Home Control International Limited (1747) AI Stock Analysis

• Market Cap: HK$2.79B
• Dividend Yield: 0.48%
• Average Volume (3M): 985.80K
• Price to Earnings (P/E): 82.5
• Beta (1Y): 0.30
• Revenue Growth: 11.29%
• EPS Growth: 40.42%
• Country: HK
• Employees: 144
• Sector: Technology
• Sector Strength: 88
• Industry: Consumer Electronics
• EPS (TTM): 0.08
• Shares Outstanding: 506,650,000
• 10 Day Avg. Volume: 919,600
• 30 Day Avg. Volume: 985,800
• PEG Ratio: -0.04
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 0.22
• P/FCF Ratio: 1.77
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: HK$4.00 ▼(-0.99% Downside)

The stock's overall score is primarily influenced by financial performance and technical analysis. While profitability has improved, cash flow issues and high valuation metrics pose significant risks. Technical indicators suggest bearish momentum, further impacting the score.

Positive Factors

Profitability Improvement

The shift to a positive net profit margin indicates improved cost management and operational efficiency, enhancing long-term profitability.

Leverage Reduction

Reduced leverage enhances financial stability and lowers risk, providing more flexibility for future investments and growth.

Gross Profit Margin

An improved gross profit margin reflects better pricing power and cost control, supporting sustainable profitability.

Negative Factors

Cash Flow Challenges

Zero operating cash flow indicates potential liquidity issues, which could hinder the company's ability to invest in growth and meet obligations.

Inconsistent Revenue Growth

Inconsistent revenue growth can undermine long-term business stability and investor confidence, impacting future expansion plans.

Free Cash Flow Reduction

A reduction in free cash flow limits the company's ability to fund new projects and return capital to shareholders, impacting growth prospects.

Home Control International Limited Business Overview & Revenue Model

Company Description

Home Control International Limited (1747) is a technology company specializing in home automation and control systems. The company operates within the smart home sector, providing innovative solutions that enhance the efficiency, convenience, and security of residential environments. Its core products include smart home devices, integrated control systems, and software applications that allow users to manage their home environments remotely and seamlessly.

How the Company Makes Money

Home Control International Limited generates revenue through multiple streams, primarily by selling smart home products directly to consumers and through partnerships with retailers and distributors. The company also earns money from subscription services that provide ongoing access to advanced features and cloud-based control systems. Key revenue streams include hardware sales, software licensing, and service contracts for installation and maintenance. Additionally, strategic partnerships with home builders and technology companies amplify their market reach and contribute to recurring revenue through bundled service agreements.

Home Control International Limited Financial Statement Overview

Summary

The company shows signs of financial recovery with improved profitability and reduced leverage. However, inconsistent revenue growth and cash flow challenges could pose risks. The company needs to focus on sustaining its profitability improvements and addressing its cash flow issues to ensure long-term financial stability.

Income Statement

The company demonstrates a solid gross profit margin of 28.7% for 2024, showing an improvement from 23.1% in the previous year. The net profit margin turned positive at 2.3% from a negative margin the previous year, indicating a recovery. However, revenue growth has been inconsistent, with a decline over the past few years. EBIT and EBITDA margins improved to 5.5% and 10.3% respectively, suggesting better operational efficiency.

Balance Sheet

The debt-to-equity ratio improved to 0.27 in 2024 from 0.68 in 2023, indicating lower leverage. The equity ratio is stable at 36.8%, reflecting a healthy balance between equity and assets. The return on equity (ROE) increased to 9.96% from a negative value, showing a positive return for shareholders. Overall, the balance sheet reflects a stronger financial position with reduced liabilities.

Cash Flow

The cash flow statement shows zero operating cash flow for 2024, a significant drop from $14.07 million in 2023. The free cash flow also reduced to zero, indicating potential challenges in cash generation. The absence of positive cash flow metrics could signal cash flow management issues despite previous years' positive cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	114.91M	107.45M	101.01M	126.56M	126.01M	134.19M
Gross Profit	33.10M	30.85M	23.31M	27.62M	29.01M	27.54M
EBITDA	12.57M	11.06M	2.60M	10.07M	9.15M	9.44M
Net Income	4.33M	2.51M	-1.62M	4.58M	3.81M	3.73M
Balance Sheet
Total Assets	69.09M	68.49M	70.74M	80.37M	105.89M	80.03M
Cash, Cash Equivalents and Short-Term Investments	14.47M	19.44M	20.10M	15.32M	17.63M	22.33M
Total Debt	535.00K	6.67M	15.51M	25.49M	25.82M	28.34M
Total Liabilities	40.20M	43.32M	47.92M	56.06M	84.32M	60.59M
Stockholders Equity	28.90M	25.17M	22.81M	24.30M	21.57M	19.44M
Cash Flow
Free Cash Flow	8.90M	13.24M	13.26M	297.00K	1.35M	9.29M
Operating Cash Flow	10.36M	14.21M	14.07M	1.39M	3.60M	10.74M
Investing Cash Flow	-1.45M	-928.00K	-724.00K	531.00K	-1.47M	-1.45M
Financing Cash Flow	-14.08M	-10.39M	-11.85M	-4.08M	-6.79M	-15.61M

