In Construction Holdings Ltd (1500) AI Stock Analysis

• Market Cap: HK$52.29M
• Dividend Yield: N/A
• Average Volume (3M): 84.50K
• Price to Earnings (P/E): 20.4
• Beta (1Y): 0.01
• Revenue Growth: -28.58%
• EPS Growth: -47.10%
• Country: HK
• Employees: 49
• Sector: Industrials
• Sector Strength: 73
• Industry: Engineering & Construction
• EPS (TTM): >-0.01
• Shares Outstanding: 830,000,000
• 10 Day Avg. Volume: 31,500
• 30 Day Avg. Volume: 84,500
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 44 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

In Construction Holdings Ltd is facing significant financial challenges, with declining revenue, poor profitability, and liquidity issues being the most impactful factors. The technical analysis provides a neutral outlook, and the valuation metrics are unattractive due to the negative P/E ratio and lack of dividend yield. These factors collectively result in a low overall stock score.

In Construction Holdings Ltd Business Overview & Revenue Model

Company Description

In Construction Holdings Limited, an investment holding company, operates as a general and foundation contractor in Hong Kong. The company undertakes foundation and related works, including demolition, site formation, ground investigation field, and general building works. It also engages in the construction and engineering activities. The company serves building and construction industries. In Construction Holdings Limited was founded in 1996 and is headquartered in Causeway Bay, Hong Kong.

How the Company Makes Money

In Construction Holdings Ltd generates revenue through multiple key streams. Primarily, the company earns income from construction contracts, where it is compensated for building projects on behalf of clients. This includes fixed-price contracts, cost-plus contracts, and time and materials contracts, each offering different pricing structures depending on the nature of the project. Additionally, the company provides project management and consultancy services, which further contribute to its revenue. Significant partnerships with suppliers and subcontractors allow In Construction Holdings Ltd to secure favorable pricing on materials and services, thus enhancing its profit margins. The company also explores opportunities in public-private partnerships (PPPs) and government contracts, which can offer substantial funding for large-scale infrastructure projects. Overall, a combination of diverse service offerings, strategic partnerships, and a focus on sustainable practices positions In Construction Holdings Ltd as a competitive entity in the construction market.

In Construction Holdings Ltd Financial Statement Overview

Summary

In Construction Holdings Ltd is facing significant financial challenges across all key financial statements. The income statement shows declining revenue and profitability, the balance sheet reflects poor returns on equity despite low leverage, and the cash flow statement indicates liquidity issues. The company needs to address these issues to improve its financial health and performance.

Income Statement

In Construction Holdings Ltd has experienced a significant decline in revenue, with a negative revenue growth rate of -27.98% in the latest period. The company is facing profitability challenges, as indicated by negative net profit and EBIT margins. The gross profit margin is extremely low, suggesting issues with cost management or pricing strategy. Overall, the income statement reflects a struggling financial performance with declining revenue and profitability.

Balance Sheet

The company's balance sheet shows a low debt-to-equity ratio, indicating conservative leverage. However, the return on equity is negative, reflecting poor profitability relative to shareholder equity. The equity ratio is stable, suggesting a solid capital structure, but the negative ROE highlights challenges in generating returns for shareholders.

Cash Flow

Cash flow analysis reveals negative operating and free cash flows, indicating liquidity challenges. The free cash flow growth rate is significantly negative, and the operating cash flow to net income ratio is unfavorable, suggesting inefficiencies in converting income into cash. The cash flow statement highlights significant financial stress and potential liquidity risks.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	379.89M	273.60M	383.10M	332.35M	462.25M	378.78M
Gross Profit	19.13M	234.00K	7.02M	5.24M	91.70M	56.59M
EBITDA	1.93M	-18.57M	-12.46M	-14.86M	72.50M	28.71M
Net Income	2.29M	-18.91M	-12.86M	-15.33M	62.19M	28.70M
Balance Sheet
Total Assets	393.08M	369.07M	395.26M	373.37M	416.24M	362.52M
Cash, Cash Equivalents and Short-Term Investments	59.86M	31.45M	78.56M	112.05M	147.75M	55.99M
Total Debt	13.00M	13.00M	13.06M	5.31M	10.33M	15.14M
Total Liabilities	148.75M	126.41M	133.68M	98.94M	101.58M	85.14M
Stockholders Equity	244.33M	242.67M	261.58M	274.44M	314.66M	277.37M
Cash Flow
Free Cash Flow	-18.71M	-6.12M	-34.06M	-10.46M	117.21M	22.48M
Operating Cash Flow	-18.71M	-5.81M	-34.06M	-10.46M	117.52M	22.50M
Investing Cash Flow	4.75M	2.61M	5.74M	5.03M	4.51M	2.74M
Financing Cash Flow	-2.76M	-65.00K	-5.39M	-30.27M	-30.27M	-15.37M

In Construction Holdings Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.06
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1500, the sentiment is Negative. The current price of 0.06 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and below the 200-day MA of 0.07, indicating a bearish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 43.31 is Neutral, neither overbought nor oversold. The STOCH value of 38.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1500.

In Construction Holdings Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$10.75B	15.69	7.62%	2.01%	2.75%	-15.14%
3822	58 Neutral	HK$87.36M	7.98	2.30%	―	92.38%	―
1802	48 Neutral	HK$45.74M	0.04		―	―	―
8321	45 Neutral	HK$55.44M	―	-9.52%	―	6.34%	48.38%
1500	44 Neutral	HK$52.29M	20.36	-7.50%	―	-28.58%	-47.10%
1718	44 Neutral	HK$72.90M	―	-72.83%	―	4.32%	-143.93%
1722	―	HK$74.80M	―	-3.66%	―	―	―

In Construction Holdings Ltd Corporate Events

In Construction Holdings Ltd Forms Sustainability Committee to Boost ESG Efforts

In Construction Holdings Ltd has established a Sustainability Committee to enhance its environmental, social, and governance (ESG) and climate change management systems. This initiative aims to promote sustainable development within the company, with the committee responsible for overseeing ESG initiatives, monitoring risks and opportunities, and ensuring compliance with relevant laws and standards. The committee consists of four members, with Ms. Kwan Kit Sum Kit appointed as the chairperson.

In Construction Holdings Ltd Forms Sustainability Committee to Enhance ESG Initiatives

In Construction Holdings Ltd has established a Sustainability Committee to oversee its ESG (Environmental, Social, and Governance) and climate change initiatives. The committee is tasked with developing and recommending ESG strategies, monitoring their implementation, and ensuring alignment with the company’s long-term goals. This move highlights the company’s commitment to sustainability and aims to enhance its industry positioning by addressing climate-related risks and opportunities.

In Construction Holdings Ltd Announces New Board Composition

In Construction Holdings Ltd has announced the composition of its board of directors and their roles, effective from March 18, 2025. The announcement outlines the members of the board, including executive and independent non-executive directors, and details the structure of four board committees, highlighting the leadership roles within these committees.