Man Sang International (0938) AI Stock Analysis

• Market Cap: HK$249.17M
• Dividend Yield: N/A
• Average Volume (3M): 266.53K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.83
• Revenue Growth: -15.59%
• EPS Growth: 24.48%
• Country: HK
• Employees: 274
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): -0.03
• Shares Outstanding: 647,198,600
• 10 Day Avg. Volume: 526,581
• 30 Day Avg. Volume: 266,527
• PEG Ratio: -0.08
• Price to Book (P/B): -0.64
• Price to Sales (P/S): 4.65
• P/FCF Ratio: -12.79
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: HK$0.38 ▲(36.07% Upside)
• Action: Upgraded Date: 01/24/26
• Date: Action: Upgraded 01/24/26

The score is held down primarily by weak financial fundamentals—ongoing losses, negative operating/free cash flow, and a highly leveraged balance sheet with negative equity. Technicals provide some support with improving short-term momentum, but the longer-term trend remains weak. Valuation is not compelling given the negative P/E and lack of dividend yield data.

Positive Factors

Diversified sales channels and revenue streams

Multiple durable revenue channels—retail, wholesale and a robust e-commerce presence—reduce reliance on any single market and smooth revenue volatility. Manufacturer partnerships and private‑label initiatives create recurring sales opportunities and support long‑term market reach and resilience.

Improving gross margin with revenue growth

An improving gross margin (18.46%) alongside modest revenue growth signals operational leverage and better cost control at the gross level. If sustained, these improvements can support margin recovery and provide a structural base for eventual operating profitability over several quarters.

Strategic sourcing and manufacturer relationships

Strong sourcing relationships and competitive purchasing power provide a persistent advantage in pricing, product selection and access to exclusive lines. These capabilities support durable gross margins, inventory sourcing efficiency and the ability to scale assortments across channels over time.

Negative Factors

Highly leveraged balance sheet with negative equity

Negative equity and heavy leverage materially constrain financial flexibility, increase insolvency risk, and impair the company's ability to raise capital or invest. This structural weakness can limit long‑term strategic options and amplify downside in adverse market conditions.

Negative operating and free cash flow

Persistent negative operating and free cash flows undermine internal funding for working capital, capex and debt service, forcing reliance on external financing. Over months this elevates refinancing risk, restricts growth investment, and makes the business vulnerable to liquidity shocks.

Ongoing unprofitability and negative EBIT/EBITDA

Sustained negative net margin and negative EBIT/EBITDA indicate structural cost or scale issues; without turning operating profits the firm cannot rebuild equity or self‑fund growth. Prolonged losses degrade competitive position and heighten dependence on external capital.

Man Sang International Business Overview & Revenue Model

Company Description

Man Sang International Limited, an investment holding company, engages in the development, leasing, and sale of properties in the People's Republic of China. The company sells residential apartments; and leases serviced apartments and shopping mall. It also provides property management, as well as renovation and decoration services. In addition, Man Sang International Limited operates hotel in Japan. The company is based in Chai Wan, Hong Kong. Man Sang International Limited is a subsidiary of China DaDi Group Limited.

How the Company Makes Money

The company generates revenue through multiple streams, including direct sales of consumer products to retailers and wholesalers both domestically and internationally. E-commerce sales contribute significantly, as the company has established a robust online presence to reach a wider audience. Additionally, Man Sang International benefits from partnerships with manufacturers, which often lead to exclusive distribution rights for certain products, allowing for higher margins. The company may also engage in private label initiatives, enhancing brand loyalty and profitability. Overall, its diversified product offerings and strategic market positioning enable it to capitalize on various consumer trends and demands.

Man Sang International Financial Statement Overview

Summary

Financial performance is weak: despite 7.41% revenue growth and improved gross margin (18.46%), the company remains unprofitable (net margin -4.29% with negative EBIT/EBITDA), has negative operating/free cash flow, and a highly stressed balance sheet with negative equity and heavy leverage.

Income Statement

The company shows a modest revenue growth rate of 7.41% in the latest year, but profitability remains a significant concern with a negative net profit margin of -4.29% and negative EBIT and EBITDA margins. The gross profit margin improved to 18.46%, indicating some operational efficiency gains, but overall, the income statement reflects ongoing financial challenges.

Balance Sheet

The balance sheet is heavily leveraged with a negative equity position, leading to an unfavorable debt-to-equity ratio of -2.11. The return on equity is positive at 39.62%, but this is due to the negative equity, which distorts the metric. The equity ratio is negative, highlighting the company's financial instability and high-risk profile.

