Unity Group Holdings International Limited (1539) AI Stock Analysis

• Market Cap: HK$1.36B
• Dividend Yield: N/A
• Average Volume (3M): 2.36M
• Price to Earnings (P/E): 38.0
• Beta (1Y): -0.06
• Revenue Growth: 58.29%
• EPS Growth: -85.39%
• Country: HK
• Employees: 75
• Sector: Industrials
• Sector Strength: 87
• Industry: Electrical Equipment & Parts
• EPS (TTM): <0.01
• Shares Outstanding: 3,444,111,600
• 10 Day Avg. Volume: 2,020,400
• 30 Day Avg. Volume: 2,355,800
• PEG Ratio: 0.12
• Price to Book (P/B): 2.13
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -31.98
• 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: 52 Neutral
• Price Target: ―

Unity Group Holdings International Limited presents a mixed outlook. While the company has shown strong financial recovery and stability with improved revenue and profitability, significant challenges remain in cash flow management. The technical indicators and high P/E ratio suggest caution due to potential overvaluation and bearish momentum.

Unity Group Holdings International Limited Business Overview & Revenue Model

Company Description

Synergy Group Holdings International Limited, an investment holding company, primarily engages in the leasing and trading of energy saving products. It provides consultancy services for energy saving systems; energy management systems solutions; and leasing and maintenance services for cooling systems. The company operates in Hong Kong, Japan, Malaysia, Indonesia, Macau, and internationally. Synergy Group Holdings International Limited was founded in 2008 and is headquartered in Wan Chai, Hong Kong.

How the Company Makes Money

Unity Group Holdings International Limited primarily generates revenue through its property investment and development activities. This includes acquiring, developing, and managing real estate properties, which provide rental income and capital appreciation. Additionally, the company earns income from its financial services segment, which may include investment advisory services, asset management, and other related financial products. Strategic partnerships and investments in other industries further diversify and enhance the company's revenue streams, allowing it to capitalize on market opportunities and generate returns for its stakeholders.

Unity Group Holdings International Limited Financial Statement Overview

Summary

Unity Group Holdings International Limited shows strong revenue growth and profitability recovery, with a solid balance sheet marked by reduced leverage. However, cash flow management is a concern due to negative operating and free cash flows, indicating potential liquidity issues despite positive net income.

Income Statement

The company shows strong revenue growth from last year, nearly doubling its revenue. Gross profit margin is healthy at 61.23%, and the net profit margin turned positive at 9.06%. However, EBIT and EBITDA margins are modest at 4.89% and 19.68%, respectively, indicating some operational efficiency improvements but room for further enhancement.

Balance Sheet

The balance sheet is robust with a high equity ratio of 68.72%, indicating financial stability. The debt-to-equity ratio improved significantly due to reduced total debt, now at 0.10. Return on equity is strong at 2.61%, indicating profitable operations relative to shareholder equity. Overall, the company shows a solid equity position with reduced leverage.

Cash Flow

The cash flow statement reveals challenges, as operating cash flow is negative, indicating potential liquidity issues. The free cash flow also remains negative, suggesting potential cash management concerns. The free cash flow to net income ratio is negative, highlighting the need for better cash flow management despite reported net income.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	128.48M	92.62M	46.55M	80.43M	53.78M	126.55M
Gross Profit	68.73M	56.74M	27.71M	32.56M	26.38M	70.11M
EBITDA	2.71M	18.23M	-10.08M	-348.75M	-255.76M	-84.19M
Net Income	10.61M	8.39M	-25.08M	-382.14M	-279.80M	-107.54M
Balance Sheet
Total Assets	521.39M	468.38M	373.64M	417.81M	404.89M	650.59M
Cash, Cash Equivalents and Short-Term Investments	45.63M	31.91M	19.48M	27.59M	9.85M	19.53M
Total Debt	31.82M	32.55M	189.99M	93.50M	163.15M	193.83M
Total Liabilities	155.35M	154.27M	246.99M	272.17M	350.34M	335.51M
Stockholders Equity	368.49M	321.90M	137.72M	157.96M	62.13M	320.02M
Cash Flow
Free Cash Flow	-79.73M	-64.67M	-9.18M	-14.54M	1.53M	3.95M
Operating Cash Flow	-79.43M	-64.33M	-9.09M	-13.99M	1.54M	4.52M
Investing Cash Flow	4.17M	6.55M	7.08M	-546.00K	15.44M	10.31M
Financing Cash Flow	-531.00K	79.12M	-5.37M	31.73M	-19.36M	-30.05M

Unity Group Holdings International Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.40
• 50DMA: Positive
• 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:1539, the sentiment is Positive. The current price of 0.4 is above the 20-day moving average (MA) of 0.38, above the 50-day MA of 0.39, and below the 200-day MA of 0.43, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 54.15 is Neutral, neither overbought nor oversold. The STOCH value of 40.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1539.

Unity Group Holdings International Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0842	80 Outperform	HK$3.58B	5.59	12.91%	5.49%	17.69%	3.08%
1979	70 Outperform	HK$1.74B	4.54	21.87%	7.10%	11.66%	16.73%
Sector *	68 Neutral	£2.96B	10.47	8.40%	3.15%	2.88%	-10.00%
1729	63 Neutral	HK$14.33B	31.69		0.54%	―	―
1710	60 Neutral	HK$142.00M	16.51	2.07%	8.45%	-13.16%	-81.74%
1539	52 Neutral	HK$1.36B	37.98	13.78%	―	58.29%	-85.39%

Unity Group Holdings International Limited Corporate Events

Unity Group Announces Share Option Exercise Details in Annual Report Supplement

Unity Group Holdings International Limited has issued a supplemental announcement to its annual report for the year ended 31 March 2024, detailing the exercise of share options by key personnel and employees. A total of 56,287,000 share options were exercised by several directors and employees at a weighted average closing price of HK$0.540, alongside 125,000 options by another director at HK$0.580. This information aims to enhance transparency for shareholders and potential investors, confirming that other report details remain unchanged.