Grown Up Group Investment Holdings Limited (1842) AI Stock Analysis

• Market Cap: HK$72.00M
• Dividend Yield: N/A
• Average Volume (3M): 211.20K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.49
• Revenue Growth: 5.42%
• EPS Growth: -511.11%
• Country: HK
• Employees: 406
• Sector: Consumer Cyclical
• Sector Strength: 57
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): <0.01
• Shares Outstanding: 1,200,000,000
• 10 Day Avg. Volume: 327,600
• 30 Day Avg. Volume: 211,200
• PEG Ratio: 10.44
• Price to Book (P/B): 2.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 15.82
• 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: 46 Neutral
• Price Target: ―

The overall score of 46 reflects significant challenges in financial performance, particularly in profitability and cash flow management, which are the primary concerns. Technical analysis suggests a bearish trend, adding to the cautious outlook. The negative P/E ratio further highlights valuation concerns. Strategic improvements are necessary for better performance.

Grown Up Group Investment Holdings Limited Business Overview & Revenue Model

Company Description

Grown Up Group Investment Holdings Limited, together with its subsidiaries, designs, develops, manufactures, trades in, and sells bags and luggage products and accessories in Hong Kong. It also offers medical related products, and tool storage products and accessories. In addition, the company provides product development and supply chain services for bags and luggage products. It also exports its products. The company was founded in 1989 and is headquartered in Tai Po, Hong Kong. Grown Up Group Investment Holdings Limited is a subsidiary of GP Group Investment Holding Limited.

How the Company Makes Money

Grown Up Group Investment Holdings Limited generates revenue through the sale of its diverse range of bags and luggage products. The company designs and manufactures products for different consumer segments, including school bags, travel luggage, and lifestyle bags. Key revenue streams include direct sales to retail customers, as well as wholesale distribution to various retail partners and brands. Significant partnerships with international brands and retailers contribute to its earnings by expanding its market reach and enhancing its brand presence in global markets.

Grown Up Group Investment Holdings Limited Financial Statement Overview

Summary

Grown Up Group Investment Holdings Limited faces profitability and cash flow challenges amidst fluctuating revenue. While the balance sheet reflects a balanced capital structure, operational inefficiencies and cash flow management issues pose significant risks. Strategic improvements in revenue generation and cost management are essential for better financial health.

Income Statement

The company shows a volatile revenue trend with a decline in recent years. The most recent annual report indicates a gross profit margin of 16.45% and a negative net profit margin of -1.45%, showing challenges in profitability. EBIT and EBITDA margins are also negative, reflecting operational inefficiencies.

Balance Sheet

The debt-to-equity ratio is moderate at 0.40, suggesting manageable leverage levels. The return on equity is negative due to the net loss, indicating inefficiencies in using equity. The equity ratio stands at 50.34%, showing a balanced capital structure with moderate financial stability.

Cash Flow

The company has fluctuating free cash flow, with a recent figure of zero indicating potential liquidity issues. The operating cash flow to net income ratio is undefined due to zero operating cash flow, highlighting cash flow management challenges.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
307.36M	291.56M	394.12M	304.72M	276.64M
	Gross Profit
50.58M	42.30M	57.98M	58.62M	55.63M
	EBIT
-1.46M	2.22M	-4.10M	5.53M	3.92M
	EBITDA
-2.32M	7.89M	9.48M	14.39M	15.97M
	Net Income Common Stockholders
-4.45M	1.09M	-466.00K	-1.32M	-14.48M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
70.92M	71.80M	98.66M	58.19M	77.22M
	Total Assets
260.60M	252.91M	275.88M	228.88M	295.02M
	Total Debt
52.37M	42.95M	75.45M	58.53M	117.25M
	Net Debt
-1.69M	-8.67M	-16.00M	344.00K	40.03M
	Total Liabilities
129.43M	116.43M	141.64M	124.15M	187.12M
	Stockholders Equity
131.16M	136.48M	134.23M	104.73M	107.90M
Cash Flow		Free Cash Flow
0.00	-5.87M	18.92M	10.67M	36.97M
	Operating Cash Flow
0.00	-4.59M	19.62M	12.13M	37.60M
	Investing Cash Flow
0.00	42.47M	-23.39M	26.34M	-527.00K
	Financing Cash Flow
0.00	-25.49M	33.60M	-9.43M	-38.83M

