2025. This update includes the appointment of Mr. Wu Po Sum as Chairman and non-executive Director, Mr. Hu Bing as Executive Director, and Mr. Xu Ying and Mr. Liu Dianchen as Independent non-executive Directors. The announcement also details the composition of the company’s three board committees, which could impact the company’s governance and strategic direction.

Central China Management Reports Decline in 2025 Operating Metrics

Central China Management Company Limited reported a significant decline in its operating metrics for the ten months ending October 2025, with a 52.3% decrease in newly contracted gross floor area compared to the previous year. The company managed 247 projects with a total gross floor area of over 29 million square meters, but faced a 19.7% drop in contracted sales, indicating challenges in maintaining growth and expansion outside its primary market of Henan province.

Central China Management Reports Decline in Contracted Sales and GFA

Central China Management Company Limited reported a decrease in newly contracted gross floor area (GFA) by 44.5% for the first nine months of 2025 compared to the same period in 2024, with 13 new projects and a total of 462 contracted projects under management. Despite a 20% year-on-year decrease in contracted sales, the company saw a slight increase in the average selling price per square meter, reflecting a challenging market environment but potential pricing power.

Central China Management Continues Trading Suspension Amid Compliance Efforts

Central China Management Company Limited has announced a continued suspension of trading of its shares on the Hong Kong Stock Exchange. Despite the suspension, the company’s business operations remain unaffected. The company has been working on fulfilling the resumption guidance set by the Stock Exchange, which includes publishing outstanding financial results, ensuring compliance with listing rules, and conducting an independent internal control review. The company has appointed McMillan Woods (Hong Kong) CPA Limited as an independent consultant to review its internal control systems, and a draft report has already been submitted.

Central China Management Sees Decline in Contracted Sales Amid Expansion Efforts

Central China Management Company Limited reported a decrease in newly contracted gross floor area by 45.1% for the first eight months of 2025 compared to the same period in 2024, with a total of 12 new projects. The company is expanding its operations outside Henan province, managing projects across nine other provinces, which now account for 12.6% of its total managed GFA. Despite a 20% decline in contracted sales to RMB7,280 million, the average selling price per square meter increased by 1.4% year-on-year, indicating potential resilience in pricing amidst a challenging market environment.