Sino ICT Holdings Limited (0365) AI Stock Analysis

• Market Cap: HK$429.22M
• Dividend Yield: N/A
• Average Volume (3M): 635.87K
• Price to Earnings (P/E): ―
• Beta (1Y): 4.71
• Revenue Growth: 18.71%
• EPS Growth: 61.54%
• Country: HK
• Employees: 337
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): <0.01
• Shares Outstanding: 1,455,000,000
• 10 Day Avg. Volume: 782,000
• 30 Day Avg. Volume: 635,866
• 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: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: HK$0.50
• Price Target Upside: 66.67% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 54 Neutral
• Price Target: HK$0.50 ▲(66.67% Upside)

The overall stock score of 54 reflects a mixed outlook. The most significant factor is the company's financial performance, which is challenged by profitability issues and high leverage. Technical analysis shows strong bullish momentum, but the stock is overbought. Valuation concerns due to negative earnings further weigh on the score.

Positive Factors

Revenue Growth

The company has shown consistent revenue growth, which indicates a strong demand for its products and services, potentially leading to increased market share and long-term business sustainability.

Cash Position

A strong cash position provides financial flexibility, allowing the company to invest in growth opportunities, manage debt obligations, and navigate economic uncertainties effectively.

Operating Cash Flow Improvement

Positive operating cash flow indicates improved efficiency in core business operations, enhancing the company's ability to reinvest in growth and improve financial health over the long term.

Negative Factors

Profitability Challenges

Ongoing profitability issues can hinder the company's ability to reinvest in growth and may affect long-term financial stability, requiring strategic cost management and pricing adjustments.

High Debt-to-Equity Ratio

A high debt-to-equity ratio indicates reliance on debt financing, which can limit financial flexibility and increase risk, especially if revenue growth does not translate into improved profitability.

Declining Gross Profit Margin

A declining gross profit margin suggests pressure on cost management or pricing strategy, which can impact the company's ability to sustain profitability and competitive advantage over time.

Sino ICT Holdings Limited Business Overview & Revenue Model

Company Description

Sino ICT Holdings Limited, an investment holding company, produces and sells SMT equipment in the People's Republic of China and Hong Kong. It is also involved in the securities investment business; and provision of semiconductor packaging equipment and financial solutions. The company was formerly known as Unisplendour Technology (Holdings) Limited and changed its name to Sino ICT Holdings Limited in December 2019. The company was founded in 1984 and is based in Tsim Sha Tsui, Hong Kong. Sino ICT Holdings Limited is a subsidiary of Sino Xin Ding Limited.

How the Company Makes Money

Sino ICT Holdings Limited generates revenue primarily through its electronics manufacturing services, where it provides manufacturing solutions for electronic products. The company also earns income from its property development segment, which involves the development and sale of residential and commercial properties. Additionally, Sino ICT Holdings Limited benefits from investment returns through its strategic investment holdings.

Sino ICT Holdings Limited Financial Statement Overview

Summary

Sino ICT Holdings Limited is experiencing revenue growth, but persistent profitability challenges and a high debt-to-equity ratio pose significant risks. The company needs to improve its cost structure and cash flow generation to enhance financial stability.

Income Statement

Sino ICT Holdings Limited has experienced fluctuating revenue growth, with a recent increase of 16.6% from 2023 to 2024. However, the company has been facing persistent profitability challenges, as evidenced by negative EBIT and net income margins over the past few years. The gross profit margin has declined from 43.9% in 2021 to 24.8% in 2024, indicating pressure on cost management or pricing strategy.

Balance Sheet

The company's balance sheet shows a moderate debt-to-equity ratio of 2.19 in 2024, indicating a reliance on debt financing. The equity ratio has decreased to 24.5% in 2024, reflecting a reduced proportion of equity financing. Return on equity is negative due to ongoing net losses, highlighting profitability concerns. However, the company maintains a strong cash position, which could provide some financial flexibility.

