Jiaxin International Resources Investment (SEHK:3858) Returns To HK$305.1m TTM Profit Challenging Bearish Narratives

Jiaxin International Resources Investment (SEHK:3858) has put out its FY 2025 numbers with first half revenue of HK$126.3 million and a basic EPS loss of HK$0.018, against a trailing twelve month picture that includes HK$1.1 billion in revenue and EPS of HK$0.82. Over recent periods the company has moved from zero revenue in both halves of FY 2024, when EPS losses were HK$0.193 and HK$0.332, to the current revenue base and a positive trailing EPS figure, giving you a very different backdrop for assessing the latest release. For investors, the key point is how this shift in scale and earnings affects the quality and durability of margins.

See our full analysis for Jiaxin International Resources Investment.

With the headline figures available, the next step is to compare these results with the established narratives around Jiaxin International Resources Investment and see which stories the numbers support and which they call into question.

Curious how numbers become stories that shape markets? Explore Community Narratives

HK$126.3m revenue against prior periods of zero

• Jiaxin recorded HK$126.3 million of revenue in 1H FY 2025, compared with zero revenue in both halves of FY 2024, alongside a 1H FY 2025 net loss of HK$6.0 million and trailing twelve month revenue of HK$1.1b.
• What stands out for a bullish view is how the trailing twelve month net income of HK$305.1 million and EPS of HK$0.82 sit beside a recent 1H FY 2025 loss of HK$115.3 million in the same trailing window. This means supporters can point to a period that is profitable overall, while critics may question how consistent that profit run rate really is when one half of the period still shows losses.

From loss making halves to HK$305.1m profit

• Over the last twelve months, net income moved from losses of HK$63.6 million and HK$109.4 million in the two halves of FY 2024 to a trailing twelve month profit of HK$305.1 million, with EPS running at HK$0.82 for that same trailing period.
• Bulls point to the company becoming profitable over the past year and five year earnings growth of about 28.5% per year. The numbers support part of that story because the trailing twelve month period is profitable, yet the sequence of recent half year losses of HK$63.6 million, HK$109.4 million and HK$115.3 million shows that this profitability is concentrated in parts of the window rather than across every half, which is an important nuance if you are thinking about how steady those profits might be.

Rich P/S of 45.4x with HK$105.9 share price

• The current share price of HK$105.9 and a P/S of 45.4x sit well above the Hong Kong Metals & Mining industry average P/S of 0.7x and peer average of 5x, while the DCF fair value is given as HK$85.93, below the current share price.
• Bears highlight that valuation looks stretched and that recent share price volatility has been high. The combination of a P/S that is around 9x the peer average and a share price that sits above the HK$85.93 DCF fair value gives that cautious view some clear numerical backing, especially when placed alongside the observation that recent half year periods still show losses even as earnings are forecast to grow about 77.5% per year and revenue about 62.2% per year on a trailing basis, which sets up a debate about how much growth is already reflected in the current HK$105.9 price.

Bears warn that when valuation and volatility are both elevated, even solid growth can lead to sharp price swings if results fall short of expectations, so it is worth understanding the more cautious narrative in detail before deciding how this profile fits your risk tolerance 📊 Read the what the Community is saying about Jiaxin International Resources Investment.

Next Steps

Don't just look at this quarter; the real story is in the long-term trend. We've done an in-depth analysis on Jiaxin International Resources Investment's growth and its valuation to see if today's price is a bargain. Add the company to your watchlist or portfolio now so you don't miss the next big move.

With both risks and rewards on the table, the real question is how you see the balance. Take a closer look at the full picture before opinions harden, and weigh up the 2 key rewards and 1 important warning sign.

See What Else Is Out There

Jiaxin International Resources Investment combines recent half-year losses with a rich 45.4x P/S, raising questions about consistency and valuation risk at the current HK$105.9 price.

If you are concerned about paying up for inconsistent earnings and a stretched multiple, it makes sense to compare this profile with 229 high quality undervalued stocks.

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.

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