Smart Globe Holdings Ltd. (1481) AI Stock Analysis

• Market Cap: HK$612.00M
• Dividend Yield: N/A
• Average Volume (3M): 125.00K
• Price to Earnings (P/E): 295.0
• Beta (1Y): -0.16
• Revenue Growth: 66.20%
• EPS Growth: N/A
• Country: HK
• Employees: 438
• Sector: Communication Services
• Sector Strength: 96
• Industry: Publishing
• EPS (TTM): <0.01
• Shares Outstanding: 1,020,000,000
• 10 Day Avg. Volume: 132,000
• 30 Day Avg. Volume: 125,000
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: HK$0.50
• Price Target Upside: -15.25% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 50 Neutral
• Price Target: HK$0.50 ▼(-15.25% Downside)

The overall stock score of 50 reflects significant financial challenges, including declining revenue and profitability, and negative cash flow. Despite strong technical momentum, the stock is overbought, and valuation metrics are unattractive due to negative earnings. Strategic improvements are necessary to enhance financial health and investor confidence.

Smart Globe Holdings Ltd. Business Overview & Revenue Model

Company Description

Smart Globe Holdings Limited, an investment holding company, produces, prints, and distributes books, and novelty and packaging products in Hong Kong, the United States, the United Kingdom, the Netherlands, Australia, the People's Republic of China, France, and internationally. The company provides a range of services, including pre-press, printing, and finishing services, as well as offers customized and value-added printing products. Its products include box products, children's books and pop-ups, journals and book products, stationery and photo albums, leather products, and oversized books. The company was founded in 2012 and is headquartered in North Point, Hong Kong. Smart Globe Holdings Limited is a subsidiary of Master Sage Limited.

How the Company Makes Money

Smart Globe Holdings Ltd. generates revenue through the production and sale of paper-based stationery products. The company's key revenue streams include direct sales to educational institutions, wholesalers, and retailers, as well as exports to international markets. Smart Globe Holdings Ltd. benefits from economies of scale in its manufacturing processes and leverages its distribution network to maximize reach and sales. Strategic partnerships with suppliers and distributors, as well as a focus on maintaining quality and cost-effectiveness, contribute significantly to its earnings.

Smart Globe Holdings Ltd. Financial Statement Overview

Summary

Smart Globe Holdings Ltd. faces significant challenges with declining revenue and profitability, as reflected in the income statement. Despite a strong equity position, the company struggles with negative cash flow, which could impact its ability to invest and grow. Strategic measures are needed to improve operational efficiency and profitability to enhance financial health.

Income Statement

Smart Globe Holdings Ltd. has experienced a decline in revenue from 2021 to 2024, with a significant drop in profitability. The gross profit margin decreased from 27.5% in 2020 to 11.7% in 2024, indicating increased cost pressures. The company reported negative EBIT and EBITDA margins in 2024, reflecting operational challenges. The net profit margin also turned negative, highlighting a need for strategic improvements to return to profitability.

Balance Sheet

The company's balance sheet shows a strong equity position with an equity ratio of 79.4% in 2024, indicating financial stability. However, the debt-to-equity ratio increased slightly to 0.07, suggesting a manageable level of leverage. The return on equity has been negative since 2022, reflecting ongoing profitability issues. Overall, the balance sheet remains robust, but profitability needs attention.

Cash Flow

Cash flow analysis reveals a challenging situation with negative operating cash flow in 2024, contrasting with positive figures in previous years. Free cash flow also turned negative in 2024, driven by increased capital expenditures and declining operating cash flow. The operating cash flow to net income ratio is negative, indicating inefficiencies in converting income into cash. The company needs to address cash flow management to ensure liquidity.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	117.59M	97.24M	131.65M	167.90M	127.21M
Gross Profit	13.75M	21.55M	7.67M	26.50M	45.96M
EBITDA	-10.40M	-3.46M	-14.96M	10.80M	26.37M
Net Income	-12.00M	-3.69M	-16.49M	1.65M	16.00M
Balance Sheet
Total Assets	142.49M	150.33M	150.29M	159.29M	161.52M
Cash, Cash Equivalents and Short-Term Investments	55.28M	65.65M	57.09M	32.47M	50.84M
Total Debt	8.00M	6.60M	1.80M	4.04M	6.34M
Total Liabilities	29.33M	23.73M	18.68M	25.41M	26.77M
Stockholders Equity	113.16M	126.60M	131.61M	133.88M	134.75M
Cash Flow
Free Cash Flow	-8.54M	3.65M	15.73M	-10.81M	12.04M
Operating Cash Flow	-3.91M	4.18M	16.84M	-2.76M	16.36M
Investing Cash Flow	-3.10M	7.28M	-8.05M	-7.97M	-1.09M
Financing Cash Flow	-3.28M	-2.58M	18.00M	-7.75M	-7.33M

