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Consumer Non-Durables

Hengan International Group Co., Ltd.

  • 65.10 HKD
  • -0.85
  • -1.29%
  • China
    Aug 17, 2018
  • Ticker
    HKG(1044)
  • Prev. close
    65.95
  • Market cap (HKD)
    79,555.17M
  • Market cap (USD)
    10,134.93M
  • Shares
    1,206.29M

Company Background

Hengan International Group is a publicly traded unit of the Hengan Group, China's largest sanitary goods maker, which was founded in 1985. Hengan International listed in Hong Kong in 1998. The company, which deals mainly in disposable diapers and sanitary napkins, competes fiercely with Britain's Procter & Gamble and Japan's Unicharm in China. Its strength lies in its extensive marketing network across China. It has 300 sales offices and has signed up more than 3,000 sales agents. It makes its products in more than 40 locations, including the Xinjiang Uyghur Autonomous Region.

Taking advantage of its price competitiveness, backed by a large economy of scale, the company also exports its goods to Southeast Asia, Africa and other regions. Relying on its branding power, it sells a wide range of products, including hand soap for children and detergent.

Group Chairman Sze Man Bok is said to have operated a clothing maker but entered the sanitary goods market, which used to be monopolized by a state-run enterprise.

Business Summary

Hengan International Group Co., Ltd. is an investment holding company, which engages in trading of personal hygienic products. It operates through the following segments: Sanitary Napkins Products, Disposable Diapers Products, Tissue Paper Products, and Others. The company was founded in 1985 and is headquartered in Jinjiang, China.

Financial Highlights

Dec 2017 HKDUSD
Revenue22,859.98M2,933.46M
Gross Profit10,501.51M1,347.58M
Operating income4,742.27M608.54M
Income before tax5,720.00M734.00M
Net income4,374.85M561.39M
EBITDA5,519.89M708.33M
Diluted EPS3.630.46
Dividends Per Share2.530.32
Total Assets46,694.97M5,973.28M
Total liabilities27,090.09M3,465.40M
Total equity19,319.30M2,471.35M
Operating cash flow4,701.60M603.32M
Currency in HKDCurrency in USD

Historical Data

 Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017
Revenue 21,186.36M 23,830.77M 23,019.92M 22,524.06M 22,859.98M
Gross Profit 9,399.31M 10,774.30M 10,851.08M 10,774.13M 10,501.51M
Operating income 4,311.37M 4,583.47M 5,349.01M 4,902.24M 4,742.27M
Income before tax 5,015.47M 5,342.88M 5,610.70M 5,326.83M 5,720.00M
Net income 3,721.03M 3,915.81M 3,988.09M 4,056.45M 4,374.85M
EBITDA 5,014.29M 5,338.08M 6,063.21M 5,642.06M 5,519.89M
Diluted EPS 3.02 3.18 3.28 3.46 3.63
Dividends Per Share 1.85 2 2.10 2.22 2.53
Total Assets 40,190.48M 42,576.59M 39,343.15M 38,093.27M 46,694.97M
Total liabilities 23,447.45M 24,690.10M 21,498.85M 21,639.91M 27,090.09M
Total equity 16,357.03M 17,461.07M 17,389.65M 16,415.35M 19,319.30M
Operating cash flow 3,869.69M 5,459.21M 4,560.40M 4,901.89M 4,701.60M
 Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017
Revenue 2,731.38M 3,073.08M 2,969.32M 2,901.66M 2,933.46M
Gross Profit 1,211.77M 1,389.39M 1,399.67M 1,387.98M 1,347.58M
Operating income 555.83M 591.05M 689.96M 631.53M 608.54M
Income before tax 646.60M 688.98M 723.72M 686.23M 734.00M
Net income 479.72M 504.96M 514.42M 522.57M 561.39M
EBITDA 646.45M 688.36M 782.09M 726.84M 708.33M
Diluted EPS 0.38 0.41 0.42 0.44 0.46
Dividends Per Share 0.23 0.25 0.27 0.28 0.32
Total Assets 5,183.36M 5,490.31M 5,076.43M 4,913.26M 5,973.28M
Total liabilities 3,024.01M 3,183.82M 2,773.99M 2,791.11M 3,465.40M
Total equity 2,109.56M 2,251.63M 2,243.78M 2,117.24M 2,471.35M
Operating cash flow 498.88M 703.98M 588.24M 631.48M 603.32M

Valuation Measures

Dec 2017
PER23.89
ROA10.31%
ROE24.48%
Operating margin20.74%
Profit margin19.13%

Key executives

  • Deputy Chairman & Chief Executive Officer: Lin Chit Hui
  • Chief Operating Officer & Executive Director: Shui Shen Xu
  • Chief Financial Officer & Executive Director: Da Zuo Xu
  • Assistant CEO & Director-Purchase Platform: Xiang Yang Wang
  • Executive Director & Director-Operations: Ching Chi Hui

Shareholders

  • HUI LIN CHIT (20.0%)
  • SZE MAN BOK (19.4%)
  • Capital Research & Management Co. (Global Investors) (5.0%)
  • The Vanguard Group, Inc. (2.0%)
  • XU DA ZUO (1.6%)
  • T. Rowe Price International Ltd. (1.5%)
  • Matthews International Capital Management LLC (1.4%)
  • BlackRock Fund Advisors (1.3%)
  • XU CHUN MAN (1.2%)
  • Lazard Asset Management LLC (1.1%)

Contact Details

  • Website:http://www.hengan.com/en
  • Address: Hengan Industrial City, Anhai Town, Jinjiang, 362261, China
  • Phone: +86.59.5570.8888

Related Companies

  • Hengan (Shaanxi) Paper Products Co., Ltd.
  • Hengan Mega Jumbo Investment Ltd.
  • Fujian Hengan Holding Co., Ltd.
  • Hengan International Investment Hong Kong Co.
  • Hengan Paper Products Co. Ltd. (Jiangxi)
  • Hengan Hygiene Products Co. Ltd. (Jiangxi)
  • Ever Town Investments Ltd.
  • Wang-Zheng Bhd.
  • Jinjiang Hengan Paper Products Co.
  • Hengan Chongqing Paper Products Co.
  • Fushun Hengan Hearttex Paper Products Co.
  • Changde Hengan Paper Products Co.
  • Sunway Pharmaceutical Group

Competitors

  • Essity AB Class B
Last Updated on 17 Aug, 2018

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