Financials Hu Lane Associate Inc.

Equities

6279

TW0006279003

Electrical Components & Equipment

End-of-day quote Taipei Exchange Other stock markets 03:30:00 16/05/2024 am IST			5-day change	1st Jan Change
160.5 ^TWD	+0.31%		+2.56%	+0.94%

09/05	Hu Lane Associate Inc. Announces Establishment of Risk Management Committee	CI
12/04	Hu Lane Associate Inc. Proposes Dividend Distribution for the Year Ended December 31, 2023	CI

Valuation

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Capitalization ¹	8,711	11,361	13,952	14,400	15,845	15,895	-	-
Enterprise Value (EV) ¹	9,053	11,825	14,822	16,186	17,868	17,702	17,676	17,056
P/E ratio	18.9 x	20.5 x	17.7 x	14.4 x	17.6 x	12.7 x	12.4 x	11.3 x
Yield	3.35%	3.51%	3.57%	-	-	3.74%	4.55%	4.36%
Capitalization / Revenue	2.3 x	3.11 x	2.82 x	2.21 x	2.16 x	1.86 x	1.72 x	1.55 x
EV / Revenue	2.39 x	3.24 x	3 x	2.48 x	2.44 x	2.07 x	1.91 x	1.66 x
EV / EBITDA	10.6 x	12.2 x	11.7 x	11.4 x	10.3 x	8.56 x	7.6 x	6.43 x
EV / FCF	18 x	163 x	272 x	-59.2 x	-187 x	21 x	18.1 x	16 x
FCF Yield	5.57%	0.61%	0.37%	-1.69%	-0.53%	4.76%	5.54%	6.24%
Price to Book	2.02 x	2.47 x	2.8 x	2.59 x	2.61 x	2.7 x	2.24 x	1.99 x
Nbr of stocks (in thousands)	99,655	99,655	99,655	99,655	99,655	99,656	-	-
Reference price ²	87.41	114.0	140.0	144.5	159.0	160.5	160.5	160.5
Announcement Date	27/03/20	25/03/21	31/03/22	24/03/23	15/03/24	-	-	-

¹TWD in Million²TWD

Estimates

Income Statement Evolution (Annual data)

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Net sales ¹	3,791	3,653	4,949	6,527	7,331	8,566	9,245	10,281
EBITDA ¹	854.7	968.2	1,272	1,422	1,734	2,068	2,325	2,653
EBIT ¹	591.5	693.6	967.6	1,038	1,221	1,640	1,765	2,021
Operating Margin	15.6%	18.99%	19.55%	15.9%	16.66%	19.14%	19.1%	19.66%
Earnings before Tax (EBT) ¹	562.8	679.9	955.8	1,258	1,205	1,707	1,787	2,006
Net income ¹	464.3	557.5	788.5	999.9	921.2	1,318	1,392	1,570
Net margin	12.25%	15.26%	15.93%	15.32%	12.57%	15.38%	15.05%	15.27%
EPS ²	4.634	5.570	7.910	10.03	9.040	12.60	12.90	14.26
Free Cash Flow ¹	503.8	72.54	54.52	-273.5	-95.32	843.2	978.8	1,064
FCF margin	13.29%	1.99%	1.1%	-4.19%	-1.3%	9.84%	10.59%	10.35%
FCF Conversion (EBITDA)	58.95%	7.49%	4.29%	-	-	40.78%	42.09%	40.11%
FCF Conversion (Net income)	108.52%	13.01%	6.91%	-	-	64%	70.32%	67.77%
Dividend per Share ²	2.927	4.000	5.000	-	-	5.996	7.298	7.005
Announcement Date	27/03/20	25/03/21	31/03/22	24/03/23	15/03/24	-	-	-

¹TWD in Million²TWD

Estimates

Income Statement Evolution (Quarterly data)

