Radiance Holdings Group SEHK 9993 Loss Narrows To C¥233m Tests Bearish Earnings Narrative

Radiance Holdings (Group) (SEHK:9993) has reported FY 2025 first half revenue of about C¥6.4b and a basic EPS loss of C¥0.06, with net income excluding extra items at a loss of C¥233.1m, keeping profitability under pressure. The company has seen revenue move from C¥16.4b in 2024 H1 to C¥8.4b in 2024 H2 and then to C¥6.4b in 2025 H1, while basic EPS moved from a loss of C¥0.50 to a loss of C¥1.75 and then a smaller loss of C¥0.06. This sets up a mixed picture for margins and earnings quality as investors assess whether current pressure on profitability is starting to ease or simply shifting.

See our full analysis for Radiance Holdings (Group).

With the headline numbers on the table, the next step is to see how these results line up against the widely held narratives around Radiance Holdings, including views on its long term earnings power and the risks tied to ongoing margin pressure.

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

Trailing losses still large at C¥6.9b

• Over the latest trailing twelve months, Radiance recorded a net income loss excluding extra items of C¥6,919.392 million on revenue of C¥14,193.794 million, so losses remain large even though the most recent half year loss was C¥233.096 million on C¥6,410.438 million of revenue.
• Bears point to the 72.3% annual deterioration in earnings over the past five years as evidence of sustained pressure, and the current trailing loss supports that view, while the smaller 2025 H1 loss opens a question about how repeatable this softer loss level is compared with the much heavier C¥7,084.809 million loss in 2024 H2.
• The step down from a trailing loss of C¥9,111.234 million on C¥24,766.044 million of revenue to C¥6,919.392 million on C¥14,193.794 million of revenue shows that earnings remain deeply negative alongside a smaller revenue base.
• Basic EPS over the trailing twelve months is reported at a loss of C¥1.71 per share, which sits between the 2024 H2 loss of C¥1.751399 and the 2025 H1 loss of C¥0.057622, so multi period data still lines up with a bearish focus on cumulative losses.

P/S of 0.3x versus peers at 2.6x

• The stock trades on a P/S of 0.3x, below the Hong Kong real estate industry average of 0.7x and well below the reported peer average of 2.6x, while the share price sits at HK$1.28.
• What stands out for bullish investors is the tension between this low P/S and the reported DCF fair value of HK$3.43 per share, which is 62.7% above the current price, even though the company is unprofitable over the trailing twelve months.
• The combination of a C¥14,193.794 million trailing revenue base and a low P/S multiple is what bulls often point to when they argue the market is heavily discounting Radiance compared with peers.
• At the same time, the trailing loss of C¥6,919.392 million and the 72.3% annual decline in earnings give bears a clear counterpoint, so any bullish case has to grapple directly with that earnings history rather than just the discount to DCF fair value of HK$3.43.

On results like these, some investors focus on the gap between current pricing and potential fair value, while others keep the spotlight on the long run of losses and what that means for risk before committing new capital. Curious how numbers become stories that shape markets? Explore Community Narratives.

EPS swings from C¥1.75 loss to C¥0.06 loss

• Basic EPS moved from a loss of C¥1.751399 in 2024 H2 to a much smaller loss of C¥0.057622 in 2025 H1, against the backdrop of trailing twelve month EPS at a loss of C¥1.71 and a five year annual earnings decline rate of 72.3%.
• Critics highlight that a single half year EPS improvement is hard to read in isolation when the longer term profile still shows multi year deterioration, and the contrast between the C¥233.096 million loss in 2025 H1 and the C¥7,084.809 million loss in 2024 H2 illustrates why bears keep emphasizing the full trailing record rather than one reporting period.
• The move from C¥16,382.985 million of revenue in 2024 H1 to C¥8,383.059 million in 2024 H2 and then C¥6,410.438 million in 2025 H1 means the latest smaller loss is occurring on a smaller top line.
• When earnings have declined at 72.3% per year over five years, the persistence of a trailing loss of C¥6,919.392 million reinforces the bearish concern that one softer loss period does not yet change the multi year pattern.

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 Radiance Holdings (Group)'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 sentiment split between large trailing losses and a low P/S against peers, it makes sense to check the underlying data yourself and act promptly rather than relying on headlines alone. To round out your view, weigh up the 1 key reward and 1 important warning sign.

See What Else Is Out There

With multi year earnings declines, large trailing losses of C¥6.9b and pressure on profitability, Radiance’s risk profile remains elevated despite a low P/S.

If those ongoing losses and earnings swings concern you, it is worth checking 271 resilient stocks with low risk scores to focus on companies where balance sheets and risk scores look more resilient.

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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