Zhixin Group Holding (HKSE:02187) ROA %: -1.57% (As of Dec. 2025)

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HKSE:02187 Zhixin Group Holding Ltd HKSE:02187
50 GF Score
Price HK$0.54
GF Value HK$0.83
Valuation Possible Value Trap
! 6 Warning Signs
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What is Zhixin Group Holding ROA %?

Zhixin Group Holding HKSE:02187 +1.89% 50 ROA % is -1.57% as of Dec. 2025. GuruFocus rates HKSE:02187 with a GF Score™ of 50/100 and a GF Value™ of HK$0.83 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 410 Building Materials companies, Zhixin Group Holding ranks worse than 85.61% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Zhixin Group Holding's annualized Net Income for the quarter that ended in Dec. 2025 was HK$-20.9 Mil. Zhixin Group Holding's average Total Assets over the quarter that ended in Dec. 2025 was HK$1,329.6 Mil. Therefore, Zhixin Group Holding's annualized ROA % for the quarter that ended in Dec. 2025 was -1.57%.

The historical rank and industry rank for Zhixin Group Holding's ROA % or its related term are showing as below:

HKSE:02187' s ROA % Range Over the Past 10 Years
Min: -5.97   Med: 2.01   Max: 8.68
Current: -4.97

During the past 9 years, Zhixin Group Holding's highest ROA % was 8.68%. The lowest was -5.97%. And the median was 2.01%.

HKSE:02187's ROA % is ranked worse than
85.61% of 410 companies
in the Building Materials industry
Industry Median: 2.23 vs HKSE:02187: -4.97

Zhixin Group Holding  (HKSE:02187) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: Dec. 2025 )
=Net Income/Total Assets
=-20.926/1329.5695
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-20.926 / 647.646)*(647.646 / 1329.5695)
=Net Margin %*Asset Turnover
=-3.23 %*0.4871
=-1.57 %

Note: The Net Income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


Zhixin Group Holding ROA % Related Terms


Zhixin Group Holding ROA % Historical Data

* Premium members only.

The historical data trend for Zhixin Group Holding's ROA % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Zhixin Group Holding ROA % Chart

Zhixin Group Holding Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROA %
Get a 7-Day Free Trial Premium Member Only 2.01 0.09 0.73 -5.97 -4.91

Zhixin Group Holding Semi-Annual Data
Dec17 Dec18 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -0.08 0.18 -12.66 -8.78 -1.57

HKSE:02187 vs CRH, VMC, MLM: ROA % Comparison

For the Building Materials subindustry, Zhixin Group Holding's ROA %, along with its competitors' market caps and ROA % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Zhixin Group Holding ROA % vs Building Materials Industry

For the Building Materials industry and Basic Materials sector, Zhixin Group Holding's ROA % distribution charts can be found below:

* The bar in red indicates where Zhixin Group Holding's ROA % falls into.


HKSE:02187
50GF Score
Zhixin Group Holding Ltd HKSE:02187
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Zhixin Group Holding ROA % Calculation

Zhixin Group Holding's annualized ROA % for the fiscal year that ended in Dec. 2025 is calculated as:

ROA %=Net Income (A: Dec. 2025 )/( (Total Assets (A: Dec. 2024 )+Total Assets (A: Dec. 2025 ))/ count )
=-64.662/( (1209.303+1424.15)/ 2 )
=-64.662/1316.7265
=-4.91 %

Zhixin Group Holding's annualized ROA % for the quarter that ended in Dec. 2025 is calculated as:

ROA %=Net Income (Q: Dec. 2025 )/( (Total Assets (Q: Jun. 2025 )+Total Assets (Q: Dec. 2025 ))/ count )
=-20.926/( (1234.989+1424.15)/ 2 )
=-20.926/1329.5695
=-1.57 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is two times the semi-annual (Dec. 2025) net income data. ROA % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of -1.57% mean?
Zhixin Group Holding (HKSE:02187) has a ROA % of -1.57% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Zhixin Group Holding and its competitors. According to the industry distribution chart, Zhixin Group Holding ranks #351 out of 410 companies in the Building Materials industry, placing it in the top 85.6%.
Is Zhixin Group Holding's ROA % too high?
Zhixin Group Holding's current ROA % is -1.57%. Based on the distribution chart, Zhixin Group Holding ranks #351 out of 410 companies in the Building Materials industry, which is in the bottom quartile relative to peers. Overall, Zhixin Group Holding has a GF Score™ of 50/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Zhixin Group Holding's ROA % compare to CRH and VMC?
According to the Building Materials industry distribution chart, Zhixin Group Holding ranks #351 out of 410 companies for ROA %. This places Zhixin Group Holding in the lower half of its industry. The industry median ROA % is 2.23. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for a Building Materials company?
The median ROA % among Building Materials companies is 2.23, based on 410 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Zhixin Group Holding and its competitors. For the Building Materials industry, the median ROA % is 2.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zhixin Group Holding's current ROA % is -1.57%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zhixin Group Holding stock overvalued right now?
Based on GuruFocus' analysis, Zhixin Group Holding (HKSE:02187) is currently considered Possible Value Trap. The stock's GF Value™ is HK$0.83, compared to a current price of HK$0.54 — trading 34.9% below its estimated fair value. The current ROA % is -1.57%. Zhixin Group Holding's overall GF Score™ is 50/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Zhixin Group Holding (HKSE:02187), the current ROA % is -1.57% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Zhixin Group Holding (HKSE:02187) Overvalued in 2026?

Based on GuruFocus' analysis, Zhixin Group Holding stock appears to be undervalued. The current stock price of HK$0.54 is trading 34.9% below its estimated GF Value™ of HK$0.83. GuruFocus considers Zhixin Group Holding to be Possible Value Trap.

Key valuation signals for HKSE:02187:

  • ROA %: -1.57%
  • GF Value™: HK$0.83 vs. price of HK$0.54 (34.9% below fair value)
  • GF Score™: 50/100 with 6 warning signs

No single metric tells the full story. See the HKSE:02187 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Zhixin Group Holding Business Description

Address No. 1, No. 55, Guankou Avenue, Jimei District, Jimei District, Fujian Province, Xiamen, CHN
Zhixin Group Holding Ltd is engaged in the manufacturing and sale of ready-mixed concrete and precast concrete components in Xiamen city of Fujian province, and the manufacturing and sale of eco-friendly bricks and the recycling of iron ore tailings in Changjiang county of Hainan province, the People's Republic of China. Its segments include Ready-mixed concrete - manufacturing and sale of ready-mixed concrete in Xiamen; Precast concrete components - manufacturing and sale of precast concrete components in Xiamen; and Tailings recycling and bricks - sales of iron ore and other products produced from iron ore tailings recycling, and manufacturing and sales of eco-friendly bricks in Hainan. Its derives the majority of revenue from Tailings recycling and bricks segment.
50GF Score

Get the complete analysis for HKSE:02187

ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$0.54
Price
HK$0.83
GF Value