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China Resources Beer (Holdings)

DB:CHK
Snowflake Description

Excellent balance sheet with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CHK
DB
HK$138B
Market Cap
  1. Home
  2. DE
  3. Food, Beverage & Tobacco
Company description

China Resources Beer (Holdings) Company Limited, an investment holding company, manufactures, sells, and distributes beer products under the Snow brand. The last earnings update was 37 days ago. More info.


Add to Portfolio Compare Print
CHK Share Price and Events
7 Day Returns
3.4%
DB:CHK
-0.5%
DE Beverage
2.8%
DE Market
1 Year Returns
59.7%
DB:CHK
5.6%
DE Beverage
3%
DE Market
CHK Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
China Resources Beer (Holdings) (CHK) 3.4% 1.6% 17.5% 59.7% 146.7% 165.9%
DE Beverage -0.5% 2.4% -0.7% 5.6% 30% 68%
DE Market 2.8% 0.2% 1.3% 3% 8% 23.6%
1 Year Return vs Industry and Market
  • CHK outperformed the Beverage industry which returned 5.6% over the past year.
  • CHK outperformed the Market in Germany which returned 3% over the past year.
Price Volatility
CHK
Industry
5yr Volatility vs Market

CHK Value

 Is China Resources Beer (Holdings) undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of China Resources Beer (Holdings) to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for China Resources Beer (Holdings).

DB:CHK Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 24 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 5.5%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:CHK
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6.7%
Beverage Unlevered Beta Simply Wall St/ S&P Global 0.51
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.508 (1 + (1- 25%) (1.26%))
0.673
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (0.8 * 6.65%)
5.55%

Discounted Cash Flow Calculation for DB:CHK using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for China Resources Beer (Holdings) is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:CHK DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CNY, Millions) Source Present Value
Discounted (@ 5.55%)
2020 4,263.11 Analyst x9 4,039.02
2021 4,400.12 Analyst x7 3,949.71
2022 5,426.00 Analyst x1 4,614.55
2023 6,314.00 Analyst x1 5,087.50
2024 6,933.81 Est @ 9.82% 5,293.25
2025 7,415.02 Est @ 6.94% 5,363.05
2026 7,780.31 Est @ 4.93% 5,331.47
2027 8,053.93 Est @ 3.52% 5,228.87
2028 8,257.71 Est @ 2.53% 5,079.37
2029 8,409.61 Est @ 1.84% 4,900.90
Present value of next 10 years cash flows CN¥48,887.00
DB:CHK DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= CN¥8,409.61 × (1 + 0.23%) ÷ (5.55% – 0.23%)
CN¥158,435.86
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CN¥158,435.86 ÷ (1 + 5.55%)10
CN¥92,332.24
DB:CHK Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CN¥48,887.00 + CN¥92,332.24
CN¥141,219.24
Equity Value per Share
(CNY)
= Total value / Shares Outstanding
= CN¥141,219.24 / 3,244.00
CN¥43.53
DB:CHK Discount to Share Price
Calculation Result
Exchange Rate CNY/HKD
(Reporting currency to currency of SEHK:291)
1.107
Value per Share
(HKD)
= Value per Share in CNY x Exchange Rate (CNY/HKD)
= CN¥43.53 x 1.107
HK$48.17
Non-primary Listing Adjustment Factor 1 share in DB:CHK represents 0.11388x of SEHK:291
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.11388x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (HKD) x Listing Adjustment Factor
= HK$ 48.17 x 0.11388
€5.49
Value per share (EUR) From above. €5.49
Current discount Discount to share price of €4.84
= -1 x (€4.84 - €5.49) / €5.49
11.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price China Resources Beer (Holdings) is available for.
Intrinsic value
12%
Share price is €4.84 vs Future cash flow value of €5.49
Current Discount Checks
For China Resources Beer (Holdings) to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • China Resources Beer (Holdings)'s share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • China Resources Beer (Holdings)'s share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for China Resources Beer (Holdings)'s earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are China Resources Beer (Holdings)'s earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:CHK PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in CNY CN¥0.41
SEHK:291 Share Price ** SEHK (2019-10-11) in HKD HK$42.5
SEHK:291 Share Price converted to CNY reporting currency Exchange rate (HKD/ CNY) 0.904 CN¥38.4
Germany Beverage Industry PE Ratio Median Figure of 7 Publicly-Listed Beverage Companies 27.57x
Germany Market PE Ratio Median Figure of 417 Publicly-Listed Companies 19.72x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of China Resources Beer (Holdings).

