Suncorp Technologies (1063) AI Stock Analysis

• Market Cap: $166.16M
• Dividend Yield: N/A
• Average Volume (3M): 170.35K
• Price to Earnings (P/E): 11.3
• Beta (1Y): 1.04
• Revenue Growth: 9.69%
• EPS Growth: -33.79%
• Country: HK
• Employees: 12
• Sector: Industrials
• Sector Strength: 72
• Industry: Conglomerates
• EPS (TTM): 0.01
• Shares Outstanding: 1,538,536,600
• 10 Day Avg. Volume: 100,530
• 30 Day Avg. Volume: 170,346
• PEG Ratio: 0.02
• Price to Book (P/B): 1.10
• Price to Sales (P/S): 5.62
• P/FCF Ratio: -44.52
• Enterprise Value/Market Cap: 0.38
• Enterprise Value/Revenue: 1.36
• Enterprise Value/Gross Profit: -5.20
• 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: 49 Neutral
• Price Target: HK$0.12 ▲(3.33% Upside)

The overall stock score is primarily impacted by significant financial challenges, including declining revenues and negative cash flows. While technical analysis shows some moderate strength, the valuation is only moderately attractive, and the absence of a dividend yield further limits the stock's appeal.

Positive Factors

Business Model

The subscription-based model provides a steady stream of recurring income, enhancing revenue predictability and customer retention.

Strategic Partnerships

Strategic partnerships enhance offerings and expand market reach, contributing to increased sales and customer acquisition.

Industry Trends

Positioning in digital transformation and data solutions aligns with industry growth trends, providing opportunities for market expansion.

Negative Factors

Revenue Decline

Significant revenue decline indicates challenges in maintaining market position and competitiveness, impacting long-term growth potential.

Negative Cash Flow

Negative cash flows suggest difficulties in sustaining operations and investing in growth, potentially limiting future business development.

Profitability Challenges

Negative profitability margins highlight operational inefficiencies and cost management issues, affecting long-term financial health.

Suncorp Technologies Business Overview & Revenue Model

Company Description

Suncorp Technologies (1063) is a leading provider of innovative technology solutions specializing in software development, IT consulting, and digital transformation services. Operating across various sectors including finance, healthcare, and retail, Suncorp Technologies focuses on delivering tailored solutions that enhance operational efficiency and drive business growth. The company is known for its robust portfolio of products that includes enterprise software applications, cloud services, and data analytics tools designed to meet the evolving needs of its clients.

How the Company Makes Money

Suncorp Technologies generates revenue primarily through the sale of its software products and IT services. The company operates on a subscription-based model for its cloud services and software solutions, which provides a steady stream of recurring income. Additionally, Suncorp earns significant revenue from professional services such as consulting, implementation, and support, which are billed on a project basis. The company has established strategic partnerships with key technology providers, enabling it to enhance its offerings and expand its market reach. These partnerships often involve co-development agreements and joint marketing initiatives, contributing to increased sales and customer acquisition. Furthermore, the company capitalizes on industry trends such as digital transformation and the increasing demand for data-driven solutions, positioning itself to capture new market opportunities.

Suncorp Technologies Financial Statement Overview

Summary

Suncorp Technologies faces significant financial challenges, characterized by declining revenues, persistent losses, and negative cash flows. Although the balance sheet shows a strong equity base and low leverage, the company's ability to generate profitable growth remains a concern. Strategic improvements in cost management and revenue generation are essential for long-term sustainability.

Income Statement

Suncorp Technologies has experienced a significant decline in revenue over recent years, with a revenue decrease from $173.7 million in 2020 to $38.9 million in 2024. The company has also shown negative profitability margins, with a gross profit margin of -31.3% and a net profit margin of -116.7% in 2024. These metrics indicate substantial challenges in generating profitable revenue and managing costs effectively. The negative EBIT margin of -117.2% further highlights operational inefficiencies.

Balance Sheet

The balance sheet reveals a moderate level of stability with a strong cash position. The debt-to-equity ratio remains low due to minimal debt levels, and the equity ratio stands at 85.8% in 2024, reflecting a strong equity base. However, the continuous decrease in stockholders' equity from $308.9 million in 2019 to $198.5 million in 2024 signals potential financial strain over the years.

Cash Flow

The company exhibits negative operating and free cash flows, indicating challenges in sustaining its operations through internal cash generation. The operating cash flow to net income ratio suggests difficulties in converting earnings into cash, which may hinder future growth and investment capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	46.84M	38.88M	66.29M	128.03M	199.97M	173.69M
Gross Profit	-12.21M	-12.18M	15.20M	16.00M	25.34M	25.59M
EBITDA	0.00	-36.53M	40.45M	-56.78M	-55.65M	-70.14M
Net Income	14.81M	-45.38M	40.07M	-56.99M	-58.84M	-70.11M
Balance Sheet
Total Assets	278.74M	231.47M	264.02M	282.17M	328.98M	299.15M
Cash, Cash Equivalents and Short-Term Investments	118.53M	110.85M	106.64M	101.82M	140.16M	82.67M
Total Debt	7.21M	3.15M	2.15M	4.24M	6.27M	4.26M
Total Liabilities	59.44M	33.56M	20.75M	78.97M	71.97M	44.12M
Stockholders Equity	219.88M	198.49M	243.73M	203.66M	257.10M	255.03M
Cash Flow
Free Cash Flow	-7.97M	-4.91M	-3.25M	-27.42M	-24.55M	-23.66M
Operating Cash Flow	-7.97M	-4.91M	-3.25M	-27.42M	-22.23M	-23.66M
Investing Cash Flow	123.00K	36.00K	-54.00K	-132.00K	-2.31M	0.00
Financing Cash Flow	3.12M	-1.88M	-2.03M	1.52M	55.81M	15.10M

Suncorp Technologies Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.12
• 50DMA: Negative
• 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:1063, the sentiment is Negative. The current price of 0.12 is above the 20-day moving average (MA) of 0.12, above the 50-day MA of 0.12, and above the 200-day MA of 0.12, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 45.86 is Neutral, neither overbought nor oversold. The STOCH value of 56.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1063.

Suncorp Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
0118	54 Neutral	HK$205.14M	22.04	0.53%	―	-9.32%	―
0474	50 Neutral	HK$708.65M	-0.77	-63.64%	―	-64.04%	1.66%
1063	49 Neutral	$166.16M	11.25	7.00%	―	9.69%	-33.79%
2182	48 Neutral	HK$192.20M	-11.11	-2.30%	3.57%	7.98%	-236.14%
0862	48 Neutral	HK$176.59M	―	-33.36%	―	-25.59%	0.69%
0138	39 Underperform	HK$131.17M	-0.30	-65.19%	―	-19.75%	31.54%

Suncorp Technologies Corporate Events

SunCorp Technologies Reports Strong Interim Profits for 2025

SunCorp Technologies Limited announced its unaudited interim results for the first half of 2025, reporting a significant turnaround with a profit of HK$21,393,000 compared to a loss in the same period of 2024. The company’s financial performance was bolstered by unrealized and realized gains on financial assets, despite increased operating expenses and finance costs, indicating a positive shift in its financial strategy and market positioning.

Suncorp Technologies Announces Positive Profit Turnaround

Suncorp Technologies Limited has announced a positive profit alert, expecting a net profit of approximately HK$21 million for the six months ended 30 June 2025, compared to a net loss of HK$39 million in the same period last year. This turnaround is primarily due to unrealized gains of financial assets at fair value through profit or loss, amounting to approximately HK$20 million, signaling a significant improvement in the company’s financial performance.