REF Holdings Limited (1631) AI Stock Analysis

• Market Cap: HK$151.04M
• Dividend Yield: N/A
• Average Volume (3M): 203.67K
• Price to Earnings (P/E): 26.7
• Beta (1Y): 0.61
• Revenue Growth: -14.25%
• EPS Growth: -51.75%
• Country: HK
• Employees: 115
• Sector: Industrials
• Sector Strength: 94
• Industry: Specialty Business Services
• EPS (TTM): <0.01
• Shares Outstanding: 256,000,000
• 10 Day Avg. Volume: 154,000
• 30 Day Avg. Volume: 203,666
• PEG Ratio: -2.68
• Price to Book (P/B): 1.93
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 9.20
• 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: 70 Outperform
• Price Target: HK$0.50 ▼(-15.25%Downside)

The company exhibits a strong balance sheet and positive technical signals, indicating potential for stock appreciation. However, financial performance shows declining profitability, and valuation is high, posing risks. The absence of earnings call and corporate event data limits further insights.

REF Holdings Limited Business Overview & Revenue Model

Company Description

REF Holdings Limited, an investment holding company, provides financial printing services in Hong Kong. It offers financial printing services comprising typesetting, proofreading, translation, design, printing, web submitting, media placement, and distribution of listing documents, financial reports, compliance documents, and other documents. The company was founded in 2010 and is headquartered in Central, Hong Kong. REF Holdings Limited is a subsidiary of Jumbo Ace Enterprises Limited.

How the Company Makes Money

REF Holdings Limited generates revenue primarily through its financial printing services, which cater to companies in need of producing regulatory and financial documents. The firm charges clients for printing services, which include the preparation, design, and distribution of compliance materials such as initial public offering prospectuses, annual reports, and other financial documentation. The company's revenue model is transaction-based, with fees typically determined by the complexity, volume, and urgency of the printing projects. Partnerships with financial institutions and regulatory bodies also play a role in sustaining business, as they can lead to recurring contracts and projects. Additionally, REF Holdings may offer ancillary services such as translation, typesetting, and other document-related services, which contribute to its revenue streams.

REF Holdings Limited Financial Statement Overview

Summary

REF Holdings Limited shows a mixed financial position. Profitability metrics have weakened with declining revenue and margins, but the balance sheet remains solid with low leverage and high equity ratios. Cash flow metrics indicate healthy cash generation, despite recent declines.

Income Statement

The company shows a declining trend in revenue over the past three years, with a notable revenue decrease of about 14.3% from 2020 to 2024. Gross profit margin has decreased from 47% in 2019 to approximately 52.7% in 2024, indicating cost management challenges. Net profit margin decreased from 17.6% in 2019 to 5.3% in 2024. EBITDA margin also fell from 33% in 2020 to 9.3% in 2024, showing reduced operational efficiency.

Balance Sheet

The company's debt-to-equity ratio remains low, reflecting manageable leverage with a decrease from 0.04 in 2020 to 0.46 in 2024. The equity ratio is strong at 63.5% in 2024, indicating solid equity funding. However, total assets have been decreasing, signaling potential risks to long-term growth.

Cash Flow

Operating cash flow has been positive, albeit showing volatility with a significant drop from 2023 to 2024. Free cash flow is positive, though it decreased significantly in 2024 compared to previous years. The operating cash flow to net income ratio is favorable, indicating healthy cash generation relative to net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	106.36M	124.04M	129.71M	135.08M	147.50M
Gross Profit	56.07M	63.25M	66.23M	72.20M	69.46M
EBITDA	28.91M	38.02M	38.76M	34.13M	50.52M
Net Income	5.67M	11.71M	11.16M	8.63M	18.27M
Balance Sheet
Total Assets	125.50M	104.22M	147.80M	210.37M	260.53M
Cash, Cash Equivalents and Short-Term Investments	55.75M	55.09M	77.32M	128.99M	209.22M
Total Debt	36.42M	8.54M	25.46M	41.64M	10.47M
Total Liabilities	45.77M	31.47M	48.38M	70.91M	52.90M
Stockholders Equity	79.73M	72.75M	99.42M	139.46M	207.63M
Cash Flow
Free Cash Flow	16.69M	36.03M	20.91M	15.59M	26.40M
Operating Cash Flow	16.96M	36.17M	21.53M	29.10M	26.43M
Investing Cash Flow	19.38M	42.50M	-58.78M	5.50M	217.66M
Financing Cash Flow	-17.27M	-59.82M	-72.96M	-93.52M	-71.61M

REF Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.59
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1631, the sentiment is Positive. The current price of 0.59 is below the 20-day moving average (MA) of 0.60, above the 50-day MA of 0.52, and above the 200-day MA of 0.31, indicating a bullish trend. The MACD of 0.02 indicates Positive momentum. The RSI at 58.12 is Neutral, neither overbought nor oversold. The STOCH value of 70.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1631.

REF Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1631	70 Outperform	HK$151.04M	26.70	7.44%	―	-14.25%	-51.75%
1841	65 Neutral	HK$87.60M	16.98	-1.47%	―	-14.57%	-72.26%
1975	63 Neutral	HK$182.40M	12.79	3.04%	9.09%	-26.49%	-16.57%
8450	58 Neutral	HK$136.00M	―	-23.68%	―	-30.12%	-208.11%
Sector *	58 Neutral	HK$14.94B	4.62	-2.78%	5.07%	3.80%	-54.55%
1884	56 Neutral	HK$57.75M	―	-2.70%	―	-0.14%	72.86%
8419	52 Neutral	HK$33.60M	19.09	3.02%	―	-9.59%	―

REF Holdings Limited Corporate Events

REF Holdings Limited Strengthens Nomination Committee with New Appointment

REF Holdings Limited, a company incorporated in the Cayman Islands, has announced the appointment of Ms. Fan Jia Yin as a member of its nomination committee, effective 30 June 2025. This strategic appointment aims to strengthen the company’s leadership structure, with Ms. Fan joining three independent non-executive directors in the committee. The board expressed its warm welcome to Ms. Fan, indicating a positive outlook for the company’s governance and decision-making processes.

REF Holdings Limited Announces Board Restructuring

REF Holdings Limited has announced changes to its board of directors, effective June 30, 2025. The board comprises a non-executive director, an executive director, and three independent non-executive directors. The company has also established three committees: Audit, Remuneration, and Nomination, with specific directors assigned to each. These changes in the board and committee structures may impact the company’s governance and strategic direction.

REF Holdings Limited Updates Nomination Committee Terms

REF Holdings Limited has announced updates to the terms of reference for its Nomination Committee, which is responsible for identifying and nominating qualified individuals for the company’s board of directors. The amendments, effective from June 30, 2025, aim to enhance the diversity and effectiveness of the board by including a member of a different gender and ensuring a majority of independent non-executive directors. These changes are expected to strengthen the company’s governance structure and align with its corporate strategy, potentially impacting its market positioning and stakeholder interests.

REF Holdings Limited Successfully Passes All Resolutions at 2025 AGM

REF Holdings Limited, a company incorporated in the Cayman Islands, announced that all proposed ordinary resolutions were passed by shareholders at the Annual General Meeting held on May 2, 2025. The resolutions included the adoption of financial statements, re-election of directors, and granting of mandates for share issuance and repurchase. This successful passing of resolutions indicates strong shareholder support and positions the company for continued strategic actions in the upcoming year.