DB:CHK PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:291 Share Price ÷ EPS (both in CNY)

= 38.4 ÷ 0.41

92.98x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • China Resources Beer (Holdings) is overvalued based on earnings compared to the DE Beverage industry average.
  • China Resources Beer (Holdings) is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does China Resources Beer (Holdings)'s expected growth come at a high price?
Raw Data
DB:CHK PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 92.98x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 24 Analysts
33.3%per year
Europe Beverage Industry PEG Ratio Median Figure of 31 Publicly-Listed Beverage Companies 2.84x
Germany Market PEG Ratio Median Figure of 265 Publicly-Listed Companies 1.39x

*Line of best fit is calculated by linear regression .

DB:CHK PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 92.98x ÷ 33.3%

2.79x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • China Resources Beer (Holdings) is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on China Resources Beer (Holdings)'s assets?
Raw Data
DB:CHK PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in CNY CN¥6.36
SEHK:291 Share Price * SEHK (2019-10-11) in HKD HK$42.5
SEHK:291 Share Price converted to CNY reporting currency Exchange rate (HKD/ CNY) 0.904 CN¥38.4
Germany Beverage Industry PB Ratio Median Figure of 8 Publicly-Listed Beverage Companies 1.56x
Germany Market PB Ratio Median Figure of 598 Publicly-Listed Companies 1.74x
DB:CHK PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:291 Share Price ÷ Book Value per Share (both in CNY)

= 38.4 ÷ 6.36

6.04x

* Primary Listing of China Resources Beer (Holdings).

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • China Resources Beer (Holdings) is overvalued based on assets compared to the DE Beverage industry average.
X
Value checks
We assess China Resources Beer (Holdings)'s value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Beverage industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Beverage industry average (and greater than 0)? (1 check)
  5. China Resources Beer (Holdings) has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

CHK Future Performance

 How is China Resources Beer (Holdings) expected to perform in the next 1 to 3 years based on estimates from 24 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
33.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is China Resources Beer (Holdings) expected to grow at an attractive rate?
  • China Resources Beer (Holdings)'s earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • China Resources Beer (Holdings)'s earnings growth is expected to exceed the Germany market average.
  • China Resources Beer (Holdings)'s revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:CHK Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:CHK Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 24 Analysts 33.3%
DB:CHK Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 24 Analysts 5.9%
Germany Beverage Industry Earnings Growth Rate Market Cap Weighted Average -0.6%
Europe Beverage Industry Revenue Growth Rate Market Cap Weighted Average 4.5%
Germany Market Earnings Growth Rate Market Cap Weighted Average 12.8%
Germany Market Revenue Growth Rate Market Cap Weighted Average 5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:CHK Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 24 Analyst Estimates (S&P Global) See Below
All numbers in CNY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:CHK Future Estimates Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31
2022-12-31 36,874 3,785 1
2021-12-31 39,268 6,271 4,130 21
2020-12-31 37,038 5,778 3,240 24
2019-12-31 34,668 4,208 2,091 24
2019-10-13
DB:CHK Past Financials Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income *
2019-06-30 33,127 4,611 1,340
2019-03-31 32,497 4,273 1,159
2018-12-31 31,867 3,934 977
2018-09-30 31,695 4,266 1,245
2018-06-30 31,523 4,597 1,513
2018-03-31 30,628 4,426 1,344
2017-12-31 29,732 4,255 1,175
2017-09-30 29,494 4,587 1,185
2017-06-30 29,255 4,919 1,194
2017-03-31 28,975 4,620 912
2016-12-31 28,694 4,320 629
2016-09-30 28,184 3,702 785

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • China Resources Beer (Holdings)'s earnings are expected to grow significantly at over 20% yearly.
  • China Resources Beer (Holdings)'s revenue is expected to grow by 5.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:CHK Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 24 Analyst Estimates (S&P Global) See Below

All data from China Resources Beer (Holdings) Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:CHK Future Estimates Data
Date (Data in CNY Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 1.27 1.63 0.98 18.00
2020-12-31 0.99 1.32 0.66 22.00
2019-12-31 0.66 1.10 0.47 22.00
2019-10-13
DB:CHK Past Financials Data
Date (Data in CNY Millions) EPS *
2019-06-30 0.41
2019-03-31 0.36
2018-12-31 0.30
2018-09-30 0.38
2018-06-30 0.47
2018-03-31 0.41
2017-12-31 0.36
2017-09-30 0.37
2017-06-30 0.38
2017-03-31 0.30
2016-12-31 0.22
2016-09-30 0.28

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • China Resources Beer (Holdings) is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess China Resources Beer (Holdings)'s future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Germany market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
China Resources Beer (Holdings) has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