Fiscal Period: December	2021 Q3	2021 Q4	2022 Q1	2022 Q2	2022 Q3	2022 Q4	2023 Q1	2023 Q2	2023 Q3	2023 Q4	2024 Q1	2024 Q2	2024 Q3	2024 Q4	2025 Q1
Net sales ¹	1,155	1,466	1,331	1,412	1,782	2,002	1,611	1,579	1,885	2,257	1,890	1,965	2,170	2,540	2,154
EBITDA ¹	273.3	325.4	-	280	-	450.4	384.5	328.8	-	570.4	482.5	441	519	625	-
EBIT ¹	196.1	244.8	208.9	186.1	299.1	343.7	269.1	198.9	319.2	434.4	345.9	369	400.5	524	382.4
Operating Margin	16.98%	16.7%	15.7%	13.18%	16.78%	17.17%	16.7%	12.6%	16.93%	19.25%	18.31%	18.78%	18.46%	20.63%	17.75%
Earnings before Tax (EBT) ¹	201.5	257.6	258.7	179.6	508.5	311.1	280	158.3	374.6	391.6	412	369.5	401	524.5	375.5
Net income ¹	172.3	230.7	206.5	104.4	460.3	228.6	221.7	73.06	288.8	337.6	330.5	280	305	401.5	296
Net margin	14.92%	15.74%	15.52%	7.4%	25.83%	11.42%	13.77%	4.63%	15.32%	14.96%	17.49%	14.25%	14.06%	15.8%	13.74%
EPS ²	1.730	2.310	2.070	1.050	4.620	2.290	2.230	0.7300	2.690	3.690	3.320	2.680	2.915	3.850	2.677
Dividend per Share	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Announcement Date	05/11/21	31/03/22	12/05/22	10/08/22	11/11/22	24/03/23	15/05/23	07/08/23	14/11/23	15/03/24	15/05/24	-	-	-	-

¹TWD in Million²TWD

Estimates

Balance Sheet Analysis

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Net Debt ¹	342	464	871	1,786	2,023	1,807	1,781	1,161
Net Cash position ¹	-	-	-	-	-	-	-	-
Leverage (Debt/EBITDA)	0.3998 x	0.4794 x	0.6847 x	1.257 x	1.167 x	0.874 x	0.7657 x	0.4376 x
Free Cash Flow ¹	504	72.5	54.5	-273	-95.3	843	979	1,064
ROE (net income / shareholders' equity)	10.8%	12.5%	16.4%	19%	15.9%	20.6%	19.2%	19.6%
ROA (Net income/ Total Assets)	6.83%	8.05%	10.4%	10.4%	8.17%	11.1%	10.7%	11%
Assets ¹	6,799	6,923	7,615	9,586	11,280	11,908	13,020	14,273
Book Value Per Share ²	43.30	46.20	50.00	55.70	60.90	59.50	71.70	80.80
Cash Flow per Share ²	10.40	6.050	5.920	7.920	13.90	14.90	14.20	15.50
Capex ¹	539	533	591	1,065	1,528	767	660	650
Capex / Sales	14.21%	14.6%	11.95%	16.32%	20.84%	8.95%	7.14%	6.32%
Announcement Date	27/03/20	25/03/21	31/03/22	24/03/23	15/03/24	-	-	-

¹TWD in Million²TWD

Estimates

EPS & Dividend

Year-on-year evolution of the PER

Year-on-year evolution of the Yield

Change in Enterprise Value/EBITDA

Ratings for Hu Lane Associate Inc.

Trading Rating

Investor Rating

ESG Refinitiv

More Ratings

Analysts' Consensus

Sell

Buy

Mean consensus

OUTPERFORM

Number of Analysts

Last Close Price

160.5 TWD

Average target price

184.2 TWD

Spread / Average Target

+14.80%

Consensus

EPS Revisions

Estimates Revisions

Quarterly earnings - Rate of surprise

Company calendar

Sector Electrical Component

	1st Jan change	Capi.
HU LANE ASSOCIATE INC.	+0.94%	497M
TE CONNECTIVITY LTD.	+7.65%	46.27B
FUJIKURA LTD.	+162.47%	5.08B
XIAMEN FARATRONIC CO., LTD.	-2.38%	2.82B
FANGDA CARBON NEW MATERIAL CO.,LTD	-3.24%	2.79B
MPI CORPORATION	+99.77%	1.27B
BEIJING YUANLIU HONGYUAN ELECTRONIC TECHNOLOGY CO., LTD.	-32.65%	1.08B
ACBEL POLYTECH INC.	-9.12%	1B
TOYO TANSO CO., LTD.	+50.47%	1B
NINGBO SUNRISE ELC TECHNOLOGY CO.,LTD	-14.74%	917M

Electrical Component