Le Saunda Holdings (0738) AI Stock Analysis

• Market Cap: HK$169.41M
• Dividend Yield: N/A
• Average Volume (3M): 50.42K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.13
• Revenue Growth: -27.74%
• EPS Growth: -321.58%
• Country: HK
• Employees: 805
• Sector: Consumer Cyclical
• Sector Strength: 75
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): -0.10
• Shares Outstanding: 705,895,000
• 10 Day Avg. Volume: 56,820
• 30 Day Avg. Volume: 50,420
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: 1

• Rating: 43 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

Le Saunda Holdings is struggling with significant financial and technical challenges, reflected in its declining revenue, negative profitability, and bearish market indicators. The lack of earnings call data and notable corporate events leaves the financial and technical aspects as the primary influences on the stock's score.

Le Saunda Holdings Business Overview & Revenue Model

Company Description

Le Saunda Holdings (0738) is a Hong Kong-based investment holding company primarily engaged in the footwear and fashion accessories retailing sector. The company designs, develops, manufactures, and retails footwear products, including men's and women's shoes, under its own brand names. Le Saunda operates a network of retail stores in Mainland China and Macau, catering to a diverse customer base with a focus on fashion-forward and quality products.

How the Company Makes Money

Le Saunda Holdings generates revenue primarily through the retail sales of its footwear products in Mainland China and Macau. The company's revenue model is centered around its network of directly operated retail stores as well as e-commerce platforms, allowing it to reach a broad consumer audience. Le Saunda's earnings are influenced by factors such as consumer fashion trends, economic conditions in its key markets, and its ability to effectively manage its supply chain and inventory. Additionally, the company leverages partnerships with online platforms to enhance its sales channels and expand its market presence.

Le Saunda Holdings Financial Statement Overview

Summary

Le Saunda Holdings is facing significant financial challenges, with declining revenue and profitability over the years. Despite a solid equity base and low leverage, the company's cash flow issues and consistent losses pose a risk to its financial stability.

Income Statement

Le Saunda Holdings has experienced a significant decline in revenue over recent years, with a notable decrease from 2020 to 2025. The gross profit margin has also fallen, reflecting challenges in maintaining profitability. Additionally, the net profit margin has been negative for several periods, indicating consistent losses. While the company showed a positive EBITDA margin in 2022, it has since turned negative, further highlighting financial struggles.

Balance Sheet

The company's balance sheet shows a strong equity position, with a high equity ratio indicating financial stability. However, the return on equity is negative due to ongoing losses. The debt-to-equity ratio is low, suggesting low leverage, which is a positive aspect. Overall, the balance sheet reflects a solid capital structure despite profitability challenges.

Cash Flow

Le Saunda Holdings has struggled with cash flow management, highlighted by negative free cash flow in recent years. The operating cash flow to net income ratio is low, indicating inefficiencies in converting income to cash. The free cash flow to net income ratio also shows challenges in generating cash relative to earnings.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	294.10M	401.43M	413.23M	569.03M	594.22M
Gross Profit	143.21M	250.80M	269.23M	357.85M	355.32M
EBITDA	-80.97M	7.03M	-14.77M	57.94M	21.79M
Net Income	-100.78M	-23.54M	-51.27M	2.98M	106.15M
Balance Sheet
Total Assets	574.25M	744.08M	802.45M	888.09M	1.16B
Cash, Cash Equivalents and Short-Term Investments	327.91M	364.65M	371.61M	442.64M	754.88M
Total Debt	7.75M	20.46M	37.30M	67.51M	26.91M
Total Liabilities	90.84M	125.97M	138.81M	182.75M	147.13M
Stockholders Equity	483.41M	613.78M	655.52M	696.01M	997.68M
Cash Flow
Free Cash Flow	-1.42M	32.77M	-29.24M	-25.65M	87.25M
Operating Cash Flow	2.91M	42.26M	-12.85M	-4.25M	94.05M
Investing Cash Flow	5.67M	36.30M	-49.83M	-21.06M	240.86M
Financing Cash Flow	-47.28M	-59.25M	-47.07M	-294.16M	-53.57M

Le Saunda Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.24
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0738, the sentiment is Neutral. The current price of 0.24 is above the 20-day moving average (MA) of 0.24, above the 50-day MA of 0.24, and below the 200-day MA of 0.27, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 53.35 is Neutral, neither overbought nor oversold. The STOCH value of -1.39 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0738.

Le Saunda Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2683	82 Outperform	HK$322.81M	5.02	23.19%	8.86%	21.82%	125.68%
0210	74 Outperform	HK$979.41M	8.49		3.92%	―	―
1023	62 Neutral	HK$500.61M	5.10	-1.08%	11.54%	-4.68%	-112.44%
Sector *	56 Neutral	HK$25.46B	5.05	-2.69%	5.69%	-0.43%	-53.15%
1028	51 Neutral	HK$427.86M	8.17	3.77%	―	-11.44%	111.76%
0738	43 Neutral	HK$169.41M	―	-18.39%	―	-27.74%	-321.58%
8285	39 Underperform	HK$18.48M	―		―	-35.21%	-19.75%

Le Saunda Holdings Corporate Events

Le Saunda Holdings Passes All Resolutions at AGM

Le Saunda Holdings Limited announced that all proposed resolutions were successfully passed at their Annual General Meeting held on July 14, 2025. The resolutions included the re-election of directors, authorization for the board to appoint directors and fix their remuneration, re-appointment of PricewaterhouseCoopers as auditors, and granting mandates for share issuance and repurchase. These decisions reflect the company’s strategic direction and governance stability, potentially impacting shareholder confidence and market perception positively.

Le Saunda Holdings Schedules AGM to Discuss Key Resolutions

Le Saunda Holdings Limited has announced its upcoming Annual General Meeting (AGM) scheduled for July 14, 2025, in Hong Kong. Key agenda items include the adoption of the company’s audited financial statements, re-election of directors, and re-appointment of PricewaterhouseCoopers as the company’s auditor. Additionally, shareholders will consider resolutions related to the company’s share capital, including the revocation and granting of mandates to directors for share issuance. These decisions are crucial for the company’s governance and strategic direction, potentially impacting its market operations and stakeholder interests.

Le Saunda Holdings Reports Significant Revenue Decline in 2025

Le Saunda Holdings Limited announced its annual results for the year ended 28 February 2025, reporting a significant decline in revenue and gross profit compared to the previous year. The company experienced a 26.7% decrease in revenue and a 42.9% drop in gross profit, resulting in a substantial loss attributable to the owners of the company. This downturn reflects challenges in the market and may impact the company’s operational strategies and stakeholder interests moving forward.

Le Saunda Holdings to Review Annual Results and Dividend

Le Saunda Holdings Limited has announced an upcoming board meeting scheduled for May 26, 2025, where the board will approve the company’s final results for the year ending February 28, 2025, and consider the payment of a final dividend. This meeting is significant as it will determine the company’s financial outcomes and potential shareholder returns, impacting its market positioning and stakeholder interests.