Sinomax Group (HKSE:01418) ROE %: 6.66% (As of Dec. 2025) — 39% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

HKSE:01418 Sinomax Group Ltd HKSE:01418
50 GF Score
Price HK$0.16
GF Value HK$0.24
Valuation Significantly Undervalued
! 3 Warning Signs
View Full Analysis

What is Sinomax Group ROE %?

Sinomax Group HKSE:01418 +3.33% 50 ROE % is 6.66% as of Dec. 2025, which is 39% above its 10-year median of 4.80. GuruFocus rates HKSE:01418 with a GF Score™ of 50/100 and a GF Value™ of HK$0.24 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 425 Furnishings, Fixtures & Appliances companies, Sinomax Group ranks better than 58.12% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Sinomax Group's annualized net income for the quarter that ended in Dec. 2025 was HK$67 Mil. Sinomax Group's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was HK$1,003 Mil. Therefore, Sinomax Group's annualized ROE % for the quarter that ended in Dec. 2025 was 6.66%.

The historical rank and industry rank for Sinomax Group's ROE % or its related term are showing as below:

HKSE:01418' s ROE % Range Over the Past 10 Years
Min: -22.39   Med: 4.8   Max: 14.54
Current: 6.07

During the past 13 years, Sinomax Group's highest ROE % was 14.54%. The lowest was -22.39%. And the median was 4.80%.

HKSE:01418's ROE % is ranked better than
58.12% of 425 companies
in the Furnishings, Fixtures & Appliances industry
Industry Median: 4.45 vs HKSE:01418: 6.07

Sinomax Group  (HKSE:01418) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=66.778/1002.7405
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(66.778 / 5609.116)*(5609.116 / 2985.7675)*(2985.7675 / 1002.7405)
=Net Margin %*Asset Turnover*Equity Multiplier
=1.19 %*1.8786*2.9776
=ROA %*Equity Multiplier
=2.24 %*2.9776
=6.66 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=66.778/1002.7405
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (66.778 / 144.07) * (144.07 / 140.51) * (140.51 / 5609.116) * (5609.116 / 2985.7675) * (2985.7675 / 1002.7405)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.4635 * 1.0253 * 2.51 % * 1.8786 * 2.9776
=6.66 %

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. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Sinomax Group ROE % Related Terms


Sinomax Group ROE % Historical Data

* Premium members only.

The historical data trend for Sinomax Group's ROE % 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.

Sinomax Group ROE % Chart

Sinomax Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.57 -3.81 6.87 14.54 6.01

Sinomax Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROE % 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 9.72 13.27 15.83 5.53 6.66

HKSE:01418 vs SN, SGI, MHK: ROE % Comparison

For the Furnishings, Fixtures & Appliances subindustry, Sinomax Group's ROE %, along with its competitors' market caps and ROE % 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.


Sinomax Group ROE % vs Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Sinomax Group's ROE % distribution charts can be found below:

* The bar in red indicates where Sinomax Group's ROE % falls into.


HKSE:01418
50GF Score
Sinomax Group Ltd HKSE:01418
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sinomax Group ROE % Calculation

Sinomax Group's annualized ROE % for the fiscal year that ended in Dec. 2025 is calculated as

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=60.3/( (973.705+1031.957)/ 2 )
=60.3/1002.831
=6.01 %

Sinomax Group's annualized ROE % for the quarter that ended in Dec. 2025 is calculated as

ROE %=Net Income (Q: Dec. 2025 )/( (Total Stockholders Equity (Q: Jun. 2025 )+Total Stockholders Equity (Q: Dec. 2025 ))/ count )
=66.778/( (973.524+1031.957)/ 2 )
=66.778/1002.7405
=6.66 %

* 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 ROE %, the net income of the last fiscal year and the average total shareholder equity 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. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 6.66% mean?
Sinomax Group (HKSE:01418) has a ROE % of 6.66% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Sinomax Group and its competitors. This is 39% above median its historical median of 4.80. According to the industry distribution chart, Sinomax Group ranks #178 out of 425 companies in the Furnishings, Fixtures & Appliances industry, placing it in the top 41.9%.
Is Sinomax Group's ROE % too high?
Sinomax Group's current ROE % of 6.66% is 39% above median its 10-year median of 4.80. The Furnishings, Fixtures & Appliances industry median ROE % is 4.45. Sinomax Group's value of 6.66% is 49.7% above this industry median. Based on the distribution chart, Sinomax Group ranks #178 out of 425 companies in the Furnishings, Fixtures & Appliances industry, which is above the industry midpoint. Overall, Sinomax Group has a GF Score™ of 50/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Sinomax Group's ROE % compare to SN and SGI?
According to the Furnishings, Fixtures & Appliances industry distribution chart, Sinomax Group ranks #178 out of 425 companies for ROE %. This puts Sinomax Group in the upper half of its industry. The industry median ROE % is 4.45. Sinomax Group's value of 6.66% is 49.7% above this benchmark. While the company's 10-year median is 4.80 vs. the industry median of 4.45, Sinomax Group has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Furnishings, Fixtures & Appliances company?
The median ROE % among Furnishings, Fixtures & Appliances companies is 4.45, based on 425 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sinomax Group's current ROE % of 6.66% is 49.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Sinomax Group and its competitors. For the Furnishings, Fixtures & Appliances industry, the median ROE % is 4.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sinomax Group's current ROE % is 6.66%, which is 39% above median its own 10-year median of 4.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sinomax Group stock overvalued right now?
Based on GuruFocus' analysis, Sinomax Group (HKSE:01418) is currently considered Significantly Undervalued. The stock's GF Value™ is HK$0.24, compared to a current price of HK$0.16 — trading 35.4% below its estimated fair value. The current ROE % is 6.66%, which is 39% above median its 10-year median of 4.80 and 49.7% above the Furnishings, Fixtures & Appliances industry median of 4.45. Sinomax Group's overall GF Score™ is 50/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Sinomax Group (HKSE:01418), the current ROE % is 6.66% 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 Sinomax Group (HKSE:01418) Overvalued in 2026?

Based on GuruFocus' analysis, Sinomax Group stock appears to be undervalued. The current stock price of HK$0.16 is trading 35.4% below its estimated GF Value™ of HK$0.24. GuruFocus considers Sinomax Group to be Significantly Undervalued.

Key valuation signals for HKSE:01418:

  • ROE %: 6.66% (39% above median its 10-year median of 4.80)
  • GF Value™: HK$0.24 vs. price of HK$0.16 (35.4% below fair value)
  • GF Score™: 50/100 with 3 warning signs
  • Industry Position: 49.7% above the Furnishings, Fixtures & Appliances median (#178 of 425)

No single metric tells the full story. See the HKSE:01418 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sinomax Group Business Description

Address 38 Wang Chiu Road, Units 2005-2007, Level 20, Tower 1, MegaBox Enterprise Square Five, Kowloon Bay, Hong Kong, HKG
Sinomax Group Ltd is an investment holding company and is engaged in the manufacturing and marketing of visco-elastic health and wellness products globally. It focuses on the business of manufacture and sale of health and household products including visco-elastic pillows, mattress toppers and mattresses, and polyurethane foam, of which a majority of the revenue is generated from health and household products. Its operating segment consists of the China market, the North American market, Europe and another overseas market, and the majority of the revenue comes from the China market. Its own brands are Sinomax, Dream Serenity and others.
50GF Score

Get the complete analysis for HKSE:01418

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

HK$0.16
Price
HK$0.24
GF Value