HKC International Holdings Limited (0248) AI Stock Analysis

• Market Cap: HK$58.53M
• Dividend Yield: N/A
• Average Volume (3M): 354.88K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.39
• Revenue Growth: -43.22%
• EPS Growth: -34.69%
• Country: HK
• Employees: 109
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): >-0.01
• Shares Outstanding: 1,245,331,200
• 10 Day Avg. Volume: 235,939
• 30 Day Avg. Volume: 354,879
• PEG Ratio: -0.07
• Price to Book (P/B): 0.18
• Price to Sales (P/S): 0.45
• P/FCF Ratio: 2.01
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: HK$0.04 ▼(-20.00% Downside)

The overall stock score of 50 reflects significant financial challenges, including declining revenues and persistent losses. While technical analysis shows positive short-term trends, the stock is overbought, posing a risk of correction. Valuation is weak due to negative earnings and lack of dividends, further impacting the stock's attractiveness.

Positive Factors

Technological Innovation

The focus on technological innovation helps HKC International maintain competitiveness in the fast-evolving electronics market, potentially driving long-term growth through new product development and enhanced offerings.

Strong Equity Base

A strong equity base provides financial stability and flexibility, allowing HKC International to invest in growth opportunities and withstand economic downturns, supporting long-term business sustainability.

Cash Management

Effective cash management ensures that HKC International can meet its obligations and invest in growth, even amidst net losses, which is crucial for sustaining operations and strategic initiatives.

Negative Factors

Declining Revenue

Declining revenue poses a significant challenge to HKC International's financial health, potentially limiting its ability to invest in growth and innovation, which are critical for maintaining market competitiveness.

Negative Profit Margins

Sustained negative profit margins highlight operational inefficiencies and profitability challenges, which could hinder HKC International's ability to generate shareholder value and invest in future growth.

Operational Inefficiencies

Operational inefficiencies, as indicated by negative EBIT and EBITDA margins, suggest that HKC International may struggle to optimize its cost structure, impacting long-term profitability and competitive positioning.

HKC International Holdings Limited Business Overview & Revenue Model

Company Description

HKC International Holdings Limited, an investment holding company, provides information communication technology solutions in Hong Kong, Mainland China, Singapore, and other countries in South East Asia. The company distributes and sells mobile phones and other electronic products, and Internet of Things solutions. It also provides smart living solutions, including smart display user interface, home energy consumption information, waste management information, home health and wellness information, and building management systems, as well as video door phone with smart visitor panel and face recognition, and access control using QR code and face recognition. In addition, it offers carrot home solutions; smart nursing homes; smart campus solutions; library management and asset management solutions, as well as real time location tracking systems; and UVC disinfection and sterilizer products. Further, the company distributes and retails digital cameras and other related accessories; and provides smart lock, mirror, and washroom solutions. Additionally, it is involved in the property investment activities; and provision of maintenance, installation, repairs, and smart systems construction services. The company was founded in 1970 and is based in Wong Chuk Hang, Hong Kong.

How the Company Makes Money

The company generates revenue primarily through the sale of its electronic products, particularly LCD televisions, which are sold both domestically and internationally. Key revenue streams include wholesale and retail sales, as well as potential licensing agreements for its technology. Additionally, HKC International Holdings may benefit from partnerships with distributors and retailers to expand its market reach. Fluctuations in consumer demand, competitive pricing strategies, and production costs significantly influence its earnings. The company also explores diversification in its product offerings to enhance revenue generation.

HKC International Holdings Limited Financial Statement Overview

Summary

HKC International Holdings Limited faces significant financial challenges, with declining revenues and persistent losses impacting profitability. While the balance sheet shows moderate leverage and a strong equity base, cash flow management remains a concern. The company needs to address operational inefficiencies and improve revenue generation to enhance financial stability.

Income Statement

The company has experienced a significant decline in revenue, with a 30.39% decrease in the latest year. Gross profit margin improved to 37.05%, but net profit margin remains negative at -31.26%, indicating ongoing profitability challenges. The negative EBIT and EBITDA margins further highlight operational inefficiencies.

