K.H. Group Holdings Ltd. (1557) AI Stock Analysis

• Market Cap: HK$99.36M
• Dividend Yield: N/A
• Average Volume (3M): 120.00K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.02
• Revenue Growth: -26.03%
• EPS Growth: 1.48%
• Country: HK
• Employees: 71
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): -0.03
• Shares Outstanding: 480,000,000
• 10 Day Avg. Volume: 168,400
• 30 Day Avg. Volume: 120,000
• PEG Ratio: 0.00
• Price to Book (P/B): -0.72
• Price to Sales (P/S): 0.47
• P/FCF Ratio: -9.36
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score is primarily driven by severe financial performance issues, including declining revenues, negative profit margins, and cash flow challenges. While technical analysis shows some short-term bullish momentum, the overbought RSI suggests caution. The negative P/E ratio and lack of dividend yield further weigh down the valuation score.

K.H. Group Holdings Ltd. Business Overview & Revenue Model

Company Description

K.H. Group Holdings Ltd. (1557) is a diversified investment holding company based in Hong Kong. The company operates primarily in the construction and property sectors, focusing on providing construction services, property development, and investment. K.H. Group Holdings aims to leverage its expertise to deliver high-quality projects and create value in the real estate market, while also exploring opportunities in related sectors to enhance its portfolio.

How the Company Makes Money

K.H. Group Holdings generates revenue primarily through its construction services and property development projects. The company undertakes various construction contracts, providing services for both public and private sector clients, which contributes a significant portion of its revenue. Additionally, revenue is derived from the sale and leasing of developed properties, allowing the company to capitalize on the growing demand for real estate in Hong Kong. Key revenue streams include contract income from construction projects, sales of residential and commercial properties, and rental income from its investment properties. Strategic partnerships with suppliers, subcontractors, and other stakeholders in the construction and real estate markets further enhance the company's ability to secure lucrative projects and optimize costs, contributing to its overall financial performance.

K.H. Group Holdings Ltd. Financial Statement Overview

Summary

K.H. Group Holdings Ltd. faces substantial financial difficulties across all verticals. The income statement shows declining revenues and persistent losses, while the balance sheet highlights a precarious financial position with negative equity. Cash flow challenges further exacerbate the situation, with negative operating cash flow and declining free cash flow. The company must address these issues to stabilize its financial health and ensure long-term viability.

Income Statement

The income statement reveals significant challenges, with declining revenues and negative profit margins. The gross profit margin and net profit margin are both negative, indicating the company is not covering its costs effectively. Revenue has decreased sharply over the years, with a notable decline of 25.8% in the latest year. The EBIT and EBITDA margins are also negative, reflecting operational inefficiencies.

Balance Sheet

The balance sheet shows a concerning financial structure with negative stockholders' equity, indicating potential insolvency risks. The debt-to-equity ratio is negative due to negative equity, and the return on equity is highly volatile. The equity ratio is also negative, suggesting the company is heavily reliant on debt financing, which poses significant financial risk.

Cash Flow

Cash flow analysis indicates severe issues with cash generation. The operating cash flow is negative, and free cash flow has declined significantly. The free cash flow to net income ratio is around 1, but this is due to both metrics being negative. The company struggles to convert its earnings into cash, which is a critical concern for liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	174.69M	129.58M	175.17M	245.35M	751.77M	933.80M
Gross Profit	22.63M	-43.74M	-31.04M	-28.98M	29.75M	41.65M
EBITDA	-63.73M	-53.24M	-37.93M	-53.88M	275.00K	18.64M
Net Income	-72.86M	-57.59M	-51.56M	-74.11M	-18.35M	1.07M
Balance Sheet
Total Assets	136.96M	273.95M	201.99M	440.04M	658.02M	682.89M
Cash, Cash Equivalents and Short-Term Investments	72.12M	48.48M	84.50M	58.76M	57.90M	6.40M
Total Debt	17.99M	54.06M	25.67M	211.69M	281.75M	201.95M
Total Liabilities	207.11M	358.15M	227.75M	439.01M	582.88M	589.40M
Stockholders Equity	-70.15M	-84.20M	-25.76M	1.03M	75.14M	93.49M
Cash Flow
Free Cash Flow	32.87M	-6.51M	52.74M	42.71M	14.55M	-82.30M
Operating Cash Flow	33.03M	-6.51M	52.92M	42.72M	16.32M	-79.28M
Investing Cash Flow	41.89M	628.00K	80.25M	30.23M	-43.10M	-23.02M
Financing Cash Flow	-52.30M	-29.26M	-102.47M	-69.73M	89.11M	26.90M

K.H. Group Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.20
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1557, the sentiment is Negative. The current price of 0.2 is below the 20-day moving average (MA) of 0.20, below the 50-day MA of 0.20, and above the 200-day MA of 0.16, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 46.92 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 Negative sentiment for HK:1557.

K.H. Group Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1557	46 Neutral	HK$99.36M	―	―	―	-26.03%	1.48%
3789	46 Neutral	HK$70.80M	-11.80	-1.93%	―	-6.72%	-161.73%
1630	45 Neutral	HK$64.50M	-6.83	-8.05%	―	-29.39%	78.42%
2195	43 Neutral	HK$55.68M	-2.09	-19.00%	―	48.86%	54.49%
1546	41 Neutral	HK$47.20M	-0.92	-35.67%	―	55.11%	-717.31%
1826	40 Underperform	HK$75.92M	-142.50	―	―	11.52%	98.72%

K.H. Group Holdings Ltd. Corporate Events

K.H. Group Holdings Ltd. Issues Supplemental Announcement on Annual Report

K.H. Group Holdings Ltd. has issued a supplemental announcement to its annual report for the year ending March 31, 2025, detailing the utilization and reallocation of net proceeds. The company has allocated funds towards business development, general working capital, and repayment of bank borrowings, with a significant portion of unutilized proceeds expected to be used by the end of 2025. This announcement does not alter any other information in the annual report and maintains the company’s strategic focus on enhancing its construction business operations.

K.H. Group Holdings Announces Unanimous Approval of AGM Resolutions

K.H. Group Holdings Limited, a company incorporated in the Cayman Islands, held its 2025 Annual General Meeting on September 11, 2025, where all proposed resolutions were unanimously approved by shareholders. These resolutions included the approval of financial statements, re-election of directors, reappointment of auditors, and granting of mandates for share issuance and repurchase, indicating strong shareholder support and a stable governance structure.