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BC Technology Group Limited (HK:0863)
:0863
Hong Kong Market
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BC Technology Group Limited (0863) AI Stock Analysis

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HK:0863

BC Technology Group Limited

(0863)

Rating:51Neutral
Price Target:
HK$15.00
▲(0.54% Upside)
The overall score reflects strong revenue growth and improving profitability tempered by high valuation and negative cash flow concerns. Technical indicators suggest potential for recovery, but the elevated P/E ratio presents a significant risk if growth expectations are not met.

BC Technology Group Limited (0863) vs. iShares MSCI Hong Kong ETF (EWH)

BC Technology Group Limited Business Overview & Revenue Model

Company DescriptionBC Technology Group Limited (0863) is a Hong Kong-based investment holding company primarily engaged in the digital asset business. The company operates through its subsidiaries, offering a range of services including digital asset trading, brokerage, and technology solutions. BC Technology Group is known for its OSL platform, which is a leading digital asset platform in Asia, providing a secure and compliant environment for trading cryptocurrencies and other digital assets.
How the Company Makes MoneyBC Technology Group Limited makes money through a variety of revenue streams centered around its digital asset services. The company's primary source of income is derived from transaction fees charged to users trading on its OSL platform. Additionally, BC Technology Group generates revenue from its brokerage services, where it earns commissions by facilitating trades for institutional clients. The company also monetizes its technology solutions by licensing its proprietary trading technology and providing software as a service (SaaS) to other financial institutions. Strategic partnerships with other financial entities enhance its service offerings and expand its market reach, contributing to its overall earnings.

BC Technology Group Limited Financial Statement Overview

Summary
BC Technology Group Limited shows promising top-line growth and a return to profitability, with improved margins and a solid capital structure. However, ongoing cash flow challenges and historical equity volatility suggest areas for caution. Continued focus on operational efficiencies and cash management will be key to sustaining financial stability and growth.
Income Statement
72
Positive
The company achieved significant revenue growth of 78.58% from 2023 to 2024, indicating robust top-line expansion. Gross profit margin improved to 48.52%, up from 91.60% last year. The net profit margin turned positive at 12.71%, a stark improvement from negative margins in previous years, showing enhanced profitability. However, EBIT and EBITDA margins remain areas for improvement, with EBIT margin at 12.64% and EBITDA margin at 23.98%. Overall, the income statement reflects strong revenue growth and a return to profitability, albeit with room for margin enhancement.
Balance Sheet
65
Positive
The company's balance sheet shows a favorable debt-to-equity ratio of 0.05, indicating low leverage. Return on equity has turned positive at 3.69%, reflecting improved earnings relative to equity. The equity ratio stands at 69.36%, suggesting a strong capital structure. While these metrics indicate a stable financial position, the substantial fluctuations in stockholders' equity over the years signal potential volatility. Overall, the balance sheet is strong, but historical volatility warrants monitoring.
Cash Flow
50
Neutral
Operating cash flow remains negative at -319.76 million, but financing cash flow has strongly supported liquidity with 695.9 million. Free cash flow remains negative at -322.81 million, reflecting ongoing cash utilization. The operating cash flow to net income ratio is negative, indicating challenges in converting earnings into cash. Despite improved financing activities, persistent negative cash flows highlight a need for better cash management and operational efficiency.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue374.75M209.84M115.84M352.02M256.90M
Gross Profit181.86M192.24M92.53M302.63M207.09M
EBITDA89.90M-185.82M-486.24M-262.47M-182.67M
Net Income47.65M-263.86M-550.11M-369.24M
Balance Sheet
Total Assets1.86B1.44B2.51B5.28B4.04B
Cash, Cash Equivalents and Short-Term Investments812.41M218.66M1.01B954.52M414.01M
Total Debt58.82M17.35M139.75M275.18M757.18M
Total Liabilities579.37M1.05B1.85B4.09B3.88B
Stockholders Equity1.29B411.74M672.10M1.19B169.27M
Cash Flow
Free Cash Flow-322.81M-686.40M169.23M-461.98M
Operating Cash Flow-319.76M-686.40M171.07M-415.34M
Investing Cash Flow3.19M6.30M14.96M-104.32M
Financing Cash Flow695.90M-80.94M-124.50M1.06B251.18M

BC Technology Group Limited Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price14.92
Price Trends
50DMA
14.88
Positive
100DMA
12.55
Positive
200DMA
10.27
Positive
Market Momentum
MACD
0.16
Positive
RSI
43.82
Neutral
STOCH
21.56
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0863, the sentiment is Neutral. The current price of 14.92 is below the 20-day moving average (MA) of 17.32, above the 50-day MA of 14.88, and above the 200-day MA of 10.27, indicating a neutral trend. The MACD of 0.16 indicates Positive momentum. The RSI at 43.82 is Neutral, neither overbought nor oversold. The STOCH value of 21.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0863.

BC Technology Group Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (57)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
HK$11.17B16.986.90%2.20%-17.90%136.68%
61
Neutral
HK$8.23B27.323.47%-28.64%-40.36%
57
Neutral
HK$14.13B9.47-2.83%4.86%9.29%-48.65%
52
Neutral
HK$7.52B-77.88%-41.17%-103.00%
51
Neutral
HK$9.61B207.176.56%78.59%
49
Neutral
HK$6.27B-3.94%3.07%-14.05%68.56%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0863
BC Technology Group Limited
15.33
10.10
193.12%
HK:9878
Huitongda Network Co., Ltd. Class H
15.00
-6.50
-30.23%
HK:0909
Ming Yuan Cloud Group Holdings Limited
3.35
1.78
113.38%
HK:1675
AsiaInfo Technologies Limited
11.08
6.59
146.72%
HK:2013
Weimob
2.10
0.91
76.47%

BC Technology Group Limited Corporate Events

OSL Group Limited Announces Board Changes
Jul 31, 2025

OSL Group Limited, a company incorporated in the Cayman Islands, has announced a change in its board of directors and board committees. Mr. Jia Hang has been appointed as the new independent non-executive director, replacing Mr. Xu Biao, who resigned to focus on personal commitments. Mr. Jia, with extensive experience in the financial technology sector, will also join several board committees, including the Audit, Nomination, Risk Management, and Remuneration Committees. This appointment is expected to strengthen the company’s leadership and strategic direction.

OSL Group Limited Announces New Board of Directors
Jul 31, 2025

OSL Group Limited, a company incorporated in the Cayman Islands, has announced changes to its board of directors effective from August 1, 2025. The new board structure includes Mr. Lee Kam Hung Lawrence as the Chairman and Mr. Cui Song as the Chief Executive Officer, among other executive and non-executive directors. These changes are expected to influence the company’s governance and strategic direction, potentially impacting its market positioning and stakeholder relationships.

BC Technology Group Announces Major Share Placement and Subscription
Jul 25, 2025

BC Technology Group Limited, through its subsidiary OSL Group Limited, is involved in financial services and capital markets, focusing on share placements and subscriptions. The company announced a significant financial maneuver involving the placement of existing shares and the subscription of new shares under both general and specific mandates, expected to raise approximately HK$2,355.03 million. This move is likely to impact the company’s market positioning by increasing its capital base and potentially attracting new investors, thereby enhancing its financial flexibility and growth prospects.

BC Technology Group to Acquire Crypto Infrastructure Leader Banxa
Jun 27, 2025

BC Technology Group Limited, through its indirect wholly-owned subsidiary, has entered into an agreement to acquire all shares of Banxa, a leading infrastructure provider in the crypto economy, for approximately CAD85.2 million. This acquisition aligns with BC Technology Group’s strategy to expand globally in the digital asset industry, enhancing its market position and operational capabilities. The transaction is considered a major one under the Listing Rules and requires shareholder approval, with no material interest from existing shareholders noted.

OSL Group Secures Shareholder Approval at AGM
Jun 27, 2025

BC Technology Group Limited, operating under the OSL Group, held its Annual General Meeting on June 27, 2025, where all proposed resolutions were approved. This included the adoption of financial statements, re-election of directors, and appointment of auditors. The successful passage of these resolutions reflects strong shareholder support and positions the company for continued stability and governance in its operations.

