Realord Group Holdings Limited (1196) AI Stock Analysis

• Market Cap: HK$10.63B
• Dividend Yield: N/A
• Average Volume (3M): 1.32M
• Price to Earnings (P/E): ―
• Beta (1Y): -0.06
• Revenue Growth: -46.56%
• EPS Growth: -1256.77%
• Country: HK
• Employees: 183
• Sector: Industrials
• Sector Strength: 86
• Industry: Waste Management
• EPS (TTM): -0.61
• Shares Outstanding: 1,442,309,900
• 10 Day Avg. Volume: 1,396,200
• 30 Day Avg. Volume: 1,316,733
• PEG Ratio: 0.14
• Price to Book (P/B): 3.77
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 106.49
• 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

• Rating: 46 Neutral
• Price Target: HK$7.00 ▼(-5.02%Downside)

The overall stock score reflects significant financial challenges and poor valuation, which are the most impactful factors. Technical indicators provide some support with positive momentum, but caution is advised due to financial instability and lack of earnings.

Realord Group Holdings Limited Business Overview & Revenue Model

Company Description

Realord Group Holdings Limited, an investment holding company, engages in the commercial printing, hangtag, motor vehicles parts, financial service, trading, property, and environmental protection businesses in the People's Republic of China, Hong Kong, Japan, and internationally. The company's Commercial Printing segment provides financial printing services, digital printing and other related services. Its Hangtag segment sells hangtags, labels, shirt paper boards, and plastic bags to manufacturers of consumer products. The company's Motor Vehicle Parts segment distributes and sells motor vehicle parts. Its Financial Services segment provides corporate finance advisory, asset management, securities brokerage services, margin financing, and money lending services. Its Property segment develops, operates, and invests in commercial properties. The company's Environmental Protection segment is involved in dismantling and trading of scrap materials. Its Department Store segment operates department stores, which offers various consumer products, securities trading, rental income from sublease of properties, and the provision of general and life insurances. The LAC segment engages in the development of project, which includes school campuses, apartments for student, commercial complex, hotel resorts, residential villas, and other ancillary facilities. It also provides financial leasing and conference services; trades in electronic products and computer components; and develops and sells e-commerce platform. The company was formerly known as Cheong Ming Investments Limited and changed its name to Realord Group Holdings Limited in September 2014. The company is headquartered in Central, Hong Kong. Realord Group Holdings Limited is a subsidiary of Manureen Holdings Limited.

How the Company Makes Money

Realord Group Holdings Limited generates its revenue through multiple business segments. The company's financial services arm provides a range of investment and advisory services, contributing to its income through fees and commissions. In property investment and development, Realord earns from the sale and leasing of residential and commercial properties. The distribution of auto parts involves sourcing and supplying automotive components, generating revenue through sales to manufacturers and retailers. Additionally, the commercial printing segment offers printing services for a variety of needs, while the environmental protection division focuses on recycling and waste management services, both contributing to the company's earnings. Strategic partnerships and a diversified portfolio across these sectors help bolster Realord's financial performance.

Realord Group Holdings Limited Financial Statement Overview

Summary

Realord Group Holdings Limited is facing significant financial challenges. The income statement is marked by declining revenues and negative profitability, while the balance sheet shows high leverage and declining equity. Cash flow problems exacerbate these issues, indicating potential liquidity constraints. Strategic adjustments are necessary to improve financial stability and performance.

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	801.49M	1.20B	1.20B	869.34M
Gross Profit	152.94M	319.36M	287.40M	272.79M	201.10M
EBITDA	-141.16M	1.20B	1.28B	1.21B	2.14B
Net Income	-886.67M	76.69M	605.16M	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: 7.37
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

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 7.37 is above the 20-day moving average (MA) of 7.10, above the 50-day MA of 7.13, and above the 200-day MA of 6.88, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 74.58 is Negative, neither overbought nor oversold. The STOCH value of 58.74 is Neutral, 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
Sector *	59 Neutral	AU$1.63B	9.60	11.29%	3.70%	6.59%	5.93%
1196	46 Neutral	HK$10.63B	―	-26.60%	―	-46.56%	-1256.77%
SZDEF		$668.15M	―	-20.47%	―	―	―
TNJIF		$1.21B	7.33	8.42%	0.64%	―	―
DYN		€1.10B	8.99	7.85%	4.37%	―	―
6805	71 Outperform	HK$2.09B	15.75	10.76%	7.94%	16.17%	32.45%
1272	69 Neutral	HK$3.35B	5.63	7.24%	9.86%	-0.78%	3.03%

Realord Group Holdings Limited Corporate Events

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.

Realord Group Holdings Announces 2025 Annual General Meeting

Realord Group Holdings Limited has announced its upcoming annual general meeting, which will take place on June 6, 2025, in Hong Kong. The meeting will cover several key resolutions, including the approval of the company’s audited financial statements for 2024, the re-election of certain directors, and the re-appointment of auditors. Additionally, the meeting will address a resolution to authorize the company’s directors to allot and issue shares, with certain limitations, during a specified period.