Beng Soon Machinery Holdings Limited (1987) AI Stock Analysis

• Market Cap: HK$156.00M
• Dividend Yield: N/A
• Average Volume (3M): 940.80K
• Price to Earnings (P/E): 74.3
• Beta (1Y): 0.64
• Revenue Growth: 12.70%
• EPS Growth: -33.33%
• Country: HK
• Employees: 131
• Sector: Industrials
• Sector Strength: 79
• Industry: Engineering & Construction
• EPS (TTM): >-0.01
• Shares Outstanding: 1,000,000,000
• 10 Day Avg. Volume: 534,800
• 30 Day Avg. Volume: 940,800
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: 63 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score of 63 reflects a solid financial foundation with strong revenue growth and a robust balance sheet. However, the high P/E ratio suggests potential overvaluation, and the technical indicators point to a neutral market sentiment. The absence of dividend yield and earnings call data further limits the stock's attractiveness.

Beng Soon Machinery Holdings Limited Business Overview & Revenue Model

Company Description

Beng Soon Machinery Holdings Limited (1987) is a prominent player in the industrial machinery sector, primarily engaged in the trading, distribution, and servicing of a wide range of machinery and equipment. The company specializes in providing high-quality products for various industries, including construction, manