Pacific Century Premium Developments Limited (0432) AI Stock Analysis

• Market Cap: HK$397.46M
• Dividend Yield: N/A
• Average Volume (3M): 251.07K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.49
• Revenue Growth: 19.34%
• EPS Growth: 18.13%
• Country: HK
• Employees: 1,403
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): -0.12
• Shares Outstanding: 2,038,236,700
• 10 Day Avg. Volume: 187,701
• 30 Day Avg. Volume: 251,069
• PEG Ratio: 0.03
• Price to Book (P/B): -5.93
• Price to Sales (P/S): 0.44
• P/FCF Ratio: -2.74
• 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: 44 Neutral
• Price Target: HK$0.19 ▼(-4.00% Downside)

The overall stock score is primarily impacted by significant financial challenges, including high leverage and negative cash flows. Technical analysis provides a neutral outlook, while valuation remains unattractive due to negative earnings and no dividend yield.

Positive Factors

Revenue Growth

The company has demonstrated strong revenue growth, indicating successful market expansion and increased demand for its premium properties.

Market Position

The company's strategic focus on high-end market segments in Asia positions it well to capitalize on growing demand for luxury real estate in the region.

Strategic Partnerships

Collaborations with local and international developers strengthen the company's portfolio, providing a competitive edge and diversified revenue streams.

Negative Factors

High Leverage

High leverage can lead to financial instability, increasing the risk of insolvency and limiting the company's ability to invest in growth opportunities.

Negative Cash Flow

Negative cash flow indicates liquidity challenges, which can constrain the company's operational flexibility and ability to meet financial obligations.

Negative Profit Margin

Ongoing net losses and negative profit margins highlight challenges in achieving profitability, potentially impacting long-term sustainability.

Pacific Century Premium Developments Limited Business Overview & Revenue Model

Company Description

Pacific Century Premium Developments Limited (0432) is a prominent property development and investment company based in Hong Kong. It operates primarily in the real estate sector, focusing on premium residential, commercial, and mixed-use developments. The company is known for its commitment to creating high-quality living and working environments, often incorporating innovative design and sustainability into its projects.

How the Company Makes Money

The company generates revenue primarily through the sale and leasing of developed properties. Key revenue streams include residential sales from high-end apartments, commercial leasing from office spaces, and retail developments. Additionally, Pacific Century Premium Developments may engage in joint ventures and partnerships with other real estate firms, leveraging shared resources and expertise to enhance profitability. The company's strategic focus on premium developments positions it well in the lucrative market of luxury real estate, contributing significantly to its earnings.

Pacific Century Premium Developments Limited Financial Statement Overview

Summary

The company faces significant financial challenges, including ongoing net losses, high leverage, and deteriorating cash flows. Despite recent revenue growth, profitability remains elusive, and the financial health is weakened by negative equity and liquidity concerns.

Income Statement

The company has experienced fluctuating revenue trends with a recent increase in revenue from 2023 to 2024. However, the net profit margin remains negative due to persistent net losses, indicating challenges in achieving profitability. Although EBITDA has shown improvement, EBIT is still at zero, suggesting ongoing operational inefficiencies.

Balance Sheet

The balance sheet reveals significant leverage with a high debt-to-equity ratio, indicating potential financial instability. Negative stockholders' equity in 2024 raises concerns about solvency. The equity ratio is non-calculable due to the negative equity position, reflecting financial vulnerability.

Cash Flow

Cash flow analysis shows a troubling decline in operating cash flow, turning negative in 2024, which can strain liquidity. The free cash flow has decreased significantly from 2023 to 2024, highlighting potential cash management issues. The operating cash flow to net income ratio is not meaningful due to negative net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.09B	901.00M	822.00M	561.00M	467.00M	1.84B
Gross Profit	757.00M	620.00M	547.00M	137.00M	97.00M	449.00M
EBITDA	360.00M	281.00M	105.00M	-6.00M	-141.00M	-218.00M
Net Income	-326.00M	-230.00M	-466.00M	-598.00M	-825.00M	-749.00M
Balance Sheet
Total Assets	11.14B	10.87B	11.03B	11.29B	15.05B	12.99B
Cash, Cash Equivalents and Short-Term Investments	707.00M	659.00M	865.00M	1.34B	3.58B	1.20B
Total Debt	10.36B	9.89B	9.48B	9.01B	11.37B	8.24B
Total Liabilities	11.05B	10.80B	10.34B	10.08B	12.50B	9.65B
Stockholders Equity	-52.00M	-67.00M	549.00M	1.08B	2.41B	3.21B
Cash Flow
Free Cash Flow	-605.00M	-145.00M	171.00M	45.00M	-656.00M	448.00M
Operating Cash Flow	-548.00M	-75.00M	245.00M	101.00M	-394.00M	647.00M
Investing Cash Flow	-63.00M	-73.00M	16.00M	1.80B	-2.20B	-211.00M
Financing Cash Flow	708.00M	-79.00M	9.00M	-2.76B	2.95B	-623.00M

Pacific Century Premium Developments Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.20
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0432, the sentiment is Negative. The current price of 0.2 is above the 20-day moving average (MA) of 0.20, above the 50-day MA of 0.20, and below the 200-day MA of 0.20, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 47.49 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0432.

Pacific Century Premium Developments Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2205	73 Outperform	HK$490.00M	11.65	5.26%	8.29%	-5.08%	27.33%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
3662	63 Neutral	HK$326.81M	7.67	3.28%	6.52%	-14.43%	-77.55%
9982	62 Neutral	HK$425.22M	7.01	2.19%	―	5.32%	9.79%
0021	54 Neutral	HK$381.62M	-11.03	-4.27%	―	1303.01%	-45.00%
0432	44 Neutral	HK$397.46M	-1.23	―	―	19.34%	18.13%

Pacific Century Premium Developments Limited Corporate Events

Pacific Century Premium Developments Enhances Audit Committee Framework

Pacific Century Premium Developments Limited has revised the terms of reference for its Audit Committee, emphasizing the enhancement of financial reporting credibility, risk management, and corporate governance standards. This move is likely to strengthen the company’s compliance with regulatory obligations and improve its internal control systems, thereby positively impacting its operational integrity and stakeholder confidence.

Pacific Century Premium Developments Updates Nomination Committee Terms

Pacific Century Premium Developments Limited has revised the terms of reference for its Nomination Committee, which was initially established in 2004. The committee’s main role is to ensure a fair and transparent process for appointing directors, maintaining a diverse and skilled board, and aligning with the company’s strategic needs. The committee is empowered to seek information, obtain external advice, and make recommendations on board composition, director appointments, and succession planning, thereby reinforcing the company’s governance framework.

PCPD Updates Remuneration Committee Terms to Enhance Transparency

Pacific Century Premium Developments Limited has revised the terms of reference for its Remuneration Committee, emphasizing transparent procedures in developing remuneration policies and overseeing executive compensation. This move is designed to ensure effective administration of the company’s share option and incentive schemes, potentially impacting executive management and aligning with corporate governance standards.