Hong Kong Aerospace Technology Group Limited (1725) AI Stock Analysis

• Market Cap: HK$413.34M
• Dividend Yield: N/A
• Average Volume (3M): 2.83M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.84
• Revenue Growth: -47.58%
• EPS Growth: 22.99%
• Country: HK
• Employees: 567
• Sector: Industrials
• Sector Strength: 87
• Industry: Aerospace & Defense
• EPS (TTM): -0.34
• Shares Outstanding: 504,074,000
• 10 Day Avg. Volume: 3,315,500
• 30 Day Avg. Volume: 2,827,970
• PEG Ratio: -0.08
• Price to Book (P/B): 1.49
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -7.99
• 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: 48 Neutral
• Price Target: HK$1.00 ▲(21.95%Upside)

Hong Kong Aerospace Technology Group Limited faces significant financial challenges, with declining revenues and negative profit margins impacting its financial performance. While technical analysis suggests some short-term bullish momentum, valuation metrics are unfavorable due to negative earnings, driving the overall score lower.

Hong Kong Aerospace Technology Group Limited Business Overview & Revenue Model

Company Description

Hong Kong Aerospace Technology Group Limited (1725) is a company engaged in the aerospace industry, focusing on satellite manufacturing and related services. The company operates in sectors such as satellite systems, satellite data applications, and aerospace technology. Its core products and services include the design, development, and manufacturing of satellites, as well as providing satellite data services to various industries.

How the Company Makes Money

The company makes money through multiple revenue streams. Primarily, it generates income by designing and manufacturing satellites for clients, which can include governments, telecommunications companies, and other private sector entities. Additionally, the company offers satellite data services, which involve selling data collected from its satellites to businesses and organizations that require geospatial data for applications like agriculture, environmental monitoring, and urban planning. Hong Kong Aerospace Technology Group Limited may also engage in partnerships and collaborations with other aerospace companies and governments, which can lead to further revenue through joint ventures and shared projects.

Hong Kong Aerospace Technology Group Limited Financial Statement Overview

Summary

Hong Kong Aerospace Technology Group Limited is facing financial challenges across all major financial statement verticals. The income statement reveals declining revenues and persistent losses. The balance sheet indicates high leverage and declining equity. Cash flow issues are significant, with negative free cash flow and operating cash flow. The company needs to address these critical areas to improve its financial health.

Income Statement

The company has been experiencing a declining revenue trend, with a significant drop in total revenue from 2023 to 2024. The EBIT and EBITDA margins have been negative in recent years, indicating operational inefficiencies. Net profit margins are also negative, reflecting consistent financial losses. The revenue growth rate has been negative, highlighting challenges in sales performance.

Balance Sheet

The debt-to-equity ratio is relatively high, suggesting a heavy reliance on debt financing. There has been a decline in stockholders' equity over the years. The equity ratio has decreased, indicating a higher proportion of liabilities relative to assets. Return on Equity (ROE) is negative, showing that the company is not currently delivering returns to its shareholders.

Cash Flow

The cash flow situation is concerning, with negative free cash flow and operating cash flow in recent years. The company is not generating sufficient cash from its operations to cover capital expenditures. Free cash flow growth has been negative, and the ratio of operating cash flow to net income is unfavorable, highlighting cash flow challenges.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	315.80M	593.51M	635.43M	650.23M	547.83M
Gross Profit	48.12M	64.71M	26.04M	37.12M	49.59M
EBITDA	-116.80M	-138.00M	-94.17M	-28.93M	27.09M
Net Income	-198.00M	-211.14M	-154.29M	-53.08M	17.32M
Balance Sheet
Total Assets	845.17M	1.15B	1.23B	941.31M	575.76M
Cash, Cash Equivalents and Short-Term Investments	28.72M	72.73M	43.10M	97.59M	186.63M
Total Debt	432.94M	691.55M	591.56M	243.93M	32.70M
Total Liabilities	708.95M	951.51M	981.47M	549.77M	325.47M
Stockholders Equity	174.85M	174.33M	245.88M	391.54M	250.29M
Cash Flow
Free Cash Flow	-33.37M	-323.19M	-287.59M	-434.16M	51.03M
Operating Cash Flow	-23.83M	-132.87M	-93.03M	-176.84M	93.48M
Investing Cash Flow	23.69M	-120.41M	-194.01M	-273.61M	-22.29M
Financing Cash Flow	-47.07M	279.99M	232.80M	362.21M	3.15M

Hong Kong Aerospace Technology Group Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.82
• 50DMA: Positive
• 100DMA: Positive
• 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:1725, the sentiment is Positive. The current price of 0.82 is above the 20-day moving average (MA) of 0.70, above the 50-day MA of 0.69, and below the 200-day MA of 0.91, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 67.58 is Neutral, neither overbought nor oversold. The STOCH value of 64.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1725.

