San Miguel Brewery HK Ltd. (0236) AI Stock Analysis

• Market Cap: HK$440.81M
• Dividend Yield: 4.1%
• Average Volume (3M): 188.22K
• Price to Earnings (P/E): 4.1
• Beta (1Y): 0.13
• Revenue Growth: 2.77%
• EPS Growth: -110.76%
• Country: HK
• Employees: 480
• Sector: Consumer Defensive
• Sector Strength: 47
• Industry: Beverages - Alcoholic
• EPS (TTM): 0.13
• Shares Outstanding: 373,570,560
• 10 Day Avg. Volume: 59,600
• 30 Day Avg. Volume: 188,220
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: HK$1.50
• Price Target Upside: 22.95% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 64 Neutral
• Price Target: HK$1.50 ▲(22.95% Upside)

San Miguel Brewery HK Ltd.'s stock score is primarily driven by a strong technical analysis, indicating bullish momentum. Financial performance shows resilience in cash flow and a robust balance sheet, but declining revenue and profitability raise concerns. Valuation is pressured by negative earnings, although the dividend yield offers some support.

San Miguel Brewery HK Ltd. Business Overview & Revenue Model

Company Description

San Miguel Brewery HK Ltd. (0236) is a leading brewery company based in Hong Kong, engaged in the production and distribution of beer and other malt-based beverages. The company operates in the alcoholic beverage sector, offering a variety of beer products, including its flagship San Miguel Pale Pilsen, San Miguel Light, and other specialty and seasonal beers. With a strong presence in the Hong Kong and Macau markets, the company is a subsidiary of San Miguel Corporation, a major conglomerate in the beverage industry.

How the Company Makes Money

San Miguel Brewery HK Ltd. generates revenue primarily through the sale of its beer products in the Hong Kong and Macau regions. The company's revenue model is centered around its core beer brands, including both flagship and premium offerings, which cater to a diverse consumer base. Key revenue streams include direct sales to retailers, bars, restaurants, and other establishments, as well as distribution partnerships that extend the reach of San Miguel's products. The company's earnings are influenced by factors such as brand strength, market demand, and the strategic management of its distribution network. Additionally, San Miguel Brewery HK Ltd. benefits from marketing and promotional activities that enhance brand visibility and consumer engagement, further supporting sales growth.

San Miguel Brewery HK Ltd. Financial Statement Overview

Summary

San Miguel Brewery HK Ltd. showed declining revenue and negative profitability in 2024, impacting the income statement negatively. Despite these challenges, the balance sheet is strong with low leverage, and cash flow remains positive, indicating resilience.

Income Statement

San Miguel Brewery HK Ltd. exhibited a decline in revenue growth from 2023 to 2024, with a drop in total revenue from 741.6M to 711.2M HKD. The gross profit margin decreased slightly, and the company experienced a negative net profit margin of -2.83% in 2024, down from 11.58% in 2023. The EBIT and EBITDA margins also turned negative, reflecting operational challenges.

Balance Sheet

The company maintains a strong equity position, with a debt-to-equity ratio of 0.01, indicating low leverage and a high equity ratio of 86.6% in 2024. However, the return on equity dropped significantly due to negative net income, showing a need for profitability improvement.

Cash Flow

Operating cash flow remains positive at 67.7M HKD in 2024, and free cash flow is strong at 48.5M HKD, though it decreased year-over-year. The free cash flow to net income ratio is not meaningful due to negative net income, but operating cash flow to net income ratio indicates stronger cash flow generation relative to net profits.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	711.16M	741.62M	681.16M	595.62M	555.66M
Gross Profit	266.13M	285.44M	247.08M	243.04M	243.39M
EBITDA	3.21M	91.03M	54.16M	41.94M	22.24M
Net Income	-20.10M	85.90M	32.30M	19.36M	17.23M
Balance Sheet
Total Assets	759.21M	807.56M	719.34M	721.08M	743.74M
Cash, Cash Equivalents and Short-Term Investments	216.52M	179.98M	114.01M	132.39M	156.11M
Total Debt	6.07M	6.49M	6.92M	46.01M	92.94M
Total Liabilities	124.41M	135.08M	129.63M	149.98M	200.73M
Stockholders Equity	657.20M	696.57M	617.84M	602.84M	576.53M
Cash Flow
Free Cash Flow	48.52M	67.46M	21.80M	24.41M	31.58M
Operating Cash Flow	67.70M	91.96M	37.16M	37.03M	45.21M
Investing Cash Flow	-21.17M	-17.56M	17.66M	4.50M	-30.96M
Financing Cash Flow	-19.57M	-4.33M	-39.84M	-53.66M	-12.06M