Grown Up Group Investment Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.06
• 50DMA: Negative
• 100DMA: Negative
• 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:1842, the sentiment is Negative. The current price of 0.06 is equal to the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and below the 200-day MA of 0.07, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 47.32 is Neutral, neither overbought nor oversold. The STOCH value of 57.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1842.

Grown Up Group Investment Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2683	78 Outperform	HK$298.30M	8.63	12.85%	21.92%	14.78%	56.67%
Sector *	62 Neutral	$6.76B	11.06	2.80%	6.66%	2.68%	-24.89%
1100	60 Neutral	HK$575.08M	10.08	5.12%	7.46%	3.91%	-51.72%
1023	58 Neutral	HK$481.35M	5.10	-1.08%	12.00%	-4.68%	-112.44%
8285	51 Neutral	HK$17.92M	―		―	-35.21%	-19.75%
1842	46 Neutral	HK$72.00M	―	-3.32%	―	5.42%	-511.11%
1058	35 Underperform	HK$161.41M	―	-110.92%	―	8.58%	49.15%

Grown Up Group Investment Holdings Limited Corporate Events

Grown Up Group Reports Increased Revenue but Faces Annual Loss

Grown Up Group Investment Holdings Limited reported its annual financial results for the year ended December 31, 2024, showing a revenue increase to HK$307,364,000 from HK$291,560,000 in 2023. However, the company faced a loss of HK$4,447,000 compared to a profit of HK$1,088,000 the previous year, indicating financial challenges despite higher revenue. The company’s net assets decreased slightly, and the gearing ratio increased, reflecting higher financial leverage.

Grown Up Group Announces Board Meeting for Annual Results

Grown Up Group Investment Holdings Limited has announced a board meeting scheduled for March 21, 2025, to discuss and approve the annual results for the year ending December 31, 2024. The meeting will also consider the recommendation for the payment of a final dividend, which could impact the company’s financial distribution to stakeholders.

Grown Up Group Announces Redemption of Preferred Shares in Strategic Financial Move

Grown Up Group Investment Holdings Limited announced a discloseable transaction involving the redemption of preferred shares by its subsidiary, Ricktake Development. The transaction, valued at approximately US$1.23 million, involves the sale of 1,100 preferred shares to Legend Gainer, an independent third party. This move, subject to notification and announcement requirements under Hong Kong’s Listing Rules, reflects the company’s strategic financial management and may impact its investment portfolio and shareholder value.

Grown Up Group Announces Executive Board Change

Grown Up Group Investment Holdings Limited has announced a change in its executive board, with Mr. Morten Rosholm Henriksen resigning as an executive director due to other business commitments, and Mr. Jan Ankersen being appointed as his successor. Mr. Ankersen brings over 30 years of senior managerial experience, including roles at Uhrenholt A/S and Royal Unibrew A/S, and is expected to contribute significantly to the strategic leadership of the company.

Grown Up Group Investment Holdings Limited Announces Board Composition and Committee Roles

Grown Up Group Investment Holdings Limited, a company incorporated in the Cayman Islands, has announced the composition of its board of directors and their roles within the organization. The board comprises executive directors including Mr. Thomas Berg as Chairman and Ms. Shut Ya Lai as Chief Executive, along with independent non-executive directors. The company has also established three committees: Audit, Remuneration, and Nomination, with specific directors assigned as members and chairpersons for each committee. This announcement highlights the company’s governance structure and the leadership roles within its board, which may impact its strategic direction and operational oversight.