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Imperium Technology Group Limited (HK:0776)
:0776
Hong Kong Market

Imperium Technology Group Limited (0776) AI Stock Analysis

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HK

Imperium Technology Group Limited

(0776)

Rating:38Underperform
Price Target:
HK$1.00
▲(8.70%Upside)
The low overall stock score is primarily driven by the company's poor financial performance, marked by declining revenues, persistent losses, and a weak balance sheet. Technical analysis indicates a bearish trend with all indicators pointing to further downside risk. Valuation metrics are unfavorable, with a negative P/E ratio and no dividend yield, further decreasing investment attractiveness.

Imperium Technology Group Limited (0776) vs. iShares MSCI Hong Kong ETF (EWH)

Imperium Technology Group Limited Business Overview & Revenue Model

Company DescriptionImperium Technology Group Limited, an investment holding company, manufactures and sells household furnishing products and accessories. The company operates through six segments: Game Publishing, Cloud Computing and Data Storage, Esports, Household Products, Property Investment, and Money Lending. It produces stainless steel home furnishing products for kitchens and bathrooms; and offers diversified financial products, including personal loans, home mortgages, equity financing and mortgage, and corporate finance. The company is also involved in cryptocurrency mining and rental of machines to customers to engage in cryptocurrency mining; and participating in esports competitions, streaming and marketing events, and merchandise sales. In addition, it invests in properties; and designs and develops mobile and computer games in Hong Kong, the People's Republic of China, East and South Asia, and internationally. The company was formerly known as Imperium Group Global Holdings Limited and changed its name to Imperium Technology Group Limited in July 2021. Imperium Technology Group Limited was founded in 1999 and is based in Kwun Tong, Hong Kong. Imperium Technology Group Limited is a subsidiary of Diamond State Holdings Limited.
How the Company Makes MoneyImperium Technology Group Limited generates revenue through multiple streams, primarily focusing on its gaming and electronics divisions. The company earns money by developing and distributing video games, which are sold directly to consumers and through partnerships with gaming platforms. Additionally, the company manufactures and sells electronic components and devices. Revenue is also generated from cloud computing services offered to businesses, which include data storage and processing solutions. Strategic partnerships with other technology firms and a commitment to innovation play significant roles in driving the company's earnings.

Imperium Technology Group Limited Financial Statement Overview

Summary
The company exhibits significant financial challenges, including declining revenues, persistent net losses, negative equity, and a lack of positive cash flow. These factors indicate substantial financial instability and potential insolvency risk.
Income Statement
30
Negative
The company has experienced a significant decline in revenue over recent years, with a revenue decrease from 186.36M in 2020 to 51.51M in 2024. The gross profit margin improved to 39.4% in 2024 but has been inconsistent historically. Net profit margins remain negative, indicating unprofitability, with a net income loss of 43.19M in 2024. EBIT and EBITDA margins are also negative, further highlighting operational challenges.
Balance Sheet
20
Very Negative
The balance sheet reveals a concerning financial structure with negative stockholders' equity of -181.87M in 2024, indicating insolvency risk. The debt-to-equity ratio is not meaningful due to negative equity, and total debt has consistently exceeded total assets. The equity ratio is negative, suggesting high financial leverage and potential liquidity issues.
Cash Flow
10
Very Negative
Cash flow analysis shows a lack of positive operating cash flow, with operating and free cash flows at zero in 2024. Historical cash flows indicate persistent negative free cash flow, and the company is unable to generate sufficient cash from operations to cover capital expenditures, posing significant liquidity risks.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue51.51M72.56M133.10M161.12M186.36M
Gross Profit20.29M10.64M20.42M19.21M10.41M
EBITDA-10.80M-67.91M-119.74M-54.45M-52.33M
Net Income-43.20M-127.73M-180.35M-100.38M-81.87M
Balance Sheet
Total Assets87.16M100.93M246.42M288.49M223.77M
Cash, Cash Equivalents and Short-Term Investments17.98M10.19M49.09M65.70M55.15M
Total Debt219.85M305.90M282.14M208.06M188.61M
Total Liabilities266.41M353.74M374.73M300.93M268.96M
Stockholders Equity-181.87M-252.58M-124.01M-14.65M-48.75M
Cash Flow
Free Cash Flow-22.67M-51.61M-65.79M-102.25M-38.34M
Operating Cash Flow-21.68M-51.43M-23.92M-54.26M-2.63M
Investing Cash Flow1.21M-5.43M-48.44M-46.05M-46.28M
Financing Cash Flow13.66M23.65M71.08M85.95M42.02M

Imperium Technology Group Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.92
Price Trends
50DMA
1.67
Negative
100DMA
1.95
Negative
200DMA
2.98
Negative
Market Momentum
MACD
-0.24
Positive
RSI
29.03
Positive
STOCH
21.67
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0776, the sentiment is Negative. The current price of 0.92 is below the 20-day moving average (MA) of 1.43, below the 50-day MA of 1.67, and below the 200-day MA of 2.98, indicating a bearish trend. The MACD of -0.24 indicates Positive momentum. The RSI at 29.03 is Positive, neither overbought nor oversold. The STOCH value of 21.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0776.