CHK Past Performance

  How has China Resources Beer (Holdings) performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare China Resources Beer (Holdings)'s growth in the last year to its industry (Beverage).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • China Resources Beer (Holdings)'s year on year earnings growth rate has been positive over the past 5 years.
  • China Resources Beer (Holdings)'s 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • China Resources Beer (Holdings)'s 1-year earnings growth is negative, it can't be compared to the DE Beverage industry average.
Earnings and Revenue History
China Resources Beer (Holdings)'s revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from China Resources Beer (Holdings) Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:CHK Past Revenue, Cash Flow and Net Income Data
Date (Data in CNY Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 33,127.00 1,340.00 8,912.00
2019-03-31 32,497.00 1,158.50 8,811.00
2018-12-31 31,867.00 977.00 8,710.00
2018-09-30 31,695.00 1,245.00 8,550.00
2018-06-30 31,523.00 1,513.00 8,471.00
2018-03-31 30,627.50 1,344.00 8,414.50
2017-12-31 29,732.00 1,175.00 8,358.00
2017-09-30 29,493.50 1,184.50 8,431.50
2017-06-30 29,255.00 1,194.00 8,505.00
2017-03-31 28,974.50 911.50 8,391.00
2016-12-31 28,694.00 629.00 8,277.00
2016-09-30 28,183.50 785.00 7,610.50
2016-06-30 27,673.00 941.00 6,944.00
2016-03-31 27,816.00 1,080.00 7,213.50
2015-12-31 27,959.00 1,219.00 7,483.00
2015-09-30 28,887.05 1,384.13 8,058.29
2015-06-30 28,301.59 1,474.86 8,139.09
2015-03-31 27,935.36 1,149.16 8,245.45
2014-12-31 27,579.34 823.81 8,354.90
2014-09-30 50,399.76 873.51 13,655.16
2014-06-30 74,643.70 946.78 19,338.31
2014-03-31 95,949.97 1,237.42 23,561.93
2013-12-31 114,317.15 1,489.74 27,090.91
2013-09-30 110,720.77 1,829.65 25,674.63
2013-06-30 106,223.08 2,160.35 24,041.03
2013-03-31 104,239.17 2,671.54 23,321.20
2012-12-31 101,521.78 3,172.66 22,432.97

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • China Resources Beer (Holdings) has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • China Resources Beer (Holdings) used its assets less efficiently than the DE Beverage industry average last year based on Return on Assets.
  • China Resources Beer (Holdings) has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess China Resources Beer (Holdings)'s performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Beverage industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
China Resources Beer (Holdings) has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

CHK Health

 How is China Resources Beer (Holdings)'s financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up China Resources Beer (Holdings)'s finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • China Resources Beer (Holdings)'s short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • China Resources Beer (Holdings)'s cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of China Resources Beer (Holdings)'s finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 9.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from China Resources Beer (Holdings) Company Filings, last reported 3 months ago.

DB:CHK Past Debt and Equity Data
Date (Data in CNY Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 20,685.00 1,311.00 4,061.00
2019-03-31 20,685.00 1,311.00 4,061.00
2018-12-31 18,910.00 701.00 1,858.00
2018-09-30 18,910.00 701.00 1,858.00
2018-06-30 19,739.00 3,089.00 6,398.00
2018-03-31 19,739.00 3,089.00 6,398.00
2017-12-31 18,485.00 3,470.00 2,361.00
2017-09-30 18,485.00 3,470.00 2,361.00
2017-06-30 18,633.00 3,548.00 3,934.00
2017-03-31 18,633.00 3,548.00 3,934.00
2016-12-31 17,667.00 7,267.00 3,487.00
2016-09-30 17,667.00 7,267.00 3,487.00
2016-06-30 20,514.00 4,531.00 4,429.00
2016-03-31 20,514.00 4,531.00 4,429.00
2015-12-31 19,320.00 6,117.00 2,802.00
2015-09-30 18,914.36 5,988.45 2,743.65
2015-06-30 50,484.91 7,303.88 6,488.07
2015-03-31 50,472.41 7,302.07 6,486.47
2014-12-31 55,685.76 23,110.75 16,513.85
2014-09-30 55,037.25 22,841.61 16,321.53
2014-06-30 57,466.92 20,529.00 21,523.92
2014-03-31 57,401.52 20,505.64 21,499.42
2013-12-31 46,543.40 17,726.17 16,552.65
2013-09-30 47,052.19 17,919.95 16,733.60
2013-06-30 43,384.41 14,296.49 16,986.63
2013-03-31 43,865.56 14,455.04 17,175.02
2012-12-31 43,254.28 14,255.64 12,871.57
  • China Resources Beer (Holdings)'s level of debt (6.3%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (35.8% vs 6.3% today).
  • Debt is well covered by operating cash flow (351.7%, greater than 20% of total debt).
  • China Resources Beer (Holdings) earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess China Resources Beer (Holdings)'s financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. China Resources Beer (Holdings) has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

