The Strong Earnings Posted By A & S Group (Holdings) (HKG:1737) Are A Good Indication Of The Strength Of The Business
The Strong Earnings Posted By A & S Group (Holdings) (HKG:1737) Are A Good Indication Of The Strength Of The Business
A & S Group (Holdings) Limited (HKG:1737) just reported healthy earnings but the stock price didn't move much. Investors are probably missing some underlying factors which are encouraging for the future of the company.
亚实集团(控股)有限公司(HKG: 1737)刚刚公布了健康的收益,但股价没有太大变动。投资者可能遗漏了一些对公司未来来说令人鼓舞的潜在因素。
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A Closer Look At A & S Group (Holdings)'s Earnings
仔细研究A&S集团(控股)的收益
As finance nerds would already know, the accrual ratio from cashflow is a key measure for assessing how well a company's free cash flow (FCF) matches its profit. The accrual ratio subtracts the FCF from the profit for a given period, and divides the result by the average operating assets of the company over that time. The ratio shows us how much a company's profit exceeds its FCF.
正如财务爱好者已经知道的那样,现金流的应计比率是评估公司自由现金流(FCF)与其利润相匹配程度的关键指标。应计比率从给定时期的利润中减去FCF,然后将结果除以公司在该时期内的平均运营资产。该比率向我们显示了公司的利润超过其FCF的程度。
That means a negative accrual ratio is a good thing, because it shows that the company is bringing in more free cash flow than its profit would suggest. While it's not a problem to have a positive accrual ratio, indicating a certain level of non-cash profits, a high accrual ratio is arguably a bad thing, because it indicates paper profits are not matched by cash flow. To quote a 2014 paper by Lewellen and Resutek, "firms with higher accruals tend to be less profitable in the future".
这意味着负的应计比率是一件好事,因为它表明该公司带来的自由现金流比其利润所暗示的要多。尽管应计比率为正并不成问题,表示非现金利润达到一定水平,但高应计比率可以说是一件坏事,因为它表明票面利润与现金流不匹配。引用Lewellen和Resutek在2014年发表的一篇论文,“应计收入较高的公司将来的利润往往会降低”。
A & S Group (Holdings) has an accrual ratio of -0.30 for the year to March 2024. Therefore, its statutory earnings were very significantly less than its free cashflow. Indeed, in the last twelve months it reported free cash flow of HK$52m, well over the HK$17.6m it reported in profit. A & S Group (Holdings)'s free cash flow improved over the last year, which is generally good to see.
截至2024年3月的一年中,A&S集团(控股)的应计比率为-0.30。因此,其法定收入大大低于其自由现金流。事实上,在过去的十二个月中,该公司报告的自由现金流为5200万港元,远远超过其公布的1760万港元的利润。A&S集团(控股)的自由现金流比去年有所改善,总体而言,这是值得期待的。
Note: we always recommend investors check balance sheet strength. Click here to be taken to our balance sheet analysis of A & S Group (Holdings).
注意:我们始终建议投资者检查资产负债表的实力。点击此处查看我们对A&S集团(控股)的资产负债表分析。
Our Take On A & S Group (Holdings)'s Profit Performance
我们对A&S集团(控股)盈利表现的看法
Happily for shareholders, A & S Group (Holdings) produced plenty of free cash flow to back up its statutory profit numbers. Based on this observation, we consider it possible that A & S Group (Holdings)'s statutory profit actually understates its earnings potential! Furthermore, it has done a great job growing EPS over the last year. The goal of this article has been to assess how well we can rely on the statutory earnings to reflect the company's potential, but there is plenty more to consider. With this in mind, we wouldn't consider investing in a stock unless we had a thorough understanding of the risks. Case in point: We've spotted 2 warning signs for A & S Group (Holdings) you should be aware of.
令股东高兴的是,A&S集团(控股)产生了充足的自由现金流来支持其法定利润数字。基于这一观察,我们认为A&S集团(控股)的法定利润实际上可能低估了其盈利潜力!此外,在过去的一年中,它在增长每股收益方面做得很好。本文的目标是评估我们在多大程度上可以依靠法定收益来反映公司的潜力,但还有很多需要考虑的地方。考虑到这一点,除非我们对风险有透彻的了解,否则我们不会考虑投资股票。一个很好的例子:我们已经发现了你应该注意的A&S集团(控股)的两个警告信号。
This note has only looked at a single factor that sheds light on the nature of A & S Group (Holdings)'s profit. But there are plenty of other ways to inform your opinion of a company. Some people consider a high return on equity to be a good sign of a quality business. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful.
本报告仅研究了揭示A&S集团(控股)利润性质的单一因素。但是,还有很多其他方法可以让你对公司的看法。有些人认为高股本回报率是优质业务的好兆头。虽然可能需要你进行一些研究,但你可能会发现这份免费收集的拥有高股本回报率的公司,或者这份拥有大量内幕持股的股票清单很有用。
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
对这篇文章有反馈吗?对内容感到担忧吗?请直接联系我们。或者,也可以发送电子邮件至编辑团队 (at) simplywallst.com。
Simply Wall St的这篇文章本质上是笼统的。我们仅使用公正的方法根据历史数据和分析师的预测提供评论,我们的文章无意作为财务建议。它不构成买入或卖出任何股票的建议,也没有考虑到您的目标或财务状况。我们的目标是为您提供由基本数据驱动的长期重点分析。请注意,我们的分析可能不考虑最新的价格敏感型公司公告或定性材料。简而言之,华尔街没有持有任何上述股票的头寸。
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
对这篇文章有反馈吗?担心内容吗?直接联系我们。或者,发送电子邮件至 editorial-team@simplywallst.com