Imperium Technology Group Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
HK$498.75M3.6114.54%9.12%13.36%120.39%
67
Neutral
HK$421.11M9.316.70%19.05%-21.06%-33.38%
65
Neutral
HK$276.50M12.663.83%10.13%20.66%
62
Neutral
C$5.24B11.0818.82%3.79%5.08%6.52%
55
Neutral
HK$196.50M-12.11%13.56%9.26%-108.01%
46
Neutral
HK$375.38M1.33-3.70%-0.07%-148.33%
38
Underperform
HK$343.38M
-29.01%67.40%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0776
Imperium Technology Group Limited
0.92
-1.13
-55.12%
HK:0684
Allan International Holdings Limited
0.59
-0.25
-29.76%
HK:0229
Raymond Industrial Limited
0.84
-0.01
-1.18%
HK:1418
Sinomax Group Ltd.
0.28
0.16
133.33%
HK:2222
NVC International Holdings Ltd.
0.74
-0.17
-18.68%
HK:6822
King's Flair International (Holdings) Limited
0.40
0.05
14.29%

Imperium Technology Group Limited Corporate Events

Imperium Technology Announces Executive Director Resignation
Jul 3, 2025

Imperium Technology Group Limited announced the resignation of Mr. Cheng Ting Kong as an executive director and chairman of the board, effective July 3, 2025, due to other commitments. The company expressed gratitude for Mr. Cheng’s contributions, and his departure is not expected to cause any disagreements or issues requiring shareholder attention.

Imperium Technology Group Announces Board Composition
Jul 3, 2025

Imperium Technology Group Limited has announced the composition of its board of directors, detailing the roles and functions of each member. The board includes both executive and independent non-executive directors, with specific members serving on the audit, remuneration, and nomination committees, which may influence the company’s governance and strategic decision-making.

Imperium Technology Group Successfully Passes All AGM Resolutions
Jun 27, 2025

Imperium Technology Group Limited announced the successful passing of all resolutions at its Annual General Meeting held on June 27, 2025. The resolutions included approving the audited financial statements for 2024, re-electing directors, authorizing the board to fix directors’ remuneration, re-appointing auditors, and granting mandates related to share issuance and repurchase. These decisions are expected to strengthen the company’s governance and operational capabilities, enhancing its strategic positioning in the technology sector.

Imperium Technology Group Forms Nomination Committee to Enhance Board Governance
Jun 25, 2025

Imperium Technology Group Limited has established a Nomination Committee to identify and recommend candidates for its board of directors, oversee board performance evaluations, and develop nomination guidelines. The committee, composed mainly of independent non-executive directors, is tasked with ensuring board diversity and effectiveness, and it holds the authority to seek independent professional advice as needed.

Imperium Technology Completes Major Share Placement
May 30, 2025

Imperium Technology Group Limited announced the completion of a significant share placement by a controlling shareholder, resulting in the placement of 141,540,000 shares, which represents approximately 37.92% of the company’s issued share capital. This transaction, completed at a price of HK$0.65 per share, amounted to HK$92,001,000. Despite the share placement, the vendor retains a controlling stake in the company with 19.53% of the share capital. The placement did not result in any of the placees becoming substantial shareholders, maintaining the company’s existing shareholder structure. This strategic move is expected to impact the company’s market dynamics and shareholder composition.

Imperium Technology Group Schedules 2025 AGM with Key Resolutions
May 28, 2025

Imperium Technology Group Limited has announced its upcoming annual general meeting scheduled for June 27, 2025, in Hong Kong. The meeting will address several key resolutions, including the re-election of directors, the authorization of directors’ remuneration, and the re-appointment of auditors. Additionally, the company seeks approval to allot and issue additional shares, not exceeding 20% of the current shares in issue, which could impact its market positioning and shareholder value.

Imperium Technology Expands Share Placement Agreement
May 15, 2025

Imperium Technology Group Limited has announced a revision to its existing share placement agreement, increasing the number of shares available for placement from 93,310,000 to 145,000,000. This move, facilitated by Waton Securities International Limited, aims to optimize the company’s market positioning, although stakeholders are advised to exercise caution as the placement may not be fully executed.

Imperium Technology Announces Board and Committee Changes
May 8, 2025

Imperium Technology Group Limited, a company incorporated in the Cayman Islands, has announced changes in its board of directors and committees. With effect from May 8, 2025, Mr. Ting Wong Kacee and Mr. Tse Ting Kwan have resigned from their positions as independent non-executive directors and various committee roles due to other commitments. Ms. Han Pingping has been appointed as an independent non-executive director and will serve as chairman of the Remuneration Committee, and a member of both the Audit and Nomination Committees. This change reflects the company’s ongoing efforts to strengthen its governance structure.

Imperium Technology Group Announces Board Composition and Roles
May 8, 2025

Imperium Technology Group Limited has announced the composition of its board of directors, detailing the roles and functions of each member. This announcement provides clarity on the leadership structure and the distribution of responsibilities across the company’s audit, remuneration, and nomination committees, potentially impacting its governance and strategic direction.

Imperium Technology Revises Share Placing Agreement
Apr 23, 2025

Imperium Technology Group Limited has announced a supplemental agreement regarding the placing of existing shares by a controlling shareholder. The agreement involves revising the placing price to not less than HK$0.65 per share and extending the placing period to 30 May 2025. This move could impact the company’s market operations and investor relations, as the placing may not proceed as planned.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 01, 2025