Smart Globe Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.59
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1481, the sentiment is Positive. The current price of 0.59 is below the 20-day moving average (MA) of 0.59, above the 50-day MA of 0.53, and above the 200-day MA of 0.53, indicating a neutral trend. The MACD of 0.02 indicates Positive momentum. The RSI at 59.69 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1481.

Smart Globe Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$46.29B	4.07	-13.11%	4.12%	1.85%	-42.71%
1481	50 Neutral	HK$612.00M	295.00	1.70%	―	66.20%	―
HKGEF	―	$47.06M	6.20	-4.21%	11.27%	―	―
PXSTF	―	$83.27M	―	-9.70%	―	―	―
OPQ	―	€94.46M	14.62	3.08%	―	―	―
8368	60 Neutral	HK$381.35M	14.41	5.92%	―	-27.68%	-77.19%
1105	49 Neutral	HK$242.15M	―	-5.12%	―	-7.76%	-55.96%

Smart Globe Holdings Ltd. Corporate Events

Smart Globe Holdings Projects Positive Profit Turnaround for 2025H1

Smart Globe Holdings Limited has announced a positive profit alert for the first half of 2025, expecting a net profit between HK$10 million to HK$12 million, a significant turnaround from a net loss in the same period of 2024. This improvement is attributed to the successful entry into the Sub-Saharan Africa market, particularly in logistics services, and stabilized financial performance in its printing business due to effective cost control measures.

Smart Globe Holdings Announces Board Meeting for Interim Results

Smart Globe Holdings Limited has announced an upcoming board meeting scheduled for August 26, 2025. The meeting will focus on approving the interim results for the first half of 2025 and considering the recommendation of an interim dividend, which could impact the company’s financial strategy and shareholder returns.

Smart Globe Holdings Expands Logistics Operations in Africa

Smart Globe Holdings Ltd. has announced the completion of part of its logistics center in Zambia, marking a significant step in its expansion in Sub-Saharan Africa. The company has also formalized a strategic cooperation with COSCO SHIPPING Africa, a subsidiary of China COSCO SHIPPING Corporation Limited, to provide comprehensive logistics services including warehousing, stock management, and container operations, enhancing its service capabilities and market presence in the region.

Smart Globe Holdings Enhances Governance with New Nomination Committee Framework

Smart Globe Holdings Limited has announced the adoption of terms of reference for its Nomination Committee, effective from June 30, 2025. The committee will consist of at least three members, including at least one member of a different gender and a majority of independent non-executive directors. This move is likely aimed at enhancing governance and ensuring diverse representation within the company’s leadership, potentially impacting its strategic direction and stakeholder engagement.

Smart Globe Holdings Announces CEO Transition

Smart Globe Holdings Limited, incorporated in the Cayman Islands, has announced a change in its executive leadership. Mr. NG Ho Lun has resigned as Chief Executive Officer but will continue to serve as an executive Director and the chairman of the Board. Mr. CHU Lok Fung Barry, currently an executive Director, has been appointed as the new CEO. This change aims to ensure a clearer division of responsibilities at the board level and compliance with the Corporate Governance Code, potentially strengthening the company’s management structure.

Smart Globe Holdings Secures Unanimous Shareholder Support at AGM

Smart Globe Holdings Limited announced that all proposed resolutions at their Annual General Meeting held on May 19, 2025, were unanimously approved by shareholders. The resolutions included the re-election of directors, approval of financial statements, and authorization for the board to manage director and auditor remuneration, as well as granting mandates for share issuance and repurchase. This unanimous approval reflects strong shareholder support and could positively impact the company’s governance and operational strategies.