Deson Development International Holdings Limited (0262) AI Stock Analysis

• Market Cap: HK$149.62M
• Dividend Yield: N/A
• Average Volume (3M): 990.00K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.66
• Revenue Growth: -47.80%
• EPS Growth: 11.98%
• Country: HK
• Employees: 162
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): >-0.01
• Shares Outstanding: 1,466,820,600
• 10 Day Avg. Volume: 1,977,800
• 30 Day Avg. Volume: 990,000
• PEG Ratio: 0.46
• Price to Book (P/B): 0.07
• Price to Sales (P/S): 0.63
• P/FCF Ratio: 3.87
• 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: 57 Neutral
• Price Target: HK$0.10 ▲(4.00% Upside)

The overall stock score for Deson Development International Holdings Limited is primarily impacted by its weak financial performance, characterized by declining revenues and negative profitability. Despite strong technical indicators suggesting bullish momentum, the stock's valuation is unattractive due to a negative P/E ratio and lack of dividend yield. The absence of earnings call and corporate events data limits further insights into the company's strategic direction.

Positive Factors

Manageable Debt Level

A manageable debt level provides financial stability and flexibility, allowing the company to invest in growth opportunities without excessive financial strain.

Diversified Revenue Streams

Diversified revenue streams across construction and property development reduce reliance on a single income source, enhancing resilience against market fluctuations.

Government Partnerships

Partnerships with government agencies ensure a steady flow of projects, providing stability and potential growth in public infrastructure investments.

Negative Factors

Declining Revenue

A significant decline in revenue indicates challenges in maintaining market share and competitiveness, potentially impacting long-term financial health.

Negative Profitability

Negative profitability reflects operational inefficiencies and challenges in cost management, which can hinder sustainable growth and investor confidence.

Constrained Cash Flows

Constrained cash flows limit the company's ability to reinvest in its business, pay down debt, and weather financial downturns, affecting long-term viability.

Deson Development International Holdings Limited Business Overview & Revenue Model

Company Description

Deson Development International Holdings Limited, an investment holding company, primarily engages in the property investment and redevelopment businesses in Hong Kong and Mainland China. It invests in and develops residential and commercial properties. The company also trades in medical equipment, wellness, pandemic prevention, cosmetic, and home security and automation products; and provides related installation and maintenance services, as well as human resources services. In addition, it operates a hotel. The company was founded in 1988 and is headquartered in Kwun Tong, Hong Kong.

How the Company Makes Money

Deson Development International Holdings Limited generates revenue primarily through its construction and property development activities. The company's key revenue streams include income from construction contracts, where it undertakes projects for governmental and private entities, and profits from the sale and leasing of developed properties. Additionally, the company may also earn income through property management services. Significant partnerships with government agencies and private developers contribute to its project pipeline, while a diversified portfolio in both commercial and residential segments helps stabilize its earnings. Fluctuations in the real estate market and government infrastructure spending can impact its revenue, making these factors critical to its financial performance.

Deson Development International Holdings Limited Financial Statement Overview

Summary

Deson Development International Holdings Limited faces significant financial challenges, characterized by declining revenues, negative profitability, and constrained cash flows. While the company maintains a manageable debt level, its ongoing losses and negative cash flow growth highlight the need for strategic improvements to stabilize its financial position.

Income Statement

The company has experienced a significant decline in revenue over the past year, with a revenue growth rate of -27.23%. Margins are concerning, with a negative net profit margin of -54.42% and an EBIT margin of -42.59%. The gross profit margin is relatively healthy at 42.46%, but overall profitability is severely impacted by high operating losses.

Balance Sheet

The balance sheet shows moderate leverage with a debt-to-equity ratio of 0.20, indicating a manageable level of debt. However, the return on equity is negative at -5.87%, reflecting ongoing losses. The equity ratio is not explicitly calculated, but the company maintains a substantial equity base relative to its assets.

Cash Flow

Cash flow analysis reveals challenges, with a negative free cash flow growth rate of -32.91%. The operating cash flow to net income ratio is low at 0.12, indicating limited cash generation relative to net losses. However, the free cash flow to net income ratio is 0.59, suggesting some ability to cover losses with free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	186.16M	135.47M	128.07M	97.56M	110.00M	103.80M
Gross Profit	37.29M	57.52M	42.90M	40.33M	9.64M	48.76M
EBITDA	-41.10M	-43.31M	-22.99M	-36.53M	-27.52M	2.50M
Net Income	-73.51M	-73.72M	-75.69M	-90.97M	-27.27M	-36.74M
Balance Sheet
Total Assets	1.99B	1.74B	1.98B	2.26B	2.47B	2.39B
Cash, Cash Equivalents and Short-Term Investments	37.34M	36.07M	43.98M	25.36M	44.15M	20.59M
Total Debt	352.80M	249.19M	367.08M	477.47M	460.74M	485.46M
Total Liabilities	631.14M	500.18M	637.19M	795.53M	797.73M	804.62M
Stockholders Equity	1.37B	1.26B	1.35B	1.48B	1.68B	1.59B
Cash Flow
Free Cash Flow	32.74M	21.97M	-32.78M	-56.02M	-32.68M	-38.34M
Operating Cash Flow	48.12M	37.32M	-32.44M	-55.66M	-21.54M	-26.68M
Investing Cash Flow	16.64M	115.19M	148.25M	789.00K	33.94M	-17.72M
Financing Cash Flow	-68.95M	-154.36M	-102.87M	24.99M	18.88M	49.53M

Deson Development International Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.10
• 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:0262, the sentiment is Neutral. The current price of 0.1 is below the 20-day moving average (MA) of 0.10, above the 50-day MA of 0.09, and above the 200-day MA of 0.07, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 54.13 is Neutral, neither overbought nor oversold. The STOCH value of 74.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0262.

Deson Development International Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
0262	57 Neutral	HK$149.62M	-2.29	-4.90%	―	-47.80%	11.98%
6999	49 Neutral	HK$120.15M	-0.05	―	―	-54.30%	-57.24%
1201	48 Neutral	HK$415.59M	-3.49	-23.48%	―	-51.64%	55.46%
2286	48 Neutral	HK$139.20M	-0.46	-24.92%	―	-81.10%	-114.54%
1232	38 Underperform	HK$72.86M	-0.13	―	―	-69.85%	55.83%

Deson Development International Holdings Limited Corporate Events

Deson Development Reports Decreased Revenue and Loss for Interim 2025

Deson Development International Holdings Limited reported its unaudited interim results for the six months ended September 30, 2025, revealing a significant decrease in revenue to HK$53,685,000 from HK$91,978,000 in the same period in 2024. Despite a reduction in losses compared to the previous year, the company still faced a loss of HK$5,606,000, attributed to higher administrative expenses and finance costs, impacting its profitability and market positioning.

Deson Development Schedules Board Meeting to Approve Interim Results

Deson Development International Holdings Limited has scheduled a board meeting for November 26, 2025, to discuss and approve its interim financial results for the six months ending September 30, 2025. The meeting will also consider the declaration and payment of an interim dividend, highlighting the company’s focus on shareholder returns and financial performance.