HealthyWay (SEHK:2587) Returns To Profitability Challenging Concerns Over High P/E Valuation

Simply Wall St.04-01

HealthyWay (SEHK:2587) has reported FY 2025 first half revenue of C¥517.9 million with basic EPS of C¥0.008, setting a cleaner earnings picture after a series of losses in FY 2024. Over recent periods...

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Over recent periods...</p>\n\n<a href=\"https://simplywall.st/stocks/hk/healthcare/hkg-2587/healthyway-shares/news/healthyway-sehk2587-returns-to-profitability-challenging-con\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>HealthyWay (SEHK:2587) Returns To Profitability Challenging Concerns Over High P/E Valuation</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nHealthyWay (SEHK:2587) Returns To Profitability Challenging Concerns Over High P/E Valuation\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-04-01 19:44 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/hk/healthcare/hkg-2587/healthyway-shares/news/healthyway-sehk2587-returns-to-profitability-challenging-con><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>HealthyWay (SEHK:2587) has reported FY 2025 first half revenue of C¥517.9 million with basic EPS of C¥0.008, setting a cleaner earnings picture after a series of losses in FY 2024. Over recent periods...</p>\n\n<a href=\"https://simplywall.st/stocks/hk/healthcare/hkg-2587/healthyway-shares/news/healthyway-sehk2587-returns-to-profitability-challenging-con\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"02587","symbol_name":"健康之路","start_time":0,"source_url":"https://simplywall.st/stocks/hk/healthcare/hkg-2587/healthyway-shares/news/healthyway-sehk2587-returns-to-profitability-challenging-con","article_id":"2624519550","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/6032000-choice1-main-header/1585186661957"],"rights":{"source":"simplywall_highlight","url":"https://simplywall.st/stocks/hk/healthcare/hkg-2587/healthyway-shares/news/healthyway-sehk2587-returns-to-profitability-challenging-con","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2624519550","pubTimestamp":1775043860,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"HealthyWay (SEHK:2587) has reported FY 2025 first half revenue of C¥517.9 million with basic EPS of C¥0.008, setting a cleaner earnings picture after a series of losses in FY 2024. Over recent periods the company has seen revenue move from C¥611.5 million in the first half of 2024 to C¥589.3 million in the second half of 2024 and then to C¥517.9 million in the first half of 2025. Net income shifted from a loss of C¥55.8 million and then C¥212.6 million in the 2024 halves to a profit of C¥7.1...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"02587":"健康之路","BK1219":"保健护理服务"},"translate_title":"HealthyWay(SEHK：2587)恢复盈利，挑战高市盈率估值的担忧","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"02587":0.9},"content_text":"HealthyWay (SEHK:2587) has reported FY 2025 first half revenue of C¥517.9 million with basic EPS of C¥0.008, setting a cleaner earnings picture after a series of losses in FY 2024. Over recent periods the company has seen revenue move from C¥611.5 million in the first half of 2024 to C¥589.3 million in the second half of 2024 and then to C¥517.9 million in the first half of 2025. Net income shifted from a loss of C¥55.8 million and then C¥212.6 million in the 2024 halves to a profit of C¥7.1 million in the latest half. For investors, the key takeaway is that reported profits now sit alongside earlier loss-making periods, so understanding how durable these margins are will be central to interpreting this result. See our full analysis for HealthyWay. With the headline numbers on the table, the next step is to see how they line up against the prevailing narratives around HealthyWay's growth, quality of earnings, and risks that investors have been watching over the past year. Curious how numbers become stories that shape markets? Explore Community Narratives SEHK:2587 Revenue & Expenses Breakdown as at Apr 2026 AdvertisementTTM profit of C¥55.7m after prior losses  On a trailing twelve month basis, HealthyWay reported net income of C¥55.7 million and basic EPS of C¥0.06, compared with half year losses of C¥55.8 million and C¥212.6 million in the two halves of FY 2024. What stands out for a bullish view is that this move into profit over the past year comes alongside assessed high quality earnings and a 5 year earnings growth rate of 16.5% per year. This is despite the latest half showing revenue easing from C¥611.5 million and C¥589.3 million in FY 2024 to C¥517.9 million in the first half of FY 2025.\n     Supporters can point to the trailing twelve month revenue base of C¥1,562.5 million alongside C¥55.7 million of profit as evidence that the business has recently supported profit on a larger revenue run rate than any single half year figure. At the same time, the shift from losses in both halves of FY 2024 to a C¥7.1 million profit in the latest half means bulls still need to watch how consistent this new profitability is across different reporting periods.    P/E of 69.3x versus 11.9x industry  HealthyWay trades on a trailing P/E of 69.3x at a share price of HK$5.02, compared with a peer average of 62.5x and a Hong Kong healthcare industry average of 11.9x. Critics focus on this gap as a bearish point, arguing that a P/E of 69.3x and a market price of HK$5.02 sitting above a DCF fair value of HK$1.10 leave little room for disappointment, especially given that trailing twelve month profit is C¥55.7 million.\n     That bearish stance is heavily supported by the fact that the share price is more than 4x the stated DCF fair value of HK$1.10, while earnings only recently turned positive over the trailing year. However, the same data set flags recent profitability and 16.5% per year earnings growth over five years, so bears are effectively arguing that this track record does not justify a P/E premium over both direct peers and the broader healthcare industry.    Skeptics questioning whether HK$5.02 is too far above the HK$1.10 DCF fair value may want a fuller rundown of the risks and trade offs in the cautious case for HealthyWay, and the detailed bear write up is designed to walk through those points step by step. 🐻 HealthyWay Bear Case Revenue of C¥1.56b TTM with mixed half year trend  Over the trailing twelve months, revenue is C¥1,562.5 million, while the three most recent half year periods show revenue of C¥611.5 million, C¥589.3 million and C¥517.9 million, paired with net income moving from losses of C¥55.8 million and C¥212.6 million to a profit of C¥7.1 million. What is interesting for the general market view is that this pattern links a higher trailing revenue base and C¥55.7 million of trailing profit with a step down in the last three half year revenue points. This gives investors a concrete set of numbers to weigh against the description of trailing earnings as high quality and the reported 16.5% per year earnings growth over five years.\n     On one side, the mix of C¥1,562.5 million in trailing revenue and C¥55.7 million in trailing profit supports the idea that the business has recently generated profit on a larger scale than the latest half alone might suggest. On the other, the sequence from C¥611.5 million to C¥589.3 million to C¥517.9 million means readers need to look closely at segment details and costs to judge how repeatable the current C¥7.1 million half year profit and C¥0.06 trailing EPS really are.    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 HealthyWay'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. Feel like the bulls and bears both have a point here? Take a closer look at the numbers, weigh the trade offs, and then check the 1 key reward and 1 important warning sign. Explore Alternatives HealthyWay's high 69.3x P/E multiple, share price well above a DCF fair value of HK$1.10, and mixed recent revenue trend all point to valuation pressure. If you are questioning whether that kind of set up leaves enough upside for the risk taken, compare this profile with companies in the 253 high quality undervalued stocks to see ideas where price and fundamentals may be more closely aligned.  This article by Simply Wall St is general in nature. We provide commentary based on historical data\n    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\n    financial situation. We aim to bring you long-term focused analysis driven by fundamental data.\n    Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.\n    Simply Wall St has no position in any stocks mentioned.Valuation is complex, but we're here to simplify it.Discover if HealthyWay might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.Access Free AnalysisHave feedback on this article? Concerned about the content? Get in touch with us directly. 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