It's been a good week for YesAsia Holdings Limited (HKG:2209) shareholders, because the company has just released its latest annual results, and the shares gained 9.0% to HK$3.27. It looks like the results were a bit of a negative overall. While revenues of US$346m were in line with analyst predictions, statutory earnings were less than expected, missing estimates by 6.1% to hit US$0.046 per share. Earnings are an important time for investors, as they can track a company's performance, look at what the analyst is forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimate suggests is in store for next year.
Taking into account the latest results, the consensus forecast from YesAsia Holdings' one analyst is for revenues of US$502.0m in 2025. This reflects a huge 45% improvement in revenue compared to the last 12 months. Per-share earnings are expected to jump 66% to US$0.077. In the lead-up to this report, the analyst had been modelling revenues of US$475.0m and earnings per share (EPS) of US$0.082 in 2025. Overall it looks as though the analyst was a bit mixed on the latest results. Although there was a a huge to revenue, the consensus also made a minor downgrade to its earnings per share forecasts.
View our latest analysis for YesAsia Holdings
The consensus price target fell 10.0% to HK$4.50, suggesting that the analyst are primarily focused on earnings as the driver of value for this business.
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. It's clear from the latest estimates that YesAsia Holdings' rate of growth is expected to accelerate meaningfully, with the forecast 45% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 16% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 17% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that YesAsia Holdings is expected to grow much faster than its industry.
The Bottom Line
The biggest concern is that the analyst reduced their earnings per share estimates, suggesting business headwinds could lay ahead for YesAsia Holdings. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider industry. Furthermore, the analyst also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.
With that in mind, we wouldn't be too quick to come to a conclusion on YesAsia Holdings. Long-term earnings power is much more important than next year's profits. At least one analyst has provided forecasts out to 2027, which can be seen for free on our platform here.
We don't want to rain on the parade too much, but we did also find 3 warning signs for YesAsia Holdings (1 doesn't sit too well with us!) that you need to be mindful of.
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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.