San Miguel Brewery HK Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.22
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0236, the sentiment is Positive. The current price of 1.22 is below the 20-day moving average (MA) of 1.24, above the 50-day MA of 1.10, and above the 200-day MA of 0.86, indicating a neutral trend. The MACD of 0.03 indicates Positive momentum. The RSI at 57.23 is Neutral, neither overbought nor oversold. The STOCH value of 25.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0236.

San Miguel Brewery HK Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0236	64 Neutral	HK$440.81M	4.08	-1.15%	4.10%	2.77%	-110.76%
Sector *	63 Neutral	$20.42B	14.38	-3.63%	3.17%	2.07%	-6.17%
CAIHF	―	$224.10M	2.65	10.89%	―	―	―
CRHKF	―	$11.85B	14.61	16.77%	2.53%	―	―
TSGTF	―	$11.06B	14.15	15.74%	4.72%	―	―
1876	72 Outperform	HK$113.38B	24.54	5.74%	5.30%	-9.54%	-27.75%
0828	63 Neutral	HK$415.48M	12.45	11.24%	1.19%	3.26%	46.30%

San Miguel Brewery HK Ltd. Corporate Events

San Miguel Brewery HK Ltd. Appoints New Independent Director

San Miguel Brewery Hong Kong Ltd. has announced the appointment of Ms. Maria Aileen A. Sazon as an independent non-executive director and a member of the nomination committee, effective from July 28, 2025. This appointment underscores the company’s commitment to maintaining a diverse and independent board, which is crucial for its governance and strategic decision-making processes.

San Miguel Brewery HK Reports Strong Interim Results for 2025

San Miguel Brewery Hong Kong Limited reported its unaudited interim results for the first half of 2025, showing a significant increase in profit. The company’s revenue rose to HKD 390.3 million, with a gross profit of HKD 155.7 million, reflecting improved operational efficiency and cost management. The profit attributable to equity shareholders increased to HKD 49.6 million, up from HKD 37.6 million in the previous year. This growth in profitability underscores the company’s strong market positioning and effective business strategies.

San Miguel Brewery HK Updates Nomination Committee Terms

San Miguel Brewery Hong Kong Limited has updated the terms of reference for its Nomination Committee, which plays a crucial role in advising the board on governance matters. The committee is tasked with assessing the skills required on the board, reviewing the performance of directors, and identifying suitable candidates for board appointments. The committee is composed of at least three members, primarily independent non-executive directors, and is supported by the company with necessary resources and access to professional advice.

San Miguel Brewery HK Announces Board Reshuffle

San Miguel Brewery Hong Kong Limited has announced significant changes in its board and committee memberships. Mr. Alonzo Q. Ancheta and Mr. Yoshinori Inazumi have resigned from their respective positions due to personal commitments and new assignments, while Ms. Maria Aileen A. Sazon and Mr. Tatsuya Nagafuji have been appointed to new roles. These changes reflect a strategic realignment within the company, potentially impacting its governance and operational focus.

San Miguel Brewery HK Ltd. Announces Board Composition

San Miguel Brewery Hong Kong Limited has announced the composition of its board of directors, detailing the roles and functions of both executive and non-executive members. This announcement is crucial as it outlines the leadership structure, which can influence the company’s strategic direction and operational decisions, potentially impacting stakeholders and market positioning.

San Miguel Brewery HK Ltd. Schedules Board Meeting for Interim Results

San Miguel Brewery Hong Kong Limited has announced a Board meeting scheduled for July 28, 2025, to approve the interim results for the first half of the year and consider the payment of an interim dividend. This meeting is significant as it will provide insights into the company’s financial performance and potential shareholder returns, impacting its market positioning and stakeholder interests.