CHK Dividends

 What is China Resources Beer (Holdings)'s current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.31%
Current annual income from China Resources Beer (Holdings) dividends. Estimated to be 1.01% next year.
If you bought €2,000 of China Resources Beer (Holdings) shares you are expected to receive €6 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • China Resources Beer (Holdings)'s pays a lower dividend yield than the bottom 25% of dividend payers in Germany (1.46%).
  • China Resources Beer (Holdings)'s dividend is below the markets top 25% of dividend payers in Germany (3.86%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:CHK Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 24 Analyst Estimates (S&P Global) See Below
Germany Beverage Industry Average Dividend Yield Market Cap Weighted Average of 6 Stocks 1.8%
Germany Market Average Dividend Yield Market Cap Weighted Average of 337 Stocks 3.1%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.7%
Germany Bottom 25% Dividend Yield 25th Percentile 1.5%
Germany Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:CHK Future Dividends Estimate Data
Date (Data in CN¥) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.55 15.00
2020-12-31 0.40 19.00
2019-12-31 0.25 19.00
2019-10-13
DB:CHK Past Annualized Dividends Data
Date (Data in CN¥) Dividend per share (annual) Avg. Yield (%)
2019-05-24 0.120 0.351
2018-09-07 0.180 0.694
2018-08-17 0.180 0.607
2018-04-23 0.140 0.469
2017-09-08 0.140 0.641
2017-08-21 0.140 0.842
2017-05-25 0.080 0.465
2016-09-09 0.000 0.000
2016-08-19 0.000 0.000
2016-04-21 0.000 0.000
2016-03-18 0.000 0.000
2015-09-11 0.000 0.000
2015-08-21 0.000 0.000
2015-04-24 0.216 1.117
2014-05-30 0.213 1.477
2013-11-14 0.202 1.118
2013-09-10 0.203 1.008
2013-08-21 0.205 1.131
2013-04-22 0.236 1.218
2013-03-21 0.239 1.253
2012-04-20 0.376 1.881
2012-03-21 0.381 1.707
2011-04-20 0.422 1.773
2011-03-24 0.437 1.633
2010-08-26 0.412 1.552
2010-03-25 0.426 1.731
2009-04-01 0.351 1.944

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • China Resources Beer (Holdings) is not paying a notable dividend for Germany, therefore no need to check if the payments are stable.
  • China Resources Beer (Holdings) is not paying a notable dividend for Germany, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of China Resources Beer (Holdings)'s earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of China Resources Beer (Holdings)'s dividends as it is not paying a notable one for Germany.
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.7x coverage).
X
Income/ dividend checks
We assess China Resources Beer (Holdings)'s dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.7%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can China Resources Beer (Holdings) afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. China Resources Beer (Holdings) has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

CHK Management

 What is the CEO of China Resources Beer (Holdings)'s salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Xiaohai Hou
COMPENSATION CN¥3,850,000
AGE 50
TENURE AS CEO 3.5 years
CEO Bio

Mr. Hou Xiaohai has been Chief Executive Officer and Executive Director of China Resources Beer (Holdings) Company Limited since April 15, 2016. Mr. Hou was appointed as General Manager of China Resources Snow Breweries (China) Co., Ltd. in March 2016 and was the Director of sales & marketing from December 2001 to December 2007. He was appointed as General Manager and Assistant General Manager (also a General Manager of distribution headquarter) of the ranch of China Resources Snow Breweries (China) Co., Ltd. in Guizhou Province and General Manager of branch in Sichuan Province from January 2009 to February 2016. He has worked in Shougang Corporation, Gallup Poll and Pepsico. Mr. Hou joined China Resources Group in 2001. Mr. Hou has a Bachelor of Statistics Degree from the People's University of China.

