Equity Analyst

Steve Zhou, CFA

Equity Bottom-Up

<ul>
<li>
<a href="https://www.smartkarma.com/entities/xinyi-glass-holdings-ltd" target="_blank" data-smartkarma-citation="entities:11940:1" rel="noopener">Xinyi Glass Holdings (868 HK)</a> reported FY23 results, with net profit up 5% yoy and sales up 4% yoy. </li>
<li>The company announced a final dividend of HKD0.37 per share, resulting in a full year dividend of HKD0.63 per share, which is a yield of 8%. </li>
<li>Overall the results look resilient, with auto glass segment a bit weaker than expected and float glass segment stronger than expected. </li>
</ul>



Xinyi Glass Holdings (868 HK) reported FY23 results, with net profit up 5% yoy and sales up 4% yoy. 
The company announced a final dividend of HKD0.37 per share, resulting in a full year dividend of HKD0.63 per share, which is a yield of 8%. 
Overall the results look resilient, with auto glass segment a bit weaker than expected and float glass segment stronger than expected. 


Xinyi Glass (868 HK):  Resilient FY23 Results; A Nice Dividend Play

<ul>
<li>
<a href="https://www.smartkarma.com/entities/xinyi-glass-holdings-ltd" target="_blank" data-smartkarma-citation="entities:11940:1" rel="noopener">Xinyi Glass Holdings (868 HK)</a>'s stable auto glass business is often overlooked, making up 39% of the company's gross profit in 1H23.</li>
<li>Given the current valuation of 7x 2023E PE and 1.3x 2023E PB, the risk reward is skewed to the upside, and downside is protected with the stable auto glass business. </li>
<li>The company's management has been aggressively increasing stake in the company in the last 2 months, gobbling up 11 million shares.</li>
</ul>



Xinyi Glass Holdings (868 HK)'s stable auto glass business is often overlooked, making up 39% of the company's gross profit in 1H23.
Given the current valuation of 7x 2023E PE and 1.3x 2023E PB, the risk reward is skewed to the upside, and downside is protected with the stable auto glass business. 
The company's management has been aggressively increasing stake in the company in the last 2 months, gobbling up 11 million shares.


Xinyi Glass (868 HK):  More Resilient Than Perceived

Global Emerging Market Equities, Propitious Research

Wium Malan, CFA

Global Emerging Market Equities

Independent, Fundamental Quantitative Research

Propitious Research

Fully independent, fundamental and quantitative equity research, focused on companies in the Telecommunication, Media, Technology, Internet and Healthcare sectors in the Global Emerging Markets. Idea generation focused on Quality stocks, trading below their intrinsic Value, with sound Corporate Governance.

<ul>
<li>The medium and long-term prospects of the solar glass market remain promising amid the global transition towards green energy, falling costs, supportive government policies, and technological advancement. </li>
<li>The short-term revenue growth outlook doesn't look optimistic given declining ASPs since 2Q21 which should result in slowing revenue growth, declining margins, and contracting earnings off a high base.</li>
<li>Xinyi Solar is also trading at premium valuation levels, leaving no margin-of-safety, especially considering its poor historical free cash flow generation track record and working capital concerns.</li>
</ul>


The medium and long-term prospects of the solar glass market remain promising amid the global transition towards green energy, falling costs, supportive government policies, and technological advancement. 
The short-term revenue growth outlook doesn't look optimistic given declining ASPs since 2Q21 which should result in slowing revenue growth, declining margins, and contracting earnings off a high base.
Xinyi Solar is also trading at premium valuation levels, leaving no margin-of-safety, especially considering its poor historical free cash flow generation track record and working capital concerns.


Xinyi Solar: Short-Term Headwinds, Cash Flow Concerns, and a Premium Valuation

Asian Insight Provider - Actionable ideas, CrossASEAN Research

Henry Soediarko

Asian Insight Provider - Actionable ideas

CrossASEAN Research

At CrossASEAN Research we strive to produce unbiased and differentiated on the ground insights on companies across South East Asia. Our Research is produced for the most part after face to face meetings and conversations with company management to dig deep into the long term vision and strategy of the companies we cover. We seek to deliver investable and actionable themes on sectors and markets across SE Asia, often in collaboration with other Insight Providers across the region, pooling the vast experience of the analysts within the Smartkarma Ecosystem. We also offer bespoke work and tailor made trips for our clients. 

Insights across South East Asia

<ul>
<li>The Chinese property market is undergoing a revival story initiated by the government.</li>
<li>
<a href="https://www.smartkarma.com/entities/xinyi-glass-holdings-ltd" target="_blank" data-smartkarma-citation="entities:11940:1" rel="noopener">Xinyi Glass Holdings (868 HK)</a> main product is a key component for real estate developers.</li>
<li>Xinyi Glass has a much cleaner balance sheet compared to the property developers. </li>
</ul>


The Chinese property market is undergoing a revival story initiated by the government.

Xinyi Glass Holdings (868 HK) main product is a key component for real estate developers.
Xinyi Glass has a much cleaner balance sheet compared to the property developers. 


Xinyi Glass (868): Efficient Way to Ride Chinese Property Market Revival

Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>The data in this insight is collated from the "shareholding disclosure" link on the HKEx website. </li>
<li>Often there is a corresponding HKEx announcement on the increase - or decrease - in the shareholding by directors. However, such disclosures are by no means an absolute. </li>
<li>These insights also flag those companies where shares have been pledged, both recently and ongoing.</li>
</ul>


The data in this insight is collated from the "shareholding disclosure" link on the HKEx website. 
Often there is a corresponding HKEx announcement on the increase - or decrease - in the shareholding by directors. However, such disclosures are by no means an absolute. 
These insights also flag those companies where shares have been pledged, both recently and ongoing.


Hong Kong CEO & Director Dealings - 17th August 2022

China

Xinyi Glass Holdings Ltd, through its subsidiaries, produces a variety of processed glass products for automobile, construction and household applications. The Company also tenders for glass curtain wall projects and conducts installation service of glass curtain wall in China.

Xinyi Glass Holdings (868 HK)

Xinyi Glass (868 HK): Resilient FY23 Results; A Nice Dividend Play

Xinyi Glass (868 HK) reported FY23 results with 5% yoy increase in net profit and 4% yoy increase in sales. The company is a solid value and...

Steve Zhou, CFA

Xinyi Glass (868 HK): More Resilient Than Perceived

I am pushing this up after only a week because of 1) news that China plans to increase budget deficit for 2023 and issue at least RMB1 trillion...

Steve Zhou, CFA

Xinyi Solar: Short-Term Headwinds, Cash Flow Concerns, and a Premium Valuation

In this insight, I carry out a deep dive analysis into Xinyi Solar, the outlook for the company, upcoming catalysts, and its current valuation...

Wium Malan, CFA

Xinyi Glass (868): Efficient Way to Ride Chinese Property Market Revival

The Chinese property sector will be resurrected. Xinyi Glass main product, float glass, will be in much demand. Their new product, low-emission...

Henry Soediarko

Hong Kong CEO & Director Dealings - 17th August 2022

The data in this insight is collated from the "shareholding disclosure" link on the HKEx website. These insights also flag those companies where...

David Blennerhassett

Xinyi Glass (868 HK): Resilient FY23 Results; A Nice Dividend Play

​Xinyi Glass (868 HK) reported FY23 results with 5% yoy increase in net profit and 4% yoy increase in sales. The company is a solid value and...

Steve Zhou, CFA

Xinyi Glass (868 HK): More Resilient Than Perceived

I am pushing this up after only a week because of 1) news that China plans to increase budget deficit for 2023 and issue at least RMB1 trillion...

Steve Zhou, CFA

Xinyi Solar: Short-Term Headwinds, Cash Flow Concerns, and a Premium Valuation

In this insight, I carry out a deep dive analysis into Xinyi Solar, the outlook for the company, upcoming catalysts, and its current valuation...

Wium Malan, CFA

Xinyi Glass (868): Efficient Way to Ride Chinese Property Market Revival

The Chinese property sector will be resurrected. Xinyi Glass main product, float glass, will be in much demand. Their new product, low-emission...

Henry Soediarko

Hong Kong CEO & Director Dealings - 17th August 2022

The data in this insight is collated from the "shareholding disclosure" link on the HKEx website. These insights also flag those companies where...

David Blennerhassett

Xinyi Glass (868 HK) reported FY23 results with 5% yoy increase in net profit and 4% yoy increase in sales. The company is a solid value and...