Balance Sheet

The debt-to-equity ratio is moderate at 0.61, suggesting manageable leverage. However, the return on equity is negative, reflecting losses and inefficient use of equity. The equity ratio of 60.23% indicates a solid equity base relative to total assets.

Cash Flow

Free cash flow has declined by 36.77%, but the company has managed to maintain a high free cash flow to net income ratio of 0.99, indicating effective cash management despite net losses. The operating cash flow to net income ratio is low, suggesting potential liquidity issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	85.56M	85.56M	176.30M	169.52M	199.10M	217.12M
Gross Profit	31.70M	31.70M	45.37M	28.64M	42.82M	39.74M
EBITDA	-18.23M	-18.26M	-10.37M	-12.78M	2.59M	8.42M
Net Income	-26.75M	-26.75M	-21.97M	-19.57M	-1.94M	4.75M
Balance Sheet
Total Assets	360.88M	360.88M	415.19M	427.50M	380.67M	391.73M
Cash, Cash Equivalents and Short-Term Investments	9.63M	9.63M	26.73M	38.73M	28.81M	25.02M
Total Debt	133.61M	133.61M	159.50M	140.55M	85.61M	88.62M
Total Liabilities	143.48M	143.48M	172.82M	164.17M	99.87M	110.58M
Stockholders Equity	217.40M	217.40M	242.36M	263.33M	280.80M	281.15M
Cash Flow
Free Cash Flow	19.18M	19.18M	-35.59M	-49.77M	-4.79M	-25.08M
Operating Cash Flow	19.31M	19.31M	-34.93M	-49.13M	-4.22M	-24.47M
Investing Cash Flow	-557.00K	-557.00K	20.19M	-7.75M	11.81M	813.00K
Financing Cash Flow	-21.75M	-21.75M	11.23M	60.41M	-15.23M	27.36M

HKC International Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.05
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0248, the sentiment is Positive. The current price of 0.05 is above the 20-day moving average (MA) of 0.04, above the 50-day MA of 0.04, and above the 200-day MA of 0.03, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 99.99 is Negative, neither overbought nor oversold. The STOCH value of 53.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0248.

HKC International Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1720	63 Neutral	HK$128.70M	5.63	3.56%	―	8.78%	160.00%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
8043	60 Neutral	HK$72.40M	20.80	5.29%	―	9.71%	―
8092	59 Neutral	HK$29.62M	13.91	11.90%	6.25%	11.36%	9.52%
0248	50 Neutral	HK$58.53M	-1.78	-14.69%	―	-43.22%	-34.69%
1087	45 Neutral	HK$207.88M	-5.17	-17.08%	―	-7.93%	45.04%
1613	41 Neutral	HK$238.28M	-3.19	-30.44%	―	-58.81%	-10.51%

HKC International Holdings Limited Corporate Events

HKC International Holdings to Review Interim Results

HKC International Holdings Limited has announced that its board of directors will meet on November 28, 2025, to review and approve the unaudited interim results for the six months ending September 30, 2025. This meeting is significant for stakeholders as it will provide insights into the company’s financial performance and strategic direction for the upcoming period.

HKC International Holdings AGM: Unanimous Approval of Resolutions

HKC International Holdings Limited held its Annual General Meeting on August 29, 2025, where all proposed resolutions were passed unanimously. The resolutions included the re-election of several directors, the re-appointment of SHINEWING (HK) CPA LIMITED as auditors, and granting a mandate to the board to manage the company’s unissued shares. This unanimous approval reflects strong shareholder support and may positively impact the company’s governance and strategic flexibility.

HKC International Holdings Announces Annual General Meeting and Key Resolutions

HKC International Holdings Limited has announced its upcoming annual general meeting scheduled for August 29, 2025, in Hong Kong. The meeting agenda includes the approval of the audited financial statements for the year ending March 31, 2025, the re-election of several directors, and the re-appointment of SHINEWING (HK) CPA Limited as auditors. Additionally, the company seeks approval to grant its directors the authority to allot and issue shares, which could potentially impact its capital structure and market operations.