QPL International Holdings (0243) AI Stock Analysis

• Market Cap: HK$135.13M
• Dividend Yield: N/A
• Average Volume (3M): 1.04M
• Price to Earnings (P/E): 0.4
• Beta (1Y): 0.95
• Revenue Growth: 8.26%
• EPS Growth: N/A
• Country: HK
• Employees: 706
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 0.25
• Shares Outstanding: 346,490,540
• 10 Day Avg. Volume: 717,674
• 30 Day Avg. Volume: 1,040,629
• PEG Ratio: 0.50
• Price to Book (P/B): 0.16
• Price to Sales (P/S): 0.17
• P/FCF Ratio: 5.09
• 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: 54 Neutral
• Price Target: HK$0.39 ▲(4.86% Upside)
• Action: Reiterated Date: 02/04/26
• Date: Action: Reiterated 02/04/26

The score is held back primarily by weak profitability and cash-flow deterioration despite revenue growth and low leverage. Technicals are supportive (price above key moving averages with positive MACD and moderate RSI), and valuation appears inexpensive on P/E, but fundamentals remain the key constraint.

Positive Factors

High gross margin

A gross margin above 50% indicates QPL captures a substantial distribution spread on electronic components. That structural margin affords pricing flexibility and a buffer vs. input cost swings, enabling reinvestment in operations and supporting long-term service and supply capabilities if operating costs are controlled.

Conservative leverage

A debt-to-equity ratio of 0.18 signals a conservative capital structure that lowers interest burden and liquidity strain. For a distribution business reliant on working capital, low leverage preserves flexibility to finance inventories, absorb supply disruptions, and invest in vendor/customer relationships over the medium term.

Consistent revenue growth

Steady year-over-year revenue expansion demonstrates ongoing demand for QPL's component distribution and validates its market access. Sustainable top-line growth supports scale benefits, better supplier terms, and the potential to convert higher revenues into profitability if operational inefficiencies are addressed.

Negative Factors

Negative profitability

Despite solid gross margins, the company reports negative net margin and negative EBIT/EBITDA, indicating operating costs or other expenses erode earnings. Persistent negative operating profitability undermines shareholder returns and makes sustainable reinvestment and dividend capacity dependent on structural cost or mix improvements.

Weak cash conversion

A severe drop in free cash flow and an operating-cash-to-net-income ratio of 0.10 highlight difficulty converting accounting profits into cash. For a distribution business with working-capital needs, poor cash conversion raises financing risk, constrains supplier payment flexibility, and limits the ability to fund growth or weather cycles.

Negative ROE

Negative return on equity signals the company is not generating positive returns on shareholder capital, reducing attractiveness to investors and limiting internal capital formation. Over months this constrains ability to fund expansion from retained earnings and increases reliance on external financing or margin improvement to restore shareholder value.

QPL International Holdings Business Overview & Revenue Model

Company Description

QPL International Holdings Limited, an investment holding company, manufactures and sells integrated circuit leadframes, heatsinks, stiffeners, and related products for semiconductor industry companies. Its products include small outline integrated circuits, quad flat packages, thin quad flat packages, plastic dual in line packages, plastic leaded chip carriers, lead on chips, and thermal enhanced products, as well as HD-BU, HDL, and quad flat non-lead package products. The company also trades in securities; and invests in properties, as well as provides financial assistance and advance services. It primarily serves customers in the United States, Hong Kong, Europe, the People's Republic of China, the Philippines, Malaysia, Singapore, and Thailand. The company was founded in 1982 and is headquartered in Tsuen Wan, Hong Kong.

How the Company Makes Money

QPL International Holdings generates revenue primarily through the sale of its packaging products across various sectors. The company has established key revenue streams from its flexible packaging solutions, which cater to the growing demand for sustainable and innovative packaging in multiple industries. Additionally, revenue is bolstered by the production of labels and custom packaging solutions, which offer higher margins. Strategic partnerships with major clients in the food, beverage, and personal care sectors further enhance its market presence and contribute to consistent earnings. The company's commitment to quality and customer service fosters repeat business and long-term contracts, contributing significantly to its overall financial performance.

QPL International Holdings Financial Statement Overview

Summary

Mixed fundamentals: modest revenue growth (+5.94%) and strong gross margin (52.42%) are offset by negative profitability (net margin -0.35% with negative EBIT/EBITDA margins) and weak cash generation (free cash flow growth -204.89%, low operating cash flow to net income at 0.10). Balance sheet leverage is conservative (debt-to-equity 0.18), but ROE is negative (-0.33%).

