CR Construction Group Holdings Limited (1582) AI Stock Analysis

• Market Cap: HK$210.00M
• Dividend Yield: 7.86%
• Average Volume (3M): 95.67K
• Price to Earnings (P/E): 3.9
• Beta (1Y): 0.05
• Revenue Growth: 11.39%
• EPS Growth: -25.31%
• Country: HK
• Employees: 1,015
• Sector: Industrials
• Sector Strength: 87
• Industry: Engineering & Construction
• EPS (TTM): 0.04
• Shares Outstanding: 500,000,000
• 10 Day Avg. Volume: 80,000
• 30 Day Avg. Volume: 95,666
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: 19.05% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 62 Neutral
• Price Target: HK$0.50 ▲(19.05%Upside)

The overall stock score is primarily influenced by stable financial performance and attractive valuation. The company's solid balance sheet and low P/E ratio support its financial health, despite profitability and cash flow challenges. Technical analysis indicates a neutral market position, contributing moderately to the score.

CR Construction Group Holdings Limited Business Overview & Revenue Model

Company Description

CR Construction Group Holdings Limited, an investment holding company, operates as a building contractor in Hong Kong and Malaysia. The company provides building construction services for residential, commercial, and industrial buildings, as well as repair, maintenance, addition, and alteration work services. It serves public and private sectors. The company was founded in 1967 and is headquartered in Kwun Tong, Hong Kong. CR Construction Group Holdings Limited is a subsidiary of CR Construction Investments Limited.

How the Company Makes Money

CR Construction Group Holdings Limited generates revenue primarily through its construction services. The company's key revenue streams include contracts for building construction and civil engineering projects. These projects are commissioned by both private sector clients, such as property developers and commercial enterprises, and public sector clients, including government bodies and public institutions. CR Construction's earnings are largely dependent on the successful bidding and execution of these contracts, which are often awarded based on competitive tender processes. The company may also engage in partnerships or joint ventures to undertake larger or more complex projects, thereby expanding its business opportunities and revenue potential.

CR Construction Group Holdings Limited Financial Statement Overview

Summary

CR Construction Group Holdings Limited demonstrates stability in its balance sheet with a manageable debt-to-equity ratio and solid equity base. However, the company faces profitability pressures with declining net profit margins and challenges in cash flow generation. Consistent revenue and stable EBIT/EBITDA margins are positives, but cash flow issues need addressing.

Income Statement

The company has shown a consistent revenue stream with a minor growth in gross profit margin from 5.2% to 5.8% in the latest year. However, the net profit margin declined from 1.3% to 0.9%, indicating pressure on profitability. Despite the decline, EBIT and EBITDA margins remained relatively stable.

Balance Sheet

The balance sheet reflects a stable financial position with a manageable debt-to-equity ratio of 1.01. Return on Equity (ROE) has decreased to 8.2% from 11.6% last year, aligning with the net income decline. The equity ratio is at 13.5%, suggesting a solid equity base relative to total assets.

Cash Flow

Cash flow presents challenges with operating cash flow being zero and free cash flow showing negative trends in past periods. The lack of positive free cash flow growth is a concern. The company needs to improve its cash generation capabilities to support operations and growth.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.07B	5.45B	6.27B	4.88B	4.49B
Gross Profit	353.23M	283.02M	220.56M	177.01M	203.76M
EBITDA	146.62M	171.04M	136.50M	97.69M	137.36M
Net Income	53.72M	71.89M	56.53M	48.56M	89.14M
Balance Sheet
Total Assets	4.86B	4.13B	3.16B	2.61B	2.39B
Cash, Cash Equivalents and Short-Term Investments	330.80M	235.97M	93.28M	64.50M	118.71M
Total Debt	664.68M	727.63M	207.75M	208.59M	109.70M
Total Liabilities	4.18B	3.50B	2.59B	2.05B	1.81B
Stockholders Equity	655.68M	619.39M	569.09M	557.40M	577.42M
Cash Flow
Free Cash Flow	244.01M	-107.02M	45.90M	-60.13M	-82.03M
Operating Cash Flow	250.97M	-98.71M	57.84M	-51.34M	-73.99M
Investing Cash Flow	-5.58M	27.60M	-20.91M	-28.68M	-6.63M
Financing Cash Flow	-147.18M	148.79M	-11.14M	22.76M	22.20M

CR Construction Group Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.42
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1582, the sentiment is Negative. The current price of 0.42 is below the 20-day moving average (MA) of 0.43, below the 50-day MA of 0.42, and below the 200-day MA of 0.43, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 46.04 is Neutral, neither overbought nor oversold. The STOCH value of 31.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1582.

CR Construction Group Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1447	72 Outperform	HK$228.00M	8.21	7.49%	12.28%	19.67%	9.64%
0385	70 Neutral	HK$232.01M	4.57	2.42%	6.41%	28.60%	97.00%
Sector *	67 Neutral	£2.71B	11.98	4.22%	3.38%	2.19%	-20.98%
1582	62 Neutral	HK$210.00M	3.91	8.43%	7.86%	11.39%	-25.31%
1547	57 Neutral	HK$196.00M	23.33	5.05%	4.08%	24.88%	―
2863	48 Neutral	HK$223.38M	―	-1.47%	8.96%	0.94%	82.30%

CR Construction Group Holdings Limited Corporate Events

CR Construction Group Schedules Board Meeting for Interim Results

CR Construction Group Holdings Limited has announced a board meeting scheduled for August 26, 2025, to discuss and approve the unaudited consolidated financial statement for the first half of 2025. The meeting will also address the potential announcement of an interim dividend and other relevant matters, which could impact the company’s financial strategy and stakeholder interests.

CR Construction Group Announces Board Composition and Governance Structure

CR Construction Group Holdings Limited has announced the composition of its board of directors as of June 30, 2025, highlighting the roles and functions of its executive, non-executive, and independent non-executive directors. This announcement underscores the company’s governance structure, which includes the establishment of three key committees: Audit, Remuneration, and Nomination, reflecting its commitment to structured corporate governance.

CR Construction Group Appoints New Lead Independent Director

CR Construction Group Holdings Limited has announced the designation of Mr. Lai Yuk Fai Stephen JP as the lead independent non-executive director, effective June 30, 2025. This appointment is part of the company’s ongoing efforts to strengthen its governance structure, with Mr. Lai continuing his other roles within the board and its committees.

CR Construction Group Enhances Governance with New Nomination Committee

CR Construction Group Holdings Limited has established a nomination committee to comply with the requirements of the Hong Kong Stock Exchange’s Listing Rules and Corporate Governance Code. The committee is tasked with formulating and reviewing the nomination policy, assessing board composition, and ensuring diversity and independence among board members, thereby enhancing the company’s governance structure and aligning with its corporate strategy.

CR Construction Group Forms Strategic Joint Venture with Tiantai Construction

CR Construction Group Holdings Limited has announced the formation of a joint venture (JV) with Tiantai Construction, increasing the JV’s registered capital from RMB50.0 million to RMB96.5 million. This strategic move will see the company holding a 47% equity interest in the JV, which will be accounted as a joint venture of the company, potentially enhancing its market position and operational capabilities in the construction sector.

CR Construction Group’s AGM Resolutions Unanimously Approved

CR Construction Group Holdings Limited held its Annual General Meeting on June 19, 2025, where all proposed resolutions were passed unanimously. The resolutions included the acceptance of the company’s audited financial statements for 2024, re-election of directors, re-appointment of Ernst & Young as auditors, and approval of a final dividend of HK1.8 cents per share. This unanimous approval reflects strong shareholder support and may positively impact the company’s governance and financial strategies.

CR Construction Secures HK$1.21 Billion Redevelopment Contract in Hong Kong

CR Construction Group Holdings Limited announced that its subsidiary, CR Construction Company Limited, has secured a main contract for a redevelopment project in To Kwa Wan, Kowloon, Hong Kong, valued at approximately HK$1.21 billion. The project is expected to commence in June 2025, marking a significant development in the company’s operations and potentially strengthening its position in the Hong Kong construction market.

CR Construction Group Announces Supplemental Notice for AGM

CR Construction Group Holdings Limited has announced a supplemental notice for its Annual General Meeting (AGM) to be held on June 19, 2025. The meeting will include resolutions for the re-election of two executive directors, Mr. Zhang Guanhua and Mr. Pan Shujie. The announcement also details the procedures for shareholders regarding proxy forms, emphasizing the importance of submitting the revised form to ensure valid representation at the AGM.

CR Construction Group Announces Leadership Transition

CR Construction Group Holdings Limited has announced a significant change in its leadership, with the resignation of Mr. Guan Manyu as executive director and chairman due to time constraints. Mr. Zhang Guanhua has been appointed as the new executive director and chairman, bringing 25 years of experience in the construction industry to the role. This leadership transition is expected to impact the company’s strategic direction and operations positively, given Mr. Zhang’s extensive background and expertise in the field.

CR Construction Group Announces Board Composition and Committee Roles

CR Construction Group Holdings Limited has announced the composition of its board of directors and the roles within its established committees as of May 12, 2025. This announcement outlines the leadership structure, which includes executive, non-executive, and independent non-executive directors, and highlights the company’s commitment to strong governance practices.