Hong Kong Food Investment Holdings Limited (0060) AI Stock Analysis

• Market Cap: HK$121.44M
• Dividend Yield: N/A
• Average Volume (3M): 7.27K
• Price to Earnings (P/E): ―
• Beta (1Y): <0.01
• Revenue Growth: -13.76%
• EPS Growth: -7.06%
• Country: HK
• Employees: 47
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Distribution
• EPS (TTM): -0.03
• Shares Outstanding: 255,654,000
• 10 Day Avg. Volume: 4,600
• 30 Day Avg. Volume: 7,266
• PEG Ratio: 2.33
• Price to Book (P/B): 0.20
• Price to Sales (P/S): 0.57
• P/FCF Ratio: 169.23
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 43 Neutral
• Price Target: HK$0.50 ▲(13.64% Upside)

The overall stock score is primarily influenced by poor financial performance and bearish technical indicators. The company's declining revenues, negative profitability, and weak cash flow generation are significant concerns. The negative P/E ratio and lack of dividend yield further impact the valuation negatively. Technical analysis suggests a bearish trend, with the stock being oversold.

Positive Factors

Low Leverage

Low leverage provides financial flexibility and reduces risk, allowing the company to potentially invest in growth opportunities without the burden of high interest obligations.

Diverse Revenue Streams

Diverse revenue streams help mitigate risks associated with reliance on a single income source, providing stability and resilience against market fluctuations.

Strategic Partnerships

Strategic partnerships can lead to improved supply chain efficiency and market penetration, supporting long-term growth and competitive positioning.

Negative Factors

Declining Revenues

Declining revenues indicate potential challenges in market demand or competitive positioning, which could impact long-term financial health and growth prospects.

Negative Profit Margins

Negative profit margins suggest operational inefficiencies or pricing pressures, which can hinder profitability and limit reinvestment in business growth.

Weak Cash Generation

Weak cash generation limits the company's ability to fund operations and growth initiatives internally, potentially increasing reliance on external financing.

Hong Kong Food Investment Holdings Limited Business Overview & Revenue Model

Company Description

Hong Kong Food Investment Holdings Limited, an investment holding company, trades in frozen meats, seafood, and vegetables. It operates through three segments: Trading, Catering, and Others. The company offers poultry, pork, beef, marine products, and other frozen food products to supermarket chains, fast food chains, Chinese restaurants, western restaurants, hotels, airlines, catering distributors, and frozen meat retailers in the wet market. It is also involved in the operation of restaurants, marketing of meat products, and communication and advertising design activities. In addition, the company provides communication and advertising design; and manufactures and trades snack foods, confectionery, beverages, frozen food, noodles, and ham and ham-related products. The company was incorporated in 1991 and is based in Kowloon Bay, Hong Kong.

How the Company Makes Money

The company generates revenue through multiple streams, including the operation of its restaurant chains, food processing, and distribution services. Key revenue streams consist of sales from its dining establishments, which serve a variety of cuisines, and the wholesale distribution of food products to retailers and other businesses. Additionally, strategic partnerships with local suppliers and food manufacturers enhance its supply chain efficiency and product offerings. The company may also benefit from seasonal promotions and marketing campaigns that drive customer traffic to its restaurants, contributing to overall earnings.

Hong Kong Food Investment Holdings Limited Financial Statement Overview

Summary

The company is facing significant financial challenges, with declining revenues and profitability. Despite a strong capital structure with low leverage, it struggles with negative cash flow growth and poor returns on equity. Operational inefficiencies and market pressures are evident.

Income Statement

The company has been experiencing declining revenues with a negative revenue growth rate of -6.95% in the latest year. Gross profit margin has decreased from 21.39% to 15.04%, indicating pressure on profitability. Net profit margin is negative, reflecting ongoing losses. The EBIT and EBITDA margins are also negative, showing operational challenges.

Balance Sheet

The company maintains a low debt-to-equity ratio of 0.06, indicating low leverage, which is a positive aspect. However, the return on equity is negative, reflecting poor profitability and returns for shareholders. The equity ratio remains stable, suggesting a solid capital structure.

Cash Flow

The company has shown a significant decline in free cash flow growth, with a rate of -167.35%. Operating cash flow to net income ratio is low at 0.13, indicating weak cash generation relative to net income. The free cash flow to net income ratio is also low, highlighting challenges in converting earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	186.79M	186.79M	211.84M	231.56M	183.13M	131.12M
Gross Profit	28.08M	28.08M	45.32M	50.65M	25.44M	16.01M
EBITDA	-16.30M	-8.13M	-10.93M	6.16M	-4.90M	-4.88M
Net Income	-18.82M	-18.82M	-19.35M	1.05M	-17.34M	-4.16M
Balance Sheet
Total Assets	584.70M	584.70M	611.44M	653.56M	685.25M	684.04M
Cash, Cash Equivalents and Short-Term Investments	86.19M	86.19M	79.54M	87.89M	99.21M	152.09M
Total Debt	31.42M	31.42M	43.77M	46.91M	63.54M	41.17M
Total Liabilities	57.49M	57.49M	66.87M	69.39M	80.28M	59.16M
Stockholders Equity	521.18M	521.18M	537.84M	576.63M	598.72M	620.20M
Cash Flow
Free Cash Flow	627.00K	627.00K	-13.38M	708.00K	-66.66M	-10.30M
Operating Cash Flow	7.00M	7.00M	-13.29M	18.89M	-43.99M	-5.21M
Investing Cash Flow	-628.00K	11.56M	12.44M	-6.17M	-16.73M	-1.33M
Financing Cash Flow	-11.37M	-12.85M	-5.96M	-23.32M	7.37M	-2.84M

Hong Kong Food Investment Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.44
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0060, the sentiment is Negative. The current price of 0.44 is below the 20-day moving average (MA) of 0.47, below the 50-day MA of 0.47, and below the 200-day MA of 0.46, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 29.95 is Positive, neither overbought nor oversold. The STOCH value of 25.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0060.

Hong Kong Food Investment Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1587	71 Outperform	HK$442.00M	9.64	8.56%	3.46%	3.24%	47.81%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
8413	62 Neutral	HK$132.47M	126.67	0.79%	―	-1.30%	-61.11%
0677	58 Neutral	HK$594.09M	-41.18	-2.66%	6.57%	0.09%	-274.36%
1705	56 Neutral	HK$158.00M	8.88	10.63%	12.82%	0.15%	-33.33%
8491	48 Neutral	HK$163.43M	-7.55	-14.15%	―	-2.25%	58.33%
0060	43 Neutral	HK$121.44M	―	-3.71%	―	-13.76%	-7.06%

Hong Kong Food Investment Holdings Limited Corporate Events

Hong Kong Food Investment Holdings Reports Decline in Interim Results

Hong Kong Food Investment Holdings Limited reported its interim results for the six months ending September 30, 2025, showing a decline in revenue and profit compared to the previous year. The company faced a decrease in gross profit and an increase in losses, attributed to higher administrative expenses and lower income from associates, impacting its financial performance and potentially affecting stakeholder confidence.

Hong Kong Food Investment Holdings to Review Interim Results

Hong Kong Food Investment Holdings Limited has announced a board meeting scheduled for November 28, 2025, to review and approve the interim financial results for the six months ending September 30, 2025. The meeting will also consider the payment of an interim dividend, which could impact shareholder returns and reflect the company’s financial health.