Cash Flow

Sino ICT Holdings Limited has shown improvement in operating cash flow, turning positive in 2024. However, free cash flow remains negative, indicating challenges in generating sufficient cash after capital expenditures. The operating cash flow to net income ratio is positive, suggesting some efficiency in cash generation relative to reported losses, but the free cash flow to net income ratio remains negative.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	237.36M	247.04M	211.79M	231.62M	322.98M	270.56M
Gross Profit	71.99M	61.38M	61.37M	94.99M	141.83M	134.48M
EBITDA	43.40M	10.12M	10.44M	492.00K	71.71M	50.33M
Net Income	-50.72M	-29.72M	-62.51M	-33.09M	38.28M	19.65M
Balance Sheet
Total Assets	976.45M	923.85M	960.50M	1.16B	759.62M	753.21M
Cash, Cash Equivalents and Short-Term Investments	180.83M	206.34M	183.28M	273.53M	309.15M	160.24M
Total Debt	483.35M	494.92M	449.91M	492.97M	106.13M	112.72M
Total Liabilities	748.46M	738.92M	706.92M	804.22M	411.03M	443.99M
Stockholders Equity	251.90M	226.13M	261.75M	316.96M	348.59M	309.21M
Cash Flow
Free Cash Flow	47.51M	-7.28M	-32.13M	-374.52M	107.44M	-48.14M
Operating Cash Flow	47.51M	4.03M	3.17M	-86.06M	113.55M	-39.14M
Investing Cash Flow	-29.58M	-10.70M	-34.64M	-309.63M	236.64M	126.83M
Financing Cash Flow	-15.29M	30.71M	-57.42M	375.52M	-161.36M	-14.56M

Sino ICT Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.30
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0365, the sentiment is Positive. The current price of 0.3 is above the 20-day moving average (MA) of 0.28, above the 50-day MA of 0.26, and above the 200-day MA of 0.22, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 62.11 is Neutral, neither overbought nor oversold. The STOCH value of 37.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0365.

Sino ICT Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3348	65 Neutral	HK$550.00M	6.30	8.36%	4.13%	-21.28%	-29.40%
Sector *	64 Neutral	$10.84B	15.28	7.40%	1.99%	2.87%	-14.59%
0365	54 Neutral	HK$429.22M	―	-5.21%	―	18.71%	61.54%
DKC	―	€38.98M	1.53	-2.06%	―	―	―
3302	49 Neutral	HK$142.66M	―	-10.85%	―	-0.51%	-922.95%
1645	44 Neutral	HK$592.17M	―	-6.34%	―	-2.88%	44.39%
1673	39 Underperform	HK$338.38M	―	-1.94%	―	-14.00%	87.71%

Sino ICT Holdings Limited Corporate Events

Sino ICT Holdings Announces Director Resignation

Sino ICT Holdings Limited announced the resignation of Mr. Wang Yanxin as an independent non-executive director, effective August 1, 2025, due to personal reasons. The company expressed gratitude for Mr. Wang’s contributions and confirmed there are no disagreements or issues related to his departure that need to be addressed with shareholders or the stock exchange.

Sino ICT Holdings Limited Announces Board Composition and Committee Assignments

Sino ICT Holdings Limited has announced the composition of its board of directors, which includes executive, non-executive, and independent non-executive directors. The company has established three standing board committees: Audit, Remuneration, and Nomination, with specific directors assigned to each committee. This announcement provides clarity on the governance structure of the company, potentially impacting its operational oversight and strategic direction.

Sino ICT Holdings Reports Unanimous Approval of AGM Resolutions

Sino ICT Holdings Limited announced the successful passing of all proposed ordinary resolutions at its Annual General Meeting held on May 23, 2025. The resolutions included the adoption of financial statements, re-election of directors, and re-appointment of auditors, all of which received unanimous support from shareholders. This unanimous approval reflects strong shareholder confidence and stability in the company’s governance and strategic direction.

Sino ICT Holdings Announces Strategic Restructuring Through Tripartite Agreement

Sino ICT Holdings Limited has announced a tripartite agreement involving Suneast Intelligent Shenzhen, Sino IC Commercial Factoring, and Sino IC Commercial Factoring (Tianjin) as part of an internal restructuring. The agreement transfers rights and obligations under a previous factoring agreement to Sino IC Commercial Factoring (Tianjin), ensuring continuity in financial arrangements. This move is seen as beneficial for the company and its shareholders, aligning with normal commercial terms and fair practices.