Tiens Biotech Group, Inc. conducts most of its business through two of its subsidiaries: Tianjin Tianshi Biological Development Co., Ltd., and Tiens Yihai Co., Ltd. Founded in 1998, Tianjin Tianshi focuses on researching, developing, manufacturing and marketing supplements and personal care products. Tiens Yihai on the other hand focuses on the research and development, production and marketing of nutrition supplements products, home care and personal care products.
Tiens’ herbal products, vitamin and mineral supplements and personal care products are sold in China as well as approximately 90 other countries. The company has significantly increased its revenue and earnings over the years by capitalizing on worldwide consumer demand for nutritional and wellness products. Tiens has positioned itself for further growth through product line enhancements and additional channels of distribution.
As a result of its ongoing R&D efforts, Tiens has developed, manufactured and marketed more than 20 major products and launches 5-to-7 new products each year. Attracting world-class talent to develop its high-quality products, Tiens has built modern research laboratories with superior scientific equipment and provides competitive compensation packages for the research staff. In addition to developing its own products, the company also plans to utilize product acquisitions to expand its product portfolio.
For the past five years, revenues grew at an average of 42.3% a year, while net income grew at an average of 138%. This is well above the industry average of 12.2% annual growth in revenues and 8.4% decline in net income. Despite this rapid, relatively consistent growth, the company trades at much lower price ratios than can be expected. Currently trading at a P/E ratio of 8.24 and Price/Book Value Ratio of 1.89, Tiens’ stock is significantly undervalued when compared with the industry averages.
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