Income Statement

QPL International Holdings has shown a mixed performance in its income statement. The company experienced a revenue growth of 5.94% in the most recent year, indicating a positive trend. However, the net profit margin remains negative at -0.35%, reflecting ongoing profitability challenges. The gross profit margin is relatively strong at 52.42%, suggesting efficient production processes. Despite these strengths, the negative EBIT and EBITDA margins highlight operational inefficiencies that need addressing.

Balance Sheet

The balance sheet of QPL International Holdings shows a stable financial position with a debt-to-equity ratio of 0.18, indicating low leverage and a conservative capital structure. However, the return on equity is negative at -0.33%, which is a concern for shareholder returns. The equity ratio stands at a healthy level, suggesting a strong asset base relative to liabilities.

Cash Flow

The cash flow statement reveals some challenges, with a significant decline in free cash flow growth at -204.89%. The operating cash flow to net income ratio is low at 0.10, indicating potential issues in converting income into cash. However, the free cash flow to net income ratio is relatively high at 0.72, suggesting some ability to generate cash despite net losses.

Breakdown	Apr 2024	Apr 2023	Apr 2022	Apr 2021	Apr 2021
Income Statement
Total Revenue	301.45M	262.70M	312.93M	488.05M	368.32M
Gross Profit	158.01M	49.29M	158.77M	86.75M	206.86M
EBITDA	-2.67M	-46.91M	-9.90M	34.21M	9.13M
Net Income	-1.06M	-61.39M	-34.32M	10.10M	-12.21M
Balance Sheet
Total Assets	465.07M	461.29M	529.76M	629.62M	611.21M
Cash, Cash Equivalents and Short-Term Investments	144.23M	121.12M	150.90M	177.17M	248.75M
Total Debt	58.76M	52.34M	58.77M	113.58M	124.59M
Total Liabilities	141.97M	136.82M	142.33M	219.12M	219.29M
Stockholders Equity	323.10M	324.46M	387.44M	410.50M	391.92M
Cash Flow
Free Cash Flow	10.17M	-1.31M	26.04M	-68.18M	-16.14M
Operating Cash Flow	14.16M	2.94M	34.79M	-51.42M	-8.25M
Investing Cash Flow	703.00K	-3.63M	-8.28M	-48.34M	-16.18M
Financing Cash Flow	4.69M	-10.72M	-43.12M	-4.48M	57.24M

QPL International Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.37
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0243, the sentiment is Neutral. The current price of 0.37 is below the 20-day moving average (MA) of 0.42, below the 50-day MA of 0.40, and above the 200-day MA of 0.35, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 45.34 is Neutral, neither overbought nor oversold. The STOCH value of 19.05 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0243.

QPL International Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
8257	59 Neutral	HK$244.00M	2.44	3.83%	―	-13.07%	-34.88%
1967	57 Neutral	HK$117.00M	47.44	-2.32%	―	-6.45%	-596.43%
0243	54 Neutral	HK$135.13M	0.40	17.56%	―	8.26%	―
1912	46 Neutral	HK$68.52M	-0.63	―	―	―	―
1679	45 Neutral	HK$112.22M	-3.94	―	―	37.63%	56.51%
8490	41 Neutral	HK$71.26M	-1.39	-41.46%	―	-26.02%	-4977.27%

QPL International Holdings Corporate Events

QPL International Releases Unaudited Interim Results for Six Months Ended October 2025

QPL International Holdings Limited has released its unaudited consolidated interim results for the six months ended 31 October 2025, covering the performance of the company and its subsidiaries. The interim report, which complies with Hong Kong listing requirements, has been published online and will be sent in printed form to shareholders in due course, signalling continued regulatory compliance and transparency in financial reporting for investors and market participants.

The most recent analyst rating on (HK:0243) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on QPL International Holdings stock, see the HK:0243 Stock Forecast page.

QPL International Holdings Projects Significant Profit Surge

QPL International Holdings Limited has announced a positive profit alert, indicating a significant increase in its expected consolidated profit for the six months ended 31 October 2025, ranging from HK$74.0 million to HK$78.0 million, compared to HK$11.3 million in the previous year. This substantial growth is primarily attributed to an unaudited net fair value gain on financial assets, highlighting a strong financial performance and potentially enhancing the company’s market position.

The most recent analyst rating on (HK:0243) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on QPL International Holdings stock, see the HK:0243 Stock Forecast page.

QPL International Holdings Schedules Board Meeting for Interim Results

QPL International Holdings Limited has announced a board meeting scheduled for December 22, 2025, to consider and approve the unaudited consolidated interim results for the six months ending October 31, 2025. This meeting is significant as it will provide insights into the company’s financial performance and potentially impact its market positioning and stakeholder confidence.

The most recent analyst rating on (HK:0243) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on QPL International Holdings stock, see the HK:0243 Stock Forecast page.