Chinlink International Holdings Limited (0997) AI Stock Analysis

• Market Cap: HK$33.91M
• Dividend Yield: N/A
• Average Volume (3M): 1.01M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.45
• Revenue Growth: -25.27%
• EPS Growth: 53.14%
• Country: HK
• Employees: 167
• Sector: Real Estate
• Sector Strength: 53
• Industry: Technology Distributors
• EPS (TTM): -0.10
• Shares Outstanding: 1,169,287,700
• 10 Day Avg. Volume: 788,800
• 30 Day Avg. Volume: 1,008,610
• PEG Ratio: <0.01
• Price to Book (P/B): 0.06
• Price to Sales (P/S): 0.34
• P/FCF Ratio: 2.32
• 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: 41 Neutral
• Price Target: HK$0.03 ▼(-13.33% Downside)

The score is held down primarily by weak financial performance—declining revenue, persistent losses, high leverage, and worsening free cash flow. Technicals add modest pressure with negative MACD and price below the 50-day average, while valuation is also constrained by a negative P/E tied to ongoing losses.

Positive Factors

Gross margin strength

A sustained gross margin of ~69% indicates durable cost efficiency or pricing power in core logistics operations. That margin cushion can help absorb SG&A and cyclical revenue dips, supporting long-term recovery potential if operating leverage and overheads are managed.

Revenue diversification

A business mix spanning freight forwarding, warehousing and property investment reduces single-market dependency. Real estate assets can provide recurring lease income and downside asset value, diversifying cash flow sources and moderating logistics-cycle volatility over months to years.

Partnerships & international reach

Established partner relationships and an international client base support stable contract flows, network effects and access to carrier capacity. Those structural distribution and partnership advantages improve service competitiveness and customer retention over multiple quarters.

Negative Factors

Declining revenue

Double-digit top-line shrinkage undermines scale economics and pressures margins and operating leverage. Persistent revenue decline over successive periods signals structural demand or market-share loss risk, constraining reinvestment and recovery prospects over the medium term.

High financial leverage

A D/E around 4x indicates heavy reliance on debt financing, raising refinancing, liquidity and covenant risk. High leverage limits strategic flexibility, increases interest burden and can force asset sales or curtailed capex during economic stress, impairing long-term competitiveness.

Deteriorating cash flow

Severely negative free cash flow growth and weak operating cash generation versus losses imply a structural funding gap. Reliance on external financing to fund operations raises solvency risk and hampers the firm's ability to fund necessary logistics capex or property upkeep sustainably.

Chinlink International Holdings Limited Business Overview & Revenue Model

Company Description

Chinlink International Holdings Limited, an investment holding company, provides property investment services in China, Hong Kong, and Macau. It operates through Property Investment; Financial Guarantee Services and Other Financing Services; and Financial Advisory Services. The company offers property investment and management, financial advisory, asset management, financial guarantee, financial leases, factoring, and logistic services. It also provides electronic commerce and consulting services; and trades in electronic products and Chinese medicines. The company was formerly known as Decca Holdings Limited and changed its name to Chinlink International Holdings Limited in February 2012. The company was founded in 1973 and is headquartered in Central, Hong Kong. Chinlink International Holdings Limited is a subsidiary of Wealth Keeper International Limited.

How the Company Makes Money

Chinlink International Holdings Limited generates revenue through multiple streams, primarily from its logistics and supply chain services, which include freight forwarding, customs clearance, and warehousing solutions. These services are offered to both domestic and international clients, allowing the company to capitalize on global trade dynamics. The firm also earns income from its property investment and development activities, as it leases and manages real estate assets. Significant partnerships with shipping companies and logistics firms enhance its operational capacity and market reach, contributing to stable revenue growth. Additionally, the company may benefit from fluctuating demand in logistics services due to market trends and economic conditions, which can impact its earnings positively or negatively.

Chinlink International Holdings Limited Financial Statement Overview

Summary

Weak fundamentals driven by declining revenue, persistent losses (negative net profit/EBIT/EBITDA margins), high leverage (debt-to-equity 4.07) and deteriorating free cash flow. A strong gross margin (69.04%) is a partial positive but does not offset ongoing operating and cash flow pressure.