Home Control International Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1747, the sentiment is Negative. The current price of 4.04 is below the 20-day moving average (MA) of 4.83, below the 50-day MA of 4.84, and above the 200-day MA of 2.73, indicating a neutral trend. The MACD of -0.17 indicates Positive momentum. The RSI at 38.27 is Neutral, neither overbought nor oversold. The STOCH value of 11.70 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1747.

Home Control International Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0912	66 Neutral	HK$344.60M	10.02	4.09%	6.78%	6.84%	-0.96%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
1747	54 Neutral	HK$2.79B	82.46	15.73%	0.48%	11.29%	40.42%
0927	54 Neutral	€289.57M	-8.02	-11.41%	8.57%	-16.95%	-461.16%
8005	46 Neutral	€194.04M	-1.34	-8.93%	―	-59.19%	-159.11%
6133	46 Neutral	HK$209.10M	-9.65	-4.14%	―	3.70%	5.90%
0099	45 Neutral	HK$598.10M	―	-16.40%	4.61%	0.48%	-86.42%

Home Control International Limited Corporate Events

Home Control International Expands into Healthcare with Successful Share Placement

Home Control International Limited has successfully completed the placement of 28,424,000 new shares, representing 5.31% of its enlarged share capital, at a price of HK$3.80 per share. The proceeds from this placement will be used to expand into the healthcare sector, where the company plans to develop AIoT technology for personal healthcare management, integrating hardware, software, and services to launch a new brand focused on home healthcare solutions.

Home Control International Announces New Share Placement to Raise HK$108 Million

Home Control International Limited has announced the placement of 28,424,000 new shares under a general mandate, aiming to raise approximately HK$108 million in gross proceeds. The placement, priced at HK$3.80 per share, represents a significant discount to recent trading prices and is expected to enhance the company’s capital base without requiring shareholder approval, potentially impacting its market positioning and investor relations.

Home Control International Faces High Shareholding Concentration

Home Control International Limited has announced a high concentration of its shareholding in the hands of a limited number of shareholders, as revealed by a recent enquiry by the Securities and Futures Commission (SFC). As of October 17, 2025, 91.61% of the company’s shares were held by a small group, including a substantial shareholder, Meta-Wisdom Tech Limited. This concentration could lead to significant price fluctuations, as evidenced by the share price rising 561% from June to November 2025. Stakeholders are advised to exercise caution due to the potential volatility in share prices.

High Shareholding Concentration in Home Control International Raises Investor Caution

The Securities and Futures Commission (SFC) has announced a high concentration of shareholding in Home Control International Limited, with a small number of shareholders holding a significant portion of the company’s shares. As of October 17, 2025, 91.61% of the issued shares were held by a substantial shareholder and a group of 20 shareholders, leaving only 8.39% for other shareholders. This concentration could lead to substantial price fluctuations, as evidenced by the share price increase of 561% from June to November 2025, prompting the SFC to advise caution for current and prospective investors.

Home Control International Expands into Healthcare with New Subsidiary

Home Control International Limited has established a wholly-owned subsidiary, Orbiva Limited, in Hong Kong to spearhead its strategic expansion into the healthcare sector. This move is part of the company’s broader strategy to develop an AIoT-enabled home healthcare platform and ecosystem, integrating hardware, software, data, and services. Orbiva Limited will focus on creating intelligent healthcare products and services, aiming to build a comprehensive digital health management system. The company is also exploring partnerships with universities and fintech institutions to enhance its technological and operational capabilities.

Home Control International Expands into Healthcare with New Hong Kong Subsidiary

Home Control International Limited has announced the incorporation of a wholly-owned subsidiary in Hong Kong as part of its strategic expansion into the healthcare sector. This move aims to leverage the company’s expertise in home-control solutions to develop a comprehensive health-services ecosystem, focusing on home-care scenarios and innovative healthcare operations. The initiative aligns with global trends of population aging and rising chronic diseases, and the company has already seen preliminary success with healthcare solutions accounting for 19.7% of its total revenue in the first half of 2025.