VPower Group International Holdings Limited (1608) AI Stock Analysis

• Market Cap: HK$1.94B
• Dividend Yield: N/A
• Average Volume (3M): 237.17K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.21
• Revenue Growth: 1.52%
• EPS Growth: 95.42%
• Country: HK
• Employees: 380
• Sector: Industrials
• Sector Strength: 83
• Industry: Electrical Equipment & Parts
• EPS (TTM): -0.01
• Shares Outstanding: 6,683,150,400
• 10 Day Avg. Volume: 457,400
• 30 Day Avg. Volume: 237,166
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 50 Neutral
• Price Target: HK$0.50 ▲(78.57% Upside)

The overall stock score is primarily impacted by the company's weak financial performance, characterized by declining revenues, high leverage, and negative cash flow trends. Technical analysis provides some support with a short-term upward trend, but valuation concerns due to a negative P/E ratio and lack of dividend yield weigh heavily on the score.

VPower Group International Holdings Limited Business Overview & Revenue Model

Company Description

VPower Group International Holdings Limited (1608) is a leading integrated power generation company focused on providing fast-track and reliable power solutions. Operating primarily in Asia, the company specializes in designing, integrating, and selling distributed power generation systems. VPower Group's core products and services include power generation systems, power station operation, and maintenance services, catering to both traditional and renewable energy sectors.

How the Company Makes Money

VPower Group International Holdings Limited generates revenue through the sale and leasing of distributed power generation systems. The company also earns income by providing power station operation and maintenance services, ensuring the efficient and uninterrupted operation of installed systems. Revenue streams are further supplemented by signing long-term power purchase agreements with clients, which may include governments and industrial entities requiring stable and reliable power supply. Additionally, strategic partnerships and joint ventures in various markets strengthen its revenue potential and market reach.

VPower Group International Holdings Limited Financial Statement Overview

Summary

VPower Group faces significant financial challenges with declining revenues and persistent losses. High leverage and negative cash flow trends pose risks to financial stability. Despite some improvement in gross profit margin, the overall financial position is weak.

Income Statement

The company's income statement shows a declining trend in revenue over recent years, with a significant drop in net income, indicating profitability challenges. The gross profit margin improved from 2023 to 2024 but remains low. Negative EBIT and EBITDA margins in 2023 signal operating inefficiencies.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, indicating significant leverage. The company's equity ratio is stable but low, suggesting limited financial resilience. Return on equity has been negative, reflecting ongoing profitability issues.

Cash Flow

Cash flow analysis shows inconsistency, with operating cash flow turning negative in 2021 and free cash flow declining significantly. The inability to generate positive free cash flow consistently highlights potential liquidity risks.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.52B	1.50B	3.36B	5.09B	3.39B
Gross Profit	287.06M	46.16M	556.47M	699.95M	735.00M
EBITDA	223.03M	-1.58B	388.61M	637.02M	868.28M
Net Income	-233.08M	-2.85B	-316.85M	45.69M	516.29M
Balance Sheet
Total Assets	5.86B	6.24B	8.91B	10.35B	9.13B
Cash, Cash Equivalents and Short-Term Investments	122.81M	131.23M	165.18M	572.18M	1.08B
Total Debt	2.50B	2.82B	3.02B	3.97B	3.25B
Total Liabilities	4.28B	4.35B	5.77B	6.82B	5.65B
Stockholders Equity	1.58B	1.88B	3.14B	3.48B	3.44B
Cash Flow
Free Cash Flow	212.69M	128.70M	-48.67M	-1.30B	1.36B
Operating Cash Flow	249.46M	226.95M	121.39M	-980.84M	1.67B
Investing Cash Flow	-2.89M	-29.30M	-211.68M	-191.23M	-604.72M
Financing Cash Flow	-241.40M	-179.12M	-234.08M	649.50M	-917.64M

VPower Group International Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.28
• 50DMA: Positive
• 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:1608, the sentiment is Positive. The current price of 0.28 is below the 20-day moving average (MA) of 0.28, below the 50-day MA of 0.28, and above the 200-day MA of 0.23, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 55.72 is Neutral, neither overbought nor oversold. The STOCH value of 30.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1608.

VPower Group International Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3393	76 Outperform	HK$8.64B	11.33	13.34%	4.33%	18.17%	33.08%
0842	67 Neutral	HK$2.72B	4.25	12.91%	5.76%	17.69%	3.08%
1979	67 Neutral	HK$2.11B	5.50	21.87%	5.69%	11.66%	16.73%
Sector *	58 Neutral	HK$13.23B	4.28	-2.97%	5.82%	2.91%	-48.85%
1608	50 Neutral	HK$1.94B	―	-13.31%	―	1.52%	95.42%
2188	47 Neutral	HK$417.77M	―	-7.76%	―	4.07%	-9.63%
8328	46 Neutral	HK$557.73M	7.87	-18.92%	―	-11.36%	-336.92%

VPower Group International Holdings Limited Corporate Events

VPower Group Announces Positive Profit Alert for H1 2025

VPower Group International Holdings Limited has announced a positive profit alert for the six months ending June 30, 2025, with an expected unaudited consolidated profit of approximately HK$20 million. This turnaround from a HK$139 million loss in the same period of 2024 is primarily due to income from the disposal of power generating assets and reduced interest expenses from repaid bank borrowings. The final results are yet to be confirmed and will be published by the end of August 2025.

VPower Group Secures Shareholder Approval for Key Resolutions at AGM

VPower Group International Holdings Limited announced the successful approval of all resolutions at its annual general meeting held on June 12, 2025. The resolutions included the adoption of financial statements, re-election of directors, and authorization for the board to fix remuneration and issue new shares. This approval reflects strong shareholder support and positions the company for continued strategic initiatives and governance stability.

VPower Group Extends Long Stop Date for Equipment Purchase Agreement

VPower Group International Holdings Limited has announced an extension of the Long Stop Date for its Equipment Purchase Agreement, moving it from 16 May 2025 to 30 June 2025. This extension allows more time to satisfy or waive the conditions of the agreement, while all other terms remain unchanged, potentially impacting the company’s operational timelines and stakeholder expectations.