Standard Development Group Limited (1867) AI Stock Analysis

• Market Cap: HK$252.49M
• Dividend Yield: N/A
• Average Volume (3M): 201.95K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.14
• Revenue Growth: -49.08%
• EPS Growth: -363.83%
• Country: HK
• Employees: 92
• Sector: Industrials
• Sector Strength: 90
• Industry: Consulting Services
• EPS (TTM): -0.02
• Shares Outstanding: 1,494,000,000
• 10 Day Avg. Volume: 114,000
• 30 Day Avg. Volume: 201,953
• PEG Ratio: 0.33
• Price to Book (P/B): 2.01
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -50.42
• 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: 43 Neutral
• Price Target: ―

Standard Development Group Limited is currently facing significant financial and operational challenges. The primary concerns include declining revenue and profitability, negative cash flows, and a downward technical trend. The valuation remains unattractive due to a negative P/E ratio and lack of dividends, making the stock less appealing to investors. The overall score reflects these challenges, indicating a cautious outlook for potential investors.

Standard Development Group Limited Business Overview & Revenue Model

Company Description

Standard Development Group Limited (1867) is a diversified conglomerate engaged in various industries, including real estate development, construction, and property management. The company focuses on developing high-quality residential, commercial, and industrial properties, offering a range of services from project planning and design to construction and property management.

How the Company Makes Money

Standard Development Group Limited generates revenue primarily through property sales and leasing. The company acquires land, develops it into residential or commercial properties, and sells these properties for a profit. Additionally, the company earns income from leasing its properties, providing a steady stream of rental income. Another revenue stream comes from their construction services, where they undertake projects for third-party clients, earning fees for their expertise in building and project management. The company may also enter into joint ventures or partnerships with other developers to expand its portfolio and increase profitability.

Standard Development Group Limited Financial Statement Overview

Summary

Standard Development Group Limited is facing considerable financial challenges, particularly in revenue generation and profitability, evidenced by declining revenue, negative margins, and increasing losses. The balance sheet shows moderate leverage, providing some financial stability, but declining equity and significant cash flow problems are major concerns that could impact liquidity and operations.

Income Statement

The company has faced declining revenue over the past year, with a significant decrease in total revenue from HKD 661.23 million to HKD 489.79 million, a decline of approximately 25.94%. The gross profit margin has also decreased, as gross profit fell from HKD 22.11 million to HKD 3.82 million. The company is incurring losses at the operating level, evidenced by negative EBIT and EBITDA margins. Additionally, net income has turned more negative, indicating further challenges in profitability.

Balance Sheet

The balance sheet shows a relatively stable equity position, with a debt-to-equity ratio of 0.52, indicating moderate leverage. However, there has been a reduction in stockholders' equity from HKD 323.70 million to HKD 144.82 million, which may raise concerns. Despite the decline in equity, the equity ratio remains reasonable at 49.63%, providing some stability. The company holds substantial cash and cash equivalents, although this has decreased significantly from the prior year.

Cash Flow

The company is experiencing substantial negative cash flows, with a significant deterioration in free cash flow, which is now at -HKD 125.45 million. The operating cash flow has also turned more negative, suggesting operational difficulties. The free cash flow to net income ratio is unfavorable due to both negative free cash flow and net income, indicating inefficiencies in converting earnings into cash.

Breakdown	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	489.79M	661.23M	306.56M	221.89M	295.88M
Gross Profit	3.25M	22.12M	10.18M	13.90M	28.07M
EBITDA	-16.77M	-4.31M	-19.16M	4.92M	6.75M
Net Income	-19.94M	-8.83M	-21.01M	1.01M	1.04M
Balance Sheet
Total Assets	291.71M	273.98M	253.75M	149.41M	159.16M
Cash, Cash Equivalents and Short-Term Investments	23.93M	153.35M	133.55M	24.96M	33.99M
Total Debt	75.30M	16.55M	16.34M	25.12M	33.13M
Total Liabilities	137.32M	-49.72M	108.43M	31.71M	42.47M
Stockholders Equity	144.81M	323.70M	145.32M	117.70M	116.70M
Cash Flow
Free Cash Flow	-125.45M	-18.44M	72.11M	2.14M	2.10M
Operating Cash Flow	-56.69M	-17.54M	74.47M	2.22M	2.13M
Investing Cash Flow	-90.48M	-907.00K	-2.36M	-85.00K	-25.00K
Financing Cash Flow	24.62M	33.62M	35.97M	-11.18M	6.24M

Standard Development Group Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.17
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1867, the sentiment is Positive. The current price of 0.17 is above the 20-day moving average (MA) of 0.16, above the 50-day MA of 0.15, and below the 200-day MA of 0.18, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 61.43 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1867.

Standard Development Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3311	79 Outperform	$62.65B	6.21	14.62%	4.81%	1.21%	2.15%
Sector *	58 Neutral	HK$14.11B	4.63	-3.01%	6.76%	3.67%	-54.16%
1098	48 Neutral	$651.92M	―	-31.08%	―	-57.65%	-4.05%
2777	46 Neutral	HK$4.05B	―	-71.13%	―	-50.18%	12.86%
1867	43 Neutral	HK$252.49M	―	-41.79%	―	-49.08%	-363.83%
1996	40 Underperform	€155.80M	―	-238.71%	―	-43.46%	31.62%

Standard Development Group Limited Corporate Events

Standard Development Group Announces Executive Resignation

Standard Development Group Limited announced the resignation of Mr. Zhang Min from his roles as vice chairman and executive director, effective April 25, 2025, due to other work arrangements. The company expressed gratitude for Mr. Zhang’s contributions and confirmed there were no disagreements or issues related to his departure.

Standard Development Group Limited Announces Board Composition and Roles

Standard Development Group Limited has announced the composition of its board of directors, which includes both executive and independent non-executive directors. The company has also outlined the roles and functions of its board committees, which are crucial for governance and operational oversight.

Standard Development Group Limited’s Convertible Bonds Placing Lapses

Standard Development Group Limited, incorporated in the Cayman Islands, announced the lapse of its placing agreement for convertible bonds worth HK$37,000,000 due to unfavorable market conditions. The company stated that the lapse will not materially affect its business operations or financial position.

Standard Development Group Limited Announces HK$37 Million Convertible Bonds Placement

Standard Development Group Limited has announced a placement of HK$37,000,000 in convertible bonds due 2027, under a general mandate. The proceeds are intended to support the company’s existing petroleum and bio-energy businesses and cover general working capital expenses. The placement, managed by VC Brokerage Limited, involves issuing up to 148,000,000 new shares, potentially increasing the company’s share capital by approximately 9.01%. This move aims to strengthen the company’s financial position and operational capabilities, though it remains subject to conditions precedent under the Placing Agreement.

Standard Development Group Seeks Green Certifications for Biomass Projects

Standard Development Group Limited has announced its application for two major green certifications, ISCC EU and VCS, for its biomass energy projects. Successfully obtaining these certifications is expected to boost the company’s market competitiveness, enhance its brand image, open up new markets, particularly in the European Union, and create new revenue streams through the sale of carbon credits.