Cash Flow

Cash flow metrics are weak, with negative operating and free cash flows. The free cash flow to net income ratio is slightly above 1, indicating that free cash flow is slightly better than net income, but both are negative. The operating cash flow to net income ratio is also negative, reflecting poor cash generation relative to earnings.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	112.36M	138.05M	137.14M	116.66M	158.73M	124.85M
Gross Profit	33.22M	25.48M	10.44M	-8.39M	-24.28M	63.04M
EBITDA	-37.07M	-359.34M	-75.70M	-68.12M	-107.98M	-58.16M
Net Income	-431.29M	-592.21M	-482.92M	-371.74M	-521.82M	-190.84M
Balance Sheet
Total Assets	252.00M	2.03B	2.82B	3.35B	3.50B	4.60B
Cash, Cash Equivalents and Short-Term Investments	14.31M	23.42M	32.87M	31.77M	153.79M	1.38B
Total Debt	743.66M	3.16B	2.86B	2.82B	2.92B	3.77B
Total Liabilities	839.49M	3.52B	3.21B	3.16B	3.31B	4.13B
Stockholders Equity	-586.74M	-1.49B	-396.33M	191.27M	186.42M	470.48M
Cash Flow
Free Cash Flow	7.67M	-6.02M	-6.27M	-97.40M	-101.75M	-164.32M
Operating Cash Flow	7.94M	-5.85M	-2.64M	-93.91M	-98.36M	-60.69M
Investing Cash Flow	-18.96M	-4.07M	-9.39M	-10.19M	-54.53M	-157.35M
Financing Cash Flow	4.95M	14.72M	17.63M	-29.61M	-1.09B	1.44B

Man Sang International Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.28
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0938, the sentiment is Negative. The current price of 0.28 is below the 20-day moving average (MA) of 0.39, below the 50-day MA of 0.36, and below the 200-day MA of 0.55, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 50.42 is Neutral, neither overbought nor oversold. The STOCH value of 54.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0938.

Man Sang International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2205	66 Neutral	HK$833.00M	3.24	5.26%	4.14%	-5.08%	27.33%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
9982	61 Neutral	HK$367.23M	2.51	2.19%	―	5.32%	9.79%
0021	52 Neutral	HK$349.82M	-2.67	-4.27%	―	1303.01%	-45.00%
0938	48 Neutral	HK$249.17M	-5.04	―	―	-15.59%	24.48%
0432	44 Neutral	HK$601.28M	1.41	―	―	19.34%	18.13%
9608	43 Neutral	HK$192.00M	7.72	2.06%	―	0.88%	-25.81%

Man Sang International Corporate Events

Man Sang International Signs Connected Lease for New Lijiang Hotel Premises

Man Sang International’s subsidiary Lijiang Hotel has entered into a two-year connected lease agreement with Lijiang Doof to rent approximately 7,554 square metres of premises in Lijiang, Yunnan, for hotel use starting 1 February 2026, or a later date subject to obtaining the necessary operating permits. The lease, which will be recognised as right-of-use assets of about RMB 6.97 million under IFRS 16, qualifies as a connected transaction because Lijiang Doof is ultimately controlled by executive director and controlling shareholder Mr. Hu, triggering reporting and announcement obligations under Hong Kong’s Listing Rules but exempting the deal from independent shareholder approval; failure to secure hotel operation permits by 31 March 2026 will lead to automatic termination of the agreement, underscoring regulatory execution risk around the project.

The most recent analyst rating on (HK:0938) stock is a Hold with a HK$0.39 price target. To see the full list of analyst forecasts on Man Sang International stock, see the HK:0938 Stock Forecast page.

Man Sang International Executive Director Li Zhenyu to Step Down at End-2025

Man Sang International Limited has announced that executive director Li Zhenyu will resign from the board with effect from 31 December 2025 to focus on other business commitments, with the company stressing there is no disagreement between him and the board and no issues requiring shareholder attention. The board has expressed its gratitude for Li’s contributions during his tenure and confirmed that the remaining board structure, led by chairman Hu Xingrong and supported by one other executive and three independent non-executive directors, remains in place, suggesting continuity in governance despite the leadership change.

The most recent analyst rating on (HK:0938) stock is a Sell with a HK$0.38 price target. To see the full list of analyst forecasts on Man Sang International stock, see the HK:0938 Stock Forecast page.

Man Sang International Sets Out Board and Committee Structure

Man Sang International Limited, a Bermuda-incorporated company listed in Hong Kong, has updated the composition of its board and key governance committees. The company announced its current board structure, confirming Hu Xingrong as chairman and executive director alongside executive director Cong Wenlin, and three independent non-executive directors, Pau Yee Ling, Wong Kwan Kit and Zhou Hong. It also detailed the membership of its audit, remuneration and nomination committees, with independent directors chairing the audit and remuneration committees and the board chairman leading the nomination committee, underscoring the firm’s corporate governance framework and delineation of oversight responsibilities for stakeholders.

The most recent analyst rating on (HK:0938) stock is a Sell with a HK$0.38 price target. To see the full list of analyst forecasts on Man Sang International stock, see the HK:0938 Stock Forecast page.