Hong Kong Aerospace Technology Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0232	69 Neutral	HK$1.11B	19.83	1.85%	4.20%	-1.36%	-65.52%
Sector *	58 Neutral	$1.33B	4.26	-2.93%	8.38%	3.41%	-51.76%
1725	48 Neutral	HK$413.34M	―	-115.47%	―	-47.58%	22.99%
8021	45 Neutral	HK$272.97M	8.64	7.78%	―	-22.96%	―
1673	45 Neutral	HK$365.51M	―	-1.94%	―	-14.00%	87.71%
0439	41 Neutral	HK$708.05M	―	-2.25%	―	-9.17%	-547.06%
8391	35 Underperform	HK$357.59M	―	-270.38%	―	95.98%	-2.60%

Hong Kong Aerospace Technology Group Limited Corporate Events

USPACE Technology Group Limited Successfully Passes AGM Resolutions

USPACE Technology Group Limited, incorporated in the Cayman Islands, announced that all resolutions were approved by shareholders at their Annual General Meeting held on May 26, 2025. The resolutions included the approval of financial statements for the year ended December 31, 2024, and the re-election of several directors. The successful passing of these resolutions reflects strong shareholder support and is likely to provide stability in the company’s governance and operations.

USPACE Technology Group Limited Announces Change in Hong Kong Business Location

USPACE Technology Group Limited has announced a change in its principal place of business in Hong Kong, effective from May 1, 2025. This move to a new location at 6th Floor, St. John’s Building, 33 Garden Road, Central, Hong Kong, is part of the company’s strategic adjustments, although its website, telephone, and facsimile numbers will remain the same.

USPACE Technology Group Announces 2025 AGM with Key Resolutions

USPACE Technology Group Limited, a company incorporated in the Cayman Islands, has announced its 2025 Annual General Meeting (AGM) scheduled for May 26, 2025, in Hong Kong. The AGM will address several key resolutions, including the approval of the audited financial statements for 2024, re-election of directors, and re-appointment of auditors. Additionally, the meeting will consider authorizing the board to allot and issue shares or securities convertible into shares, reflecting the company’s strategic focus on enhancing its capital structure and governance.

USPACE Technology Group Ends Subscription Negotiations

USPACE Technology Group Limited, a company incorporated in the Cayman Islands, announced the termination of discussions regarding a potential subscription agreement. The company and the potential subscriber mutually agreed to end negotiations, and no binding agreements were made. This decision halts any further proceedings related to the subscription and the possible application for a Whitewash Waiver. Stakeholders are advised to exercise caution when dealing with the company’s shares due to the implications of this termination.

USPACE Technology Group Faces Financial Uncertainty Amid Annual Results Announcement

USPACE Technology Group Limited, listed on the Hong Kong Stock Exchange, has released a supplemental announcement regarding its annual results for the year ended 31 December 2024. The independent auditor’s report highlights a material uncertainty related to the company’s ability to continue as a going concern, citing a net loss of RMB265,333,000, net cash outflow from operating activities of RMB42,705,000, and current liabilities exceeding current assets by RMB161,690,000. Additionally, the company faces legal challenges concerning alleged breaches of tenancy agreements and significant capital expenditure commitments, which may impact its financial stability.

USPACE Technology Group Reports Significant Revenue Decline in 2024

USPACE Technology Group Limited, a company incorporated in the Cayman Islands, announced its annual financial results for the year ended December 31, 2024. The company reported a significant decrease in revenue from continuing operations, down by approximately 32.7% compared to the previous year, and a gross profit decrease of 11.4%. The loss for the year increased to approximately RMB265.3 million from RMB222.8 million in 2023. This financial downturn may impact the company’s market positioning and stakeholder confidence.