Realord Group Holdings Limited (1196) AI Stock Analysis

• Market Cap: €17.88B
• Dividend Yield: N/A
• Average Volume (3M): 3.90M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.11
• Revenue Growth: -46.56%
• EPS Growth: -1256.77%
• Country: HK
• Employees: 183
• Sector: Industrials
• Sector Strength: 78
• Industry: Waste Management
• EPS (TTM): -0.26
• Shares Outstanding: 1,442,309,900
• 10 Day Avg. Volume: 5,026,120
• 30 Day Avg. Volume: 3,904,877
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: €10.51
• Price Target Upside: -14.04% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 48 Neutral
• Price Target: HK$10.50 ▼(-14.15% Downside)

The overall stock score is primarily impacted by the company's weak financial performance, characterized by negative profitability and high leverage. While technical analysis indicates strong momentum, overbought conditions may pose a risk. Valuation metrics are unfavorable due to negative earnings and lack of dividends.

Realord Group Holdings Limited Business Overview & Revenue Model

Company Description

Realord Group Holdings Limited (1196) is a diversified investment holding company based in Hong Kong. The company operates in various sectors, including property investment and development, financial services, and environmental protection. Through its subsidiaries, Realord Group provides a range of services, from property management and investment to environmental recycling and financial consultancy.

How the Company Makes Money

Realord Group Holdings Limited generates revenue through multiple streams aligned with its diverse operations. In the property sector, the company makes money by acquiring, developing, and selling real estate properties, as well as through rental income from property investments. In financial services, the company earns by offering a variety of financial products and advisory services. The environmental protection division contributes to revenue through the recycling of scrap materials and provision of environmental management services. Realord Group's earnings are further bolstered by strategic partnerships and investments that enhance its service offerings and market reach.

Realord Group Holdings Limited Financial Statement Overview

Summary

Realord Group Holdings Limited is facing significant financial challenges. The income statement shows declining revenues and negative profitability, with a severe drop in net profit margin. The balance sheet reveals high leverage and declining equity, while cash flow statements indicate strained liquidity and negative cash flows.

Income Statement

The income statement shows significant volatility in revenue and profitability. Gross profit margin has decreased from 24.4% in 2023 to 31.3% in 2024. Net profit margin turned negative in 2024 at -207%, indicating a severe decline from 9.6% a year prior. Revenue growth has been negative in recent periods, highlighting challenges in maintaining sales momentum. Additionally, both EBIT and EBITDA margins are negative, further indicating operational inefficiencies.

Balance Sheet

The balance sheet reveals high leverage with a debt-to-equity ratio of approximately 4.59 in 2024, which suggests potential financial risk. There has been a decline in stockholders' equity over the years, from $4.13 billion in 2021 to $2.7 billion in 2024. The equity ratio dropped to 14.2%, reflecting increased reliance on debt. However, the company maintains significant total assets, providing some balance sheet strength.

Cash Flow

Cash flow statements indicate strained liquidity with negative operating and free cash flows in recent years. Operating cash flow was zero in 2024, and free cash flow has been consistently negative, demonstrating challenges in generating cash from operations. The absence of positive cash flow growth highlights liquidity concerns.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	428.35M	601.22M	1.20B	1.20B	869.34M
Gross Profit	152.94M	193.61M	287.40M	272.79M	201.10M
EBITDA	-141.16M	1.20B	1.22B	1.21B	2.14B
Net Income	-886.67M	76.69M	112.79M	122.20M	885.18M
Balance Sheet
Total Assets	18.99B	20.48B	19.87B	18.75B	16.72B
Cash, Cash Equivalents and Short-Term Investments	99.13M	221.79M	243.13M	310.85M	1.28B
Total Debt	12.40B	13.16B	12.66B	11.71B	10.89B
Total Liabilities	14.92B	15.38B	14.70B	13.48B	12.31B
Stockholders Equity	2.70B	3.59B	3.61B	4.13B	3.51B
Cash Flow
Free Cash Flow	13.18M	-16.91M	-1.33B	-209.84M	-190.61M
Operating Cash Flow	15.76M	-13.94M	-1.31B	-198.44M	-167.65M
Investing Cash Flow	198.88M	79.09M	-16.46M	-266.87M	13.82M
Financing Cash Flow	-336.94M	-83.48M	1.28B	-584.43M	835.30M

