Esprit Holdings (0330) AI Stock Analysis

• Market Cap: $413.30M
• Dividend Yield: N/A
• Average Volume (3M): 731.75K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.58
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 538
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): N/A
• Shares Outstanding: 283,081,730
• 10 Day Avg. Volume: 322,787
• 30 Day Avg. Volume: 731,750
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.70
• Enterprise Value/Revenue: 0.16
• Enterprise Value/Gross Profit: 7.70
• Enterprise Value/Ebitda: -0.51
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 46 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

Esprit Holdings' overall stock score is primarily impacted by its poor financial performance, characterized by declining revenues and negative profitability. While technical analysis indicates strong bullish momentum, the overbought conditions suggest caution. The negative P/E ratio further reflects the company's valuation challenges.

Esprit Holdings Business Overview & Revenue Model

Company Description

Esprit Holdings Limited, an investment holding company, engages in the retail and wholesale distribution, and licensing of fashion and non-apparel products. The company offers apparels, accessories, lifestyle, and other products for women, men, and kids under the Esprit and edc brand names. It operates through retail stores, wholesale partners, and online platforms. Esprit Holdings Limited was founded in 1968 and is headquartered in North Point, Hong Kong.

How the Company Makes Money

Esprit Holdings generates revenue primarily through the sale of its fashion products across various channels, including brick-and-mortar retail stores, franchise locations, and online platforms. The company operates a direct-to-consumer model, which allows it to capture a larger share of the retail margin by selling directly to customers. Additionally, Esprit earns revenue from wholesale operations by supplying its products to third-party retailers. Key revenue streams include sales from clothing and accessories, with a focus on seasonal collections that attract repeat customers. Partnerships with various distributors and franchisees also play a crucial role in expanding its market reach. Factors contributing to its earnings include brand recognition, effective marketing strategies, and the ability to adapt to changing fashion trends.

Esprit Holdings Financial Statement Overview

Summary

Esprit Holdings faces significant financial challenges, with declining revenues, negative profitability, and strained cash flows. The company's financial position is weakened by ongoing losses and limited growth prospects. While the balance sheet shows manageable leverage, the overall financial health is concerning due to persistent negative margins and cash flow issues.

Income Statement

Esprit Holdings has experienced significant revenue decline, with a drastic drop in revenue growth rate and negative net profit margins over the years. The company shows a severe deterioration in profitability, as indicated by negative EBIT and EBITDA margins. These factors highlight substantial challenges in maintaining revenue and controlling costs.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, indicating some leverage but not excessively high. However, the return on equity is negative, reflecting poor profitability relative to shareholder equity. The equity ratio is relatively stable, but overall financial health is weakened by ongoing losses.

Cash Flow

Cash flow analysis reveals negative free cash flow growth and a mixed operating cash flow to net income ratio. While there is some improvement in operating cash flow, the overall cash flow situation remains strained, with limited ability to generate positive cash flow from operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.44B	42.00M	5.91B	7.06B	8.32B	1.77B
Gross Profit	91.00M	41.00M	2.42B	1.01B	2.19B	42.00M
EBITDA	-1.38B	-75.00M	-1.84B	72.00M	1.12B	-5.32B
Net Income	-1.68B	-1.23B	-2.34B	-664.00M	381.00M	-828.00M
Balance Sheet
Total Assets	904.00M	416.00M	5.76B	8.66B	10.05B	10.35B
Cash, Cash Equivalents and Short-Term Investments	62.00M	79.00M	435.00M	2.01B	2.65B	2.27B
Total Debt	341.00M	125.00M	1.96B	2.05B	2.63B	3.06B
Total Liabilities	790.00M	239.00M	3.80B	4.43B	4.93B	6.11B
Stockholders Equity	114.00M	177.00M	1.97B	4.24B	5.12B	4.24B
Cash Flow
Free Cash Flow	-408.00M	76.00M	-905.00M	114.00M	513.00M	-126.00M
Operating Cash Flow	-367.00M	84.00M	-804.00M	200.00M	558.00M	-118.00M
Investing Cash Flow	-371.00M	-333.00M	-134.00M	-88.00M	-37.00M	139.00M
Financing Cash Flow	-503.00M	-104.00M	-658.00M	-669.00M	-29.00M	-152.00M

Esprit Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.38
• 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:0330, the sentiment is Neutral. The current price of 1.38 is below the 20-day moving average (MA) of 1.48, above the 50-day MA of 1.19, and above the 200-day MA of 1.15, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 51.56 is Neutral, neither overbought nor oversold. The STOCH value of 25.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0330.

Esprit Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0709	75 Outperform	2.59B	11.62	10.81%	8.44%	3.78%	-21.19%
3709	74 Outperform	5.53B	10.85	10.39%	4.69%	-7.34%	-28.66%
0483	69 Neutral	108.38M	9.28	6.64%	―	0.78%	863.64%
1817	61 Neutral	380.00M	10.53	4.21%	―	-7.95%	98.95%
0330	46 Neutral	$413.30M	―	-90.66%	―	―	―
2528	46 Neutral	96.00M	-5.41	0.00%	―	-5.89%	71.06%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Esprit Holdings Corporate Events

Esprit Holdings Announces Capital Reorganization Proposal

Esprit Holdings Limited has announced a special general meeting to discuss a significant capital reorganization. The proposed changes include consolidating every ten issued and unissued ordinary shares into one share, reducing the issued share capital, and sub-dividing the authorized but unissued shares. This reorganization aims to streamline the company’s share structure, potentially impacting its market positioning and shareholder value.

Esprit Holdings Announces Annual General Meeting and Key Resolutions

Esprit Holdings Limited has announced its upcoming annual general meeting scheduled for August 21, 2025, in Hong Kong. Key agenda items include the re-election of directors, re-appointment of auditors, and resolutions for share repurchase and issuance. These decisions aim to strengthen the company’s governance and financial strategies, potentially impacting shareholder value and market positioning.

Esprit Holdings Announces Capital Reorganisation and Board Lot Size Change

Esprit Holdings has announced a proposed capital reorganisation plan that includes a share consolidation and a change in board lot size. The share consolidation will convert every ten existing shares into one consolidated share, followed by a capital reduction and share sub-division. The board lot size for trading on the Stock Exchange will change from 2,500 existing shares to 10,000 new shares. This reorganisation aims to streamline the company’s share structure and potentially enhance trading liquidity. Shareholders will vote on the proposal at a special general meeting, and the changes are subject to certain conditions being met.

Esprit Holdings Reports Reduced Losses Amidst Revenue Decline

Esprit Holdings Limited announced its annual financial results for the year ending December 31, 2024, reporting a significant reduction in losses compared to the previous year. Despite a decrease in revenue from continuing operations, the company managed to improve its gross profit and reduce its overall loss, signaling potential stabilization in its financial performance. However, the company still faces challenges with substantial losses from discontinued operations, impacting its overall profitability.

Esprit Holdings Delays 2024 Results, Trading Suspension Continues

Esprit Holdings Limited has announced a further delay in the publication of its 2024 audited annual results and the dispatch of its 2024 annual report, now expected by the end of June and July 2025, respectively. This delay has resulted in the continued suspension of trading of the company’s shares on the Hong Kong Stock Exchange, impacting stakeholders and requiring additional time for auditors to gather necessary information.