CEO Compensation
  • Xiaohai's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Xiaohai's remuneration is lower than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the China Resources Beer (Holdings) management team in years:

5.8
Average Tenure
53.5
Average Age
  • The average tenure for the China Resources Beer (Holdings) management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Xiaohai Hou

TITLE
CEO & Executive Director
COMPENSATION
CN¥4M
AGE
50
TENURE
3.5 yrs

Tomakin Lai

TITLE
CFO, Company Secretary & Executive Director
COMPENSATION
CN¥2M
AGE
52
TENURE
3.3 yrs

Yi Jian

TITLE
Executive Director
COMPENSATION
CN¥880K
AGE
42

Vincent Tse

TITLE
General Manager of Group Strategic Planning Investor Relations Department
AGE
53

David Cheng

TITLE
General Manager of Group Legal and Secretarial Department
AGE
54

Xianliang Wang

TITLE
Chief Human Resources Officer and Senior Vice President
AGE
58
TENURE
5.8 yrs

Weiyong Wang

TITLE
Senior Vice President
AGE
53
TENURE
5.9 yrs

Dan Zhu

TITLE
President & Director of China Resources Petrochems(Group) Ltd
AGE
57
TENURE
18.3 yrs

LongShan Zhou

TITLE
Managing Director of Redland Concrete Limited
AGE
58

Chunyi Fu

TITLE
Managing Director of China Resources Light Industries & Textiles (holdings) Co Ltd
AGE
66
Board of Directors Tenure

Average tenure and age of the China Resources Beer (Holdings) board of directors in years:

12.9
Average Tenure
57
Average Age
  • The average tenure for the China Resources Beer (Holdings) board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Tomakin Lai

TITLE
CFO, Company Secretary & Executive Director
COMPENSATION
CN¥2M
AGE
52
TENURE
3.3 yrs

Yi Jian

TITLE
Executive Director
COMPENSATION
CN¥880K
AGE
42
TENURE
1.3 yrs

Dan Zhu

TITLE
President & Director of China Resources Petrochems(Group) Ltd
AGE
57

Tai Houang

TITLE
Independent Non-Executive Director
COMPENSATION
CN¥270K
AGE
65
TENURE
31.8 yrs

Xiaohai Hou

TITLE
CEO & Executive Director
COMPENSATION
CN¥4M
AGE
50
TENURE
3.5 yrs

Eric Li

TITLE
Independent Non-Executive Director
COMPENSATION
CN¥270K
AGE
66
TENURE
16.6 yrs

Gordon Siu

TITLE
Independent Non-Executive Director
COMPENSATION
CN¥270K
AGE
73
TENURE
12.9 yrs

Bernard Chan

TITLE
Independent Non-Executive Director
COMPENSATION
CN¥260K
AGE
54
TENURE
12.9 yrs

Frank Lai

TITLE
Non-Executive Director
COMPENSATION
CN¥100K
AGE
57
TENURE
10.3 yrs

Moses Cheng

TITLE
Independent Non-Executive Director
COMPENSATION
CN¥260K
AGE
69
TENURE
13.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
06. Nov 18 Buy Xiaohai Hou Individual 05. Nov 18 05. Nov 18 150,000 €3.11 €466,628
X
Management checks
We assess China Resources Beer (Holdings)'s management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. China Resources Beer (Holdings) has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

CHK News

Simply Wall St News

CHK Company Info

Description

China Resources Beer (Holdings) Company Limited, an investment holding company, manufactures, sells, and distributes beer products under the Snow brand. As of December 31, 2018, the company operated 78 breweries in 24 provinces, municipalities, and autonomous regions in Mainland China. It is also involved in financing business. The company was formerly known as China Resources Enterprise, Limited and changed its name to China Resources Beer (Holdings) Company Limited in October 2015. The company is based in Wanchai, Hong Kong and considered a Red Chip company due to its listing on the Hong Kong Stock Exchange. China Resources Beer (Holdings) Company Limited is a subsidiary of China Resources (Holdings) Company Limited.

Details
Name: China Resources Beer (Holdings) Company Limited
CHK
Exchange: DB
Founded:
HK$15,906,745,164
3,244,000,000
Website: http://www.crbeer.com.hk
Address: China Resources Beer (Holdings) Company Limited
China Resources Building,
39th Floor,
Wanchai,
Hong Kong
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 291 Ordinary Shares The Stock Exchange of Hong Kong Ltd. HK HKD 02. Jan 1992
OTCPK CRHK.F Ordinary Shares Pink Sheets LLC US USD 02. Jan 1992
DB CHK Ordinary Shares Deutsche Boerse AG DE EUR 02. Jan 1992
SHSC 291 Ordinary Shares Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect HK HKD 02. Jan 1992
SZSC 291 Ordinary Shares The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect HK HKD 02. Jan 1992
OTCPK CRHK.Y SPONSORED ADR Pink Sheets LLC US USD 08. Jan 1998
Number of employees
Current staff
Staff numbers
35,000
China Resources Beer (Holdings) employees.
Industry
Brewers
Food, Beverage & Tobacco
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/10/13 21:40
End of day share price update: 2019/10/11 00:00
Last estimates confirmation: 2019/10/03
Last earnings filing: 2019/09/06
Last earnings reported: 2019/06/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.