Fulum Group Holdings Ltd. (1443) AI Stock Analysis

• Market Cap: HK$83.20M
• Dividend Yield: 4.55%
• Average Volume (3M): 67.60K
• Price to Earnings (P/E): 10.7
• Beta (1Y): -0.05
• Revenue Growth: -7.56%
• EPS Growth: -231.11%
• Country: HK
• Employees: 1,743
• Sector: Consumer Cyclical
• Sector Strength: 77
• Industry: Restaurants
• EPS (TTM): -0.02
• Shares Outstanding: 1,300,000,000
• 10 Day Avg. Volume: 78,000
• 30 Day Avg. Volume: 67,600
• PEG Ratio: <0.01
• Price to Book (P/B): 0.96
• Price to Sales (P/S): 0.07
• P/FCF Ratio: 0.44
• 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: Hold
• Number of Analyst Covering: 1

• Rating: 47 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

Fulum Group Holdings Ltd. is facing significant financial challenges, with declining revenues, negative profitability, and high leverage being the most impactful factors. The technical analysis shows a bearish trend with mixed momentum signals. The valuation is unattractive due to negative earnings, although the high dividend yield may provide some appeal. Overall, the stock presents considerable risks, primarily due to its financial instability.

Fulum Group Holdings Ltd. Business Overview & Revenue Model

Company Description

Fulum Group Holdings Ltd. (1443) is a Hong Kong-based company primarily engaged in the restaurant and food and beverage sector. The company operates a chain of restaurants that offer a variety of Chinese cuisine, with a focus on Cantonese dishes. Fulum Group Holdings is known for its diverse menu options and quality dining experiences, catering to both local and international customers across different dining segments.

How the Company Makes Money

The company makes money primarily through its restaurant operations, generating revenue from food and beverage sales. Fulum Group Holdings benefits from a mix of dine-in services, takeout, and delivery options, which cater to changing consumer preferences. Key revenue streams include the sales of signature dishes, beverages, and special promotions. Additionally, the company may engage in strategic partnerships with suppliers and delivery platforms to enhance its reach and operational efficiency. Seasonal promotions and loyalty programs also contribute to customer retention and increased sales, further bolstering its earnings.

Fulum Group Holdings Ltd. Financial Statement Overview

Summary

Fulum Group Holdings Ltd. is facing significant financial challenges, with declining revenues, negative profitability, and high leverage. The income statement reflects operational inefficiencies and declining sales, while the balance sheet shows high debt levels and poor equity returns. Although cash flow remains positive, the declining free cash flow growth raises concerns about future liquidity.

Income Statement

Fulum Group Holdings Ltd. has experienced a decline in revenue growth with a negative rate of -5.71% in the most recent year, indicating challenges in maintaining sales momentum. The gross profit margin is moderate at 36.49%, but the net profit margin is negative at -3.90%, reflecting ongoing profitability issues. The EBIT margin is also negative, suggesting operational inefficiencies. Overall, the income statement reflects a struggling financial performance with declining revenues and profitability.

Balance Sheet

The company has a high debt-to-equity ratio of 5.04, indicating significant leverage and potential financial risk. Return on equity is negative at -51.97%, highlighting poor returns for shareholders. The equity ratio is low, suggesting limited financial stability. The balance sheet shows a heavily leveraged position with weak equity returns, posing risks to financial health.

Cash Flow

Operating cash flow is positive, providing some liquidity, but the free cash flow growth rate is negative at -7.51%, indicating declining cash generation. The operating cash flow to net income ratio is 0.46, showing moderate cash conversion efficiency. Despite positive cash flow, the declining free cash flow growth suggests potential challenges in sustaining cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.81B	1.70B	1.84B	1.64B	1.45B	1.17B
Gross Profit	508.36M	621.16M	537.68M	600.69M	455.71M	397.97M
EBITDA	228.26M	309.71M	375.91M	329.45M	257.35M	229.44M
Net Income	7.83M	-66.37M	50.58M	21.14M	-49.17M	-168.31M
Balance Sheet
Total Assets	1.13B	1.01B	1.27B	991.23M	995.95M	1.21B
Cash, Cash Equivalents and Short-Term Investments	94.84M	74.64M	121.79M	169.76M	128.57M	145.07M
Total Debt	743.90M	643.91M	878.66M	649.46M	691.45M	824.23M
Total Liabilities	976.03M	888.58M	1.08B	845.95M	874.26M	1.08B
Stockholders Equity	153.58M	127.72M	195.99M	147.85M	121.69M	121.98M
Cash Flow
Free Cash Flow	303.67M	280.88M	297.22M	265.09M	177.38M	192.71M
Operating Cash Flow	339.47M	342.07M	362.81M	325.65M	251.03M	269.47M
Investing Cash Flow	-44.87M	-65.25M	-74.66M	-63.74M	-76.86M	-54.63M
Financing Cash Flow	-323.85M	-324.15M	-338.65M	-164.63M	-246.85M	-189.77M

Fulum Group Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.07
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1443, the sentiment is Positive. The current price of 0.07 is above the 20-day moving average (MA) of 0.06, above the 50-day MA of 0.06, and below the 200-day MA of 0.10, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 68.37 is Neutral, neither overbought nor oversold. The STOCH value of 17.54 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1443.

Fulum Group Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	57 Neutral	HK$25.91B	4.59	-3.31%	5.43%	-0.68%	-50.62%
1843	54 Neutral	HK$109.60M	―	-1.99%	7.12%	17.65%	-369.23%
8447	48 Neutral	HK$43.00M	―	-88.20%	―	12.29%	7.53%
1443	47 Neutral	HK$83.20M	10.67	-41.01%	4.55%	-7.56%	-231.11%
1869	46 Neutral	HK$122.69M	―		―	-21.79%	-613.89%
8519	42 Neutral	HK$67.27M	―	-110.09%	―	-12.18%	-267.74%

Fulum Group Holdings Ltd. Corporate Events

Fulum Group Holdings Ltd. Reports Annual Financial Losses for 2025

Fulum Group Holdings Ltd. reported a decline in revenue and profitability for the year ending March 31, 2025, with revenue decreasing by 7.6% to approximately HK$1,702.1 million and a loss attributable to owners of the company amounting to HK$66.4 million. The company also announced that no dividend would be paid for the year, reflecting the challenging business environment and its impact on financial performance.

Fulum Group Holdings Ltd. Establishes Nomination Committee to Strengthen Governance

Fulum Group Holdings Limited has established a Nomination Committee to adhere to the Corporate Governance Codes issued by the Hong Kong Stock Exchange. This committee, formed by the board of directors, will consist of at least three members, including independent non-executive directors, to ensure diverse and independent oversight. The establishment of this committee reflects the company’s commitment to enhancing its governance structure, potentially impacting its operational transparency and stakeholder confidence.

Fulum Group Holdings to Review Annual Results and Dividend

Fulum Group Holdings Ltd. has announced that its board of directors will meet on June 27, 2025, to review and approve the company’s annual financial results for the year ending March 31, 2025. The board will also consider the declaration of a final dividend, which could impact shareholder returns and reflect the company’s financial health.

Fulum Group Issues Profit Warning Amid Economic Challenges

Fulum Group Holdings Ltd. has issued a profit warning, expecting a significant loss for the fiscal year ending March 2025, ranging from HK$64.0 million to HK$69.0 million, compared to a profit of HK$50.6 million the previous year. The loss is attributed to decreased revenue due to economic uncertainties, despite efforts to reduce costs and invest in system upgrades and brand adjustments. The company is finalizing its annual results, which are subject to adjustments, and advises caution to shareholders and potential investors.