OSL Group Limited Releases CEO Emolument Details for 2024
Jun 25, 2025

OSL Group Limited, listed on the Hong Kong Stock Exchange, has issued a supplemental announcement regarding the emoluments of its Chief Executive Officer, Mr. Cui Song, for the year ended 31 December 2024. The announcement provides detailed compensation information, including salaries, allowances, and pension contributions, amounting to HK$1,960,000. This supplemental information does not alter any other details in the 2024 Annual Report.

BC Technology Group’s Strategic Acquisition and Valuation Insights
Jun 20, 2025

BC Technology Group Limited, through its subsidiary OSL Group Limited, is involved in a significant acquisition, purchasing 90% of the issued shares of a target company. The acquisition’s valuation, approximately US$15.17 million, was determined using the discounted cash flow method, reflecting the future earnings potential of the target group, which is in the early stages of development. This method considers factors such as the expansion of the crypto market in Indonesia, growth in registered users, and the target group’s marketing strategies and management expertise.

OSL Group Limited Proposes Change of Auditor to Deloitte
Jun 5, 2025

OSL Group Limited, a company incorporated in the Cayman Islands and listed on the Hong Kong Stock Exchange, announced a proposed change of auditor. The current auditor, PricewaterhouseCoopers, will retire after the upcoming annual general meeting in June 2025. The Board, with the Audit Committee’s recommendation, proposes appointing Deloitte Touche Tohmatsu as the new auditor, citing their experience, resources, and independence as key factors for the selection. This change aims to enhance the independence of the external audit, which is considered beneficial for the company and its shareholders.

OSL Group Limited Announces Annual General Meeting for Strategic Decisions
Jun 5, 2025

BC Technology Group Limited has announced the upcoming annual general meeting of its subsidiary, OSL Group Limited, to be held on June 27, 2025. Key agenda items include the adoption of the 2024 financial statements, re-election of directors, appointment of auditors, and authorization for directors to issue additional shares. This meeting is crucial for stakeholders as it will determine the company’s future governance structure and financial strategies.

BC Technology Group to Acquire Majority Stake in Target Company
Jun 2, 2025

BC Technology Group Limited, through its wholly-owned subsidiary, has entered into a Share Purchase Agreement to acquire 90% of the issued shares of a target company for approximately US$15 million. This acquisition will be settled through the issuance of new shares under the company’s General Mandate, which allows for the issuance of up to 20% of the company’s share capital. The transaction will result in the target company becoming an indirect subsidiary, with its financial results consolidated into BC Technology Group’s financial statements. This strategic acquisition is expected to enhance the company’s market position and operational capabilities.

BC Technology Group Adjusts Europe Acquisition Strategy Amid Regulatory Changes
May 23, 2025

BC Technology Group Limited, through its subsidiary OSL Group Limited, operates in the digital assets and blockchain platform industry, focusing on the exchange, purchase, and sale of cryptocurrencies in Europe. The company announced a revised strategy for its Europe Acquisition due to regulatory changes in Lithuania, opting to purchase Customer Agreements instead of the entire corporate capital of its Lithuanian subsidiary. This approach allows the company to efficiently acquire core assets, accelerate customer initiatives, and enhance revenue potential while shifting the burden of regulatory compliance and customer consent to the vendor.

OSL Group Limited Announces Share Grant Under 2025 Scheme
May 13, 2025

BC Technology Group Limited, operating under OSL Group Limited, has announced the grant of 3,406,250 awarded shares to 26 eligible participants as part of its 2025 Share Award Scheme. This initiative, which involves key company executives and employees, aims to incentivize and retain talent by offering shares at no purchase price, with a vesting period ranging from 12 to 28 months.

OSL Group Limited Approves 2025 Share Award Scheme at EGM
May 8, 2025

OSL Group Limited announced that all resolutions proposed at its extraordinary general meeting on May 8, 2025, were approved by shareholders. This includes the adoption of the 2025 Share Award Scheme, which allows the company to issue shares and make necessary amendments to the scheme as per regulatory requirements. The approval of this scheme is expected to enhance the company’s ability to attract and retain talent, thereby strengthening its position in the competitive digital asset trading industry.

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: Aug 02, 2025