Bloks Group Limited (0325) AI Stock Analysis

• Market Cap: HK$16.94B
• Dividend Yield: N/A
• Average Volume (3M): 1.06M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.77
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 709
• Sector: Services
• Sector Strength: N/A
• Industry: Leisure
• EPS (TTM): N/A
• Shares Outstanding: 249,250,950
• 10 Day Avg. Volume: 1,631,170
• 30 Day Avg. Volume: 1,058,598
• PEG Ratio: -0.50
• Price to Book (P/B): -12.04
• Price to Sales (P/S): 8.60
• P/FCF Ratio: 30.03
• 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$102.67
• Price Target Upside: 46.15% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: HK$72.00 ▲(2.49% Upside)

Bloks Group Limited's overall stock score is primarily impacted by its financial performance and technical analysis. The company shows strong revenue growth but struggles with profitability and financial stability, reflected in a low financial performance score. Technical indicators suggest bearish momentum, further weighing down the score. The absence of valuation metrics and earnings call data limits a comprehensive assessment, resulting in a conservative overall score.

Positive Factors

Revenue Growth

The substantial revenue growth indicates strong demand for Bloks Group's products and services, enhancing its market position and potential for future expansion.

Cash Flow Management

Improved cash flow management enhances financial flexibility, allowing Bloks Group to invest in growth opportunities and manage liabilities effectively.

Product and Service Diversification

Diversification across technology and construction sectors reduces risk exposure and capitalizes on multiple revenue streams, supporting long-term stability.

Negative Factors

Profitability Challenges

Persistent profitability issues could hinder Bloks Group's ability to reinvest in its business and compete effectively, impacting long-term growth.

Financial Stability

Negative equity and reliance on liabilities over equity pose significant risks to Bloks Group's financial health and long-term viability.

Reliance on Financing Activities

Dependence on external financing could limit Bloks Group's operational flexibility and increase vulnerability to market fluctuations, affecting future growth.

Bloks Group Limited Business Overview & Revenue Model

Company Description

Bloks Group Limited engages in the design, development, and sales of assembly toys in China. It offers brick-based and assembly character toys. The company sells its products through a multi-channel sales network, which consists of offline sales channels, including distributors and consignment sales; and online sales channels, including various e-commerce platforms. Bloks Group Limited was founded in 2014 and is based in Shanghai, China.

How the Company Makes Money

Bloks Group Limited generates revenue through multiple streams. Primarily, the company earns income from the sale of its building materials, which are designed for both residential and commercial projects. Additionally, it provides construction management services that streamline project execution, charging clients fees based on project size and complexity. The software development segment contributes to revenue by offering subscription-based services and licensing agreements for its proprietary technology solutions. Significant partnerships with construction firms and government projects bolster its earnings, ensuring a stable flow of contracts and repeat business.

Bloks Group Limited Financial Statement Overview

Summary

Bloks Group Limited exhibits strong revenue growth but faces challenges with profitability and financial stability. The negative equity and reliance on liabilities pose risks, while cash flow management shows improvement. The company needs to address its profitability issues and strengthen its balance sheet to ensure long-term viability.

Income Statement

Bloks Group Limited shows a significant revenue growth rate of 155.6% from 2023 to 2024, indicating strong top-line expansion. However, the company struggles with profitability, as evidenced by a negative net profit margin and negative EBITDA margin. The gross profit margin remains positive, suggesting some operational efficiency, but overall profitability is a concern.

Balance Sheet

The company has a negative stockholders' equity, indicating financial instability and potential solvency issues. The debt-to-equity ratio cannot be calculated due to negative equity, but the low total debt suggests limited leverage. The equity ratio is negative, highlighting a reliance on liabilities over equity.

Cash Flow

Bloks Group Limited demonstrates a strong operating cash flow to net income ratio, indicating effective cash generation relative to net losses. The free cash flow has grown significantly, reflecting improved cash management. However, the reliance on financing activities in previous years raises concerns about sustainable cash flow generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.53B	2.24B	876.69M	325.57M	329.77M
Gross Profit	1.27B	1.18B	414.92M	123.42M	123.40M
EBITDA	683.76M	-206.13M	-144.55M	-416.33M	-522.85M
Net Income	153.35M	-401.05M	-206.10M	-419.89M	-502.59M
Balance Sheet
Total Assets	3.56B	1.61B	1.01B	1.95B	2.49B
Cash, Cash Equivalents and Short-Term Investments	2.64B	686.82M	353.95M	181.16M	344.22M
Total Debt	43.14M	60.20M	64.01M	35.23M	51.78M
Total Liabilities	959.33M	3.21B	2.62B	3.32B	3.44B
Stockholders Equity	2.60B	-1.60B	-1.61B	-1.37B	-950.53M
Cash Flow
Free Cash Flow	493.38M	641.84M	241.55M	-191.33M	-325.00M
Operating Cash Flow	656.73M	762.33M	284.89M	-168.74M	-293.33M
Investing Cash Flow	-226.25M	-118.87M	-43.27M	250.66M	-230.68M
Financing Cash Flow	1.66B	-286.23M	-70.15M	31.48M	579.43M

Bloks Group Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 70.25
• 50DMA: Negative
• 100DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0325, the sentiment is Negative. The current price of 70.25 is below the 20-day moving average (MA) of 94.41, below the 50-day MA of 96.26, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of -1.91 indicates Positive momentum. The RSI at 43.13 is Neutral, neither overbought nor oversold. The STOCH value of 14.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0325.

Bloks Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2331	76 Outperform	HK$50.70B	16.76	10.53%	3.83%	4.12%	-7.17%
2020	68 Neutral	HK$222.90B	13.94	25.06%	3.10%	13.55%	13.30%
1086	64 Neutral	HK$1.86B	6.72	4.75%	6.25%	7.94%	-24.24%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
0635	55 Neutral	HK$1.03B	-2.42	-8.58%	9.09%	-39.71%	-74.16%
0325	42 Neutral	HK$16.94B	―	―	―	―	―
2255	40 Underperform	HK$6.28B	-3.75	-50.43%	―	-8.83%	-393.39%