Realord Group Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.23
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1196, the sentiment is Positive. The current price of 12.23 is above the 20-day moving average (MA) of 9.42, above the 50-day MA of 8.16, and above the 200-day MA of 7.39, indicating a bullish trend. The MACD of 0.87 indicates Negative momentum. The RSI at 76.54 is Negative, neither overbought nor oversold. The STOCH value of 87.37 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1196.

Realord Group Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1065	74 Outperform	$9.35B	7.25	8.42%	4.59%	0.22%	-11.86%
1330	74 Outperform	HK$9.75B	10.72	7.85%	6.28%	-9.43%	4.26%
6805	71 Outperform	HK$2.09B	15.75	10.76%	7.89%	16.17%	32.45%
1272	70 Neutral	HK$3.86B	6.48	7.24%	7.01%	-0.78%	3.03%
Sector *	58 Neutral	HK$13.63B	5.51	-2.78%	5.72%	2.29%	-57.50%
1196	48 Neutral	€17.88B	―	-26.60%	―	-46.56%	-1256.77%
0895	47 Neutral	HK$4.88B	―	-20.47%	―	-16.08%	-0.19%

Realord Group Holdings Limited Corporate Events

Realord Group Holdings Schedules Board Meeting to Approve Interim Results

Realord Group Holdings Limited has announced a board meeting scheduled for August 26, 2025, to discuss and approve the interim results for the first half of the year ending June 30, 2025. The meeting will also consider the payment of an interim dividend, which could impact the company’s financial strategy and shareholder returns.

Realord Group Explores Potential Mobile Game Acquisition Amid Share Volatility

Realord Group Holdings Limited has observed unusual movements in its share price and trading volume and is currently in preliminary discussions for a potential acquisition in the mobile gaming sector. This possible acquisition, if realized, could significantly impact the company’s market positioning, but no binding agreements have been made yet, and the outcome remains uncertain.

Realord Group Holdings Announces Changes to Nomination Committee

Realord Group Holdings Limited has announced a change in the composition of its Nomination Committee. Dr. Lin Xiaohui has stepped down as chairman and member, with Madam Su Jiaohua appointed as a member and Mr. Fang Jixin as the new chairman, effective 30 June 2025. This change aims to align with the updated corporate governance code effective 1 July 2025, ensuring a diverse and independent committee structure.

Realord Group Holdings Announces Board Composition and Committee Roles

Realord Group Holdings Limited announced the composition of its board of directors and the roles within its board committees. The board includes executive directors Dr. Lin Xiaohui, Madam Su Jiaohua, and Mr. Lin Xiaodong, along with independent non-executive directors Mr. Yu Leung Fai, Mr. Fang Jixin, and Mr. Ho Chun Chung Patrick. The announcement also details the membership of the audit, remuneration, and nomination committees, indicating a structured governance framework that may impact the company’s strategic direction and stakeholder engagement.

Realord Group Holdings Limited Updates Nomination Committee Terms

Realord Group Holdings Limited has announced amendments to the terms of reference for its Nomination Committee, emphasizing the inclusion of independent non-executive directors and gender diversity. These changes reflect the company’s commitment to enhancing its governance practices, potentially impacting its industry positioning by promoting a more inclusive and balanced board structure.

Realord Group Holdings Successfully Passes All AGM Resolutions

Realord Group Holdings Limited announced that all proposed resolutions were successfully passed at their Annual General Meeting held on June 6, 2025. The resolutions included the approval of the audited financial statements for the year ended December 31, 2024, the re-election of directors, the re-appointment of auditors, and granting mandates to issue and repurchase shares. These decisions reflect the company’s strategic direction and governance, potentially impacting its operational capabilities and shareholder value.