HPC Holdings Ltd. (1742) AI Stock Analysis

• Market Cap: HK$128.00M
• Dividend Yield: N/A
• Average Volume (3M): 1.86M
• Price to Earnings (P/E): 0.9
• Beta (1Y): 0.09
• Revenue Growth: -3.44%
• EPS Growth: 1060.87%
• Country: HK
• Employees: 736
• Sector: Industrials
• Sector Strength: 90
• Industry: Engineering & Construction
• EPS (TTM): 0.11
• Shares Outstanding: 1,600,000,000
• 10 Day Avg. Volume: 420,000
• 30 Day Avg. Volume: 1,862,333
• PEG Ratio: 0.06
• Price to Book (P/B): 0.27
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 3.69
• 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: Hold
• Number of Analyst Covering: 0

• Rating: 57 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

The overall stock score is primarily influenced by mixed financial performance, with significant challenges in revenue and profitability. Positive technical indicators support a better outlook, but the low P/E ratio reflects underlying profitability concerns. The absence of earnings call and corporate events data means these factors do not impact the score.

HPC Holdings Ltd. Business Overview & Revenue Model

Company Description

HPC Holdings Ltd. (1742) is a construction and engineering company primarily engaged in the provision of civil engineering and building construction services. The company operates mainly in the public and private sectors, offering a range of services including infrastructure development, construction project management, and design and build solutions. HPC Holdings Ltd. is known for its expertise in managing large-scale projects, particularly in the construction of roads, bridges, and other critical infrastructure.

How the Company Makes Money

HPC Holdings Ltd. makes money through its construction and engineering services, which are the core revenue streams for the company. It generates revenue by undertaking contracts for both government and private sector projects, where it is responsible for the planning, design, and execution of various construction initiatives. The company also earns income from project management services and design and build contracts, which involve a comprehensive approach to construction projects from initial planning to final execution. Additionally, strategic partnerships with other construction firms and suppliers enhance its ability to deliver large projects on time and within budget, further contributing to its earnings.

HPC Holdings Ltd. Financial Statement Overview

Summary

The company's financial performance is mixed, with significant challenges in revenue and profitability as indicated by the income statement. The balance sheet shows moderate leverage and financial stability, but the decline in stockholders' equity and total assets is concerning. Cash flow statements reveal operational cash generation despite profit volatility.

Income Statement

The income statement reflects significant volatility with recent declines in revenue and profitability. The TTM gross profit margin is negative, and there is a sharp decline in revenue compared to the previous year. Net profit margin is also negative, indicating a challenging profitability environment. Previous periods showed some positive margins, but the current downturn is concerning.

Balance Sheet

The balance sheet shows a moderate financial position with a reasonable equity base. The debt-to-equity ratio is low, suggesting controlled leverage. However, the decline in stockholders' equity and total assets over recent periods warrants attention. The equity ratio remains stable, indicating financial resilience despite recent losses.

Cash Flow

Cash flow statements show fluctuations in operating and free cash flow. Recent periods indicate a positive operating cash flow, but historical volatility and the current decrease in free cash flow growth highlight operational challenges. The cash flow to net income ratios suggest reasonable cash-generating capacity despite profit issues.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	169.77M	289.24M	202.91M	188.51M	147.49M
Gross Profit	-5.01M	12.99M	12.09M	-1.05M	402.00K
EBITDA	-6.89M	5.62M	-1.13M	-4.18M	-11.64M
Net Income	-8.48M	3.40M	-166.00K	-4.68M	-4.57M
Balance Sheet
Total Assets	158.40M	180.02M	177.35M	148.96M	172.07M
Cash, Cash Equivalents and Short-Term Investments	46.81M	48.17M	26.52M	32.34M	63.91M
Total Debt	14.53M	18.48M	19.56M	12.03M	18.17M
Total Liabilities	82.59M	92.50M	92.94M	64.12M	82.28M
Stockholders Equity	75.81M	87.95M	84.55M	84.72M	89.40M
Cash Flow
Free Cash Flow	5.59M	24.49M	-20.33M	-28.66M	27.39M
Operating Cash Flow	7.41M	31.34M	-12.81M	-22.25M	32.74M
Investing Cash Flow	-1.79M	-8.90M	-1.60M	-4.58M	-4.77M
Financing Cash Flow	-7.17M	-1.09M	7.53M	-5.36M	3.87M

HPC Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.07
• 50DMA: Negative
• 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:1742, the sentiment is Neutral. The current price of 0.07 is below the 20-day moving average (MA) of 0.08, below the 50-day MA of 0.07, and above the 200-day MA of 0.06, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 38.53 is Neutral, neither overbought nor oversold. The STOCH value of 30.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1742.

HPC Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1420	80 Outperform	HK$188.25M	4.31	8.41%	―	19.15%	106.56%
2663	72 Outperform	HK$189.36M	5.32	13.06%	47.06%	23.89%	26.19%
2017	71 Outperform	HK$179.37M	5.85	2.78%	―	-8.97%	-12.59%
Sector *	58 Neutral	HK$14.11B	4.63	-3.01%	6.76%	3.67%	-54.16%
1742	57 Neutral	HK$128.00M	0.91	22.73%	―	-3.44%	1060.87%
1757	53 Neutral	HK$134.40M	124.44	1.19%	―	-34.92%	―
1459	50 Neutral	HK$178.68M	32.35	0.31%	6.06%	-20.04%	-58.20%

HPC Holdings Ltd. Corporate Events

HPC Holdings Ltd. Reports Strong Interim Results Amid Market Challenges

HPC Holdings Ltd. announced its unaudited interim results for the six months ending April 30, 2025, highlighting a significant increase in revenue and gross profit due to the commencement of new projects and completion of pre-COVID-19 projects. Despite challenges such as elevated construction costs and intense price competition, the company secured four major projects, bringing the total value of new project awards to S$481.81 million for 2025. The company maintains a robust project pipeline and anticipates the completion of three major projects by the end of 2025, reflecting its resilience and strategic market positioning.

HPC Holdings Ltd. Schedules Board Meeting to Review Interim Results

HPC Holdings Ltd. has announced that its Board of Directors will hold a meeting on June 30, 2025, to discuss and approve the interim financial results for the six-month period ending April 30, 2025. The meeting will also consider the possibility of declaring an interim dividend, which could impact shareholder returns and market perception.

HPC Holdings Ltd. Reports Significant Profit Increase for H1 2025

HPC Holdings Ltd. has announced a significant improvement in its financial performance for the half year ended 30 April 2025, with an expected unaudited net profit of approximately S$31.3 million, compared to S$644 thousand in the previous period. This improvement is attributed to a gain on a bargaining purchase from an acquisition and an increase in ongoing projects. The company’s financial position remains sound with sufficient reserves and liquidity, though the final results are pending review and may be subject to adjustments.

HPC Holdings Successfully Passes All Resolutions at AGM

HPC Holdings Limited announced that all proposed ordinary resolutions were successfully passed at their annual general meeting held on April 30, 2025. The resolutions included the approval of financial statements, re-election of directors, and granting of mandates for share issuance and repurchase, indicating strong shareholder support and potential strategic flexibility for the company.