Picture of China Traditional Chinese Medicine Holdings logo

570 — China Traditional Chinese Medicine Holdings News Story

0.000.00%
hk flag iconLast trade - 00:00
HealthcareAdventurousMid CapValue Trap

China Traditional Chinese Medicine H1 revenue falls on decline across segments

China Traditional Chinese Medicine H1 revenue falls on decline across segments


Overview

  • China traditional medicine maker's half-year total revenue fell 27% yr/yr

  • Company posted RMB 776.3 mln net loss attributable for the period

  • Sales declined across all major business segments, especially concentrated granules and herb integration


Outlook

  • Company did not provide specific financial guidance or outlook commentary in the press release


Result Drivers

  • SEGMENT SALES DECLINES - Sales fell across all major business segments, mainly due to the decline in terminal demand and the decrease in sales volume, especially concentrated granules and herb integration

  • CONCENTRATED GRANULES PRESSURE – Revenue fell 35.4% to RMB1.93 bln as policy adjustments and market changes weakened terminal demand and sales volumes

  • HERBS BUSINESS DOWNSIZING – Chinese medicinal-herbs integration revenue fell 57.5% to RMB190 mln as the group cut high-risk activities and market prices declined


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

H1 Total Revenue

RMB 5.44 bln

H1 Net Loss Attributable

RMB 776.30 mln


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and 1 "sell" or "strong sell"

  • The average consensus recommendation for the pharmaceuticals peer group is "buy."

  • Wall Street's median 12-month price target for China Traditional Chinese Medicine Holdings Co Ltd is HK$1.42, about 2.2% above its August 28 closing price of HK$1.39

  • The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 13 three months ago


Reuters Recommended Reads

  • Aug 28 - Chinese traditional medicine maker Tong Ren Tang profit falls on weaker demand

  • Aug 26 - China's Zhongzhi Pharmaceutical H1 revenue falls 10%

  • Aug 28 - China's Dawnrays Pharmaceutical H1 revenue falls on lower procurement prices


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

Recent news on China Traditional Chinese Medicine Holdings

See all news