Income Statement

Chinlink International Holdings Limited has experienced declining revenue over the past few years, with a significant drop of 16.07% in the latest year. The company has consistently reported negative net profit margins, indicating ongoing losses. The gross profit margin remains relatively high at 69.04%, suggesting efficient cost management in production. However, negative EBIT and EBITDA margins highlight operational inefficiencies and challenges in covering operating expenses.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio of 4.07, indicating significant leverage and potential financial risk. Stockholders' equity has decreased over time, reflecting accumulated losses. The equity ratio is low, suggesting a reliance on debt financing. These factors point to financial instability and potential challenges in meeting long-term obligations.

Cash Flow

Chinlink International Holdings Limited's cash flow statement reveals a substantial decline in free cash flow growth, with a negative rate of 163.45%. The operating cash flow to net income ratio is low, indicating limited cash generation relative to reported losses. The free cash flow to net income ratio is close to 1, suggesting that free cash flow is nearly equivalent to net losses, highlighting cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	79.30M	79.30M	97.28M	118.77M	186.10M	223.68M
Gross Profit	54.75M	54.75M	70.78M	90.18M	133.16M	155.94M
EBITDA	-107.71M	-225.49M	-235.12M	-196.53M	-29.43M	56.90M
Net Income	-345.41M	-345.41M	-381.78M	-385.48M	-334.06M	-178.85M
Balance Sheet
Total Assets	3.12B	3.12B	3.59B	4.43B	5.57B	5.28B
Cash, Cash Equivalents and Short-Term Investments	5.50M	5.50M	7.61M	90.29M	42.61M	29.16M
Total Debt	1.77B	1.77B	1.72B	1.99B	2.15B	2.06B
Total Liabilities	2.69B	2.69B	2.76B	3.07B	3.59B	3.11B
Stockholders Equity	433.84M	433.84M	821.55M	1.35B	1.91B	2.12B
Cash Flow
Free Cash Flow	11.59M	11.59M	190.42M	25.79M	43.67M	-101.40M
Operating Cash Flow	11.78M	11.78M	191.70M	49.61M	52.99M	-82.47M
Investing Cash Flow	-195.00K	36.18M	18.97M	263.39M	-22.64M	27.72M
Financing Cash Flow	-22.41M	-43.65M	-287.65M	-262.65M	-17.14M	57.36M

Chinlink International Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.03
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0997, the sentiment is Negative. The current price of 0.03 is below the 20-day moving average (MA) of 0.03, below the 50-day MA of 0.03, and above the 200-day MA of 0.03, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 43.05 is Neutral, neither overbought nor oversold. The STOCH value of 99.15 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0997.

Chinlink International Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0856	68 Neutral	HK$11.15B	9.04	13.99%	3.21%	18.23%	38.95%
2166	66 Neutral	HK$1.38B	11.69	11.96%	6.74%	-5.58%	22.50%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
0595	58 Neutral	HK$358.92M	5.99	3.38%	4.94%	17.39%	-55.26%
6036	53 Neutral	HK$478.42M	32.01	5.11%	―	14.50%	247.50%
1213	50 Neutral	HK$102.00M	-10.45	-8.13%	0.94%	-8.83%	-28.76%
0997	41 Neutral	HK$33.91M	-0.14	-48.20%	―	-25.27%	53.14%

Chinlink International Holdings Limited Corporate Events

Chinlink International Reports Interim Financial Results with Reduced Revenue

Chinlink International Holdings Limited reported its unaudited interim results for the six months ending September 30, 2025, revealing a decrease in total revenue to HK$35.7 million from HK$44.4 million in the previous year. Despite a reduction in losses compared to the previous period, the company still faced a significant loss before tax of HK$128.9 million. The announcement highlights ongoing challenges in the market, including a loss on fair value change of investment properties and high finance costs, impacting the company’s financial performance.

The most recent analyst rating on (HK:0997) stock is a Hold with a HK$0.03 price target. To see the full list of analyst forecasts on Chinlink International Holdings Limited stock, see the HK:0997 Stock Forecast page.

Chinlink International Holdings Announces Upcoming Board Meeting

Chinlink International Holdings Limited has announced a board meeting scheduled for November 28, 2025, in Hong Kong. The meeting will focus on approving the unaudited interim results for the six months ending September 30, 2025, and considering the declaration of an interim dividend. This announcement indicates the company’s ongoing financial assessments and potential shareholder returns, reflecting its commitment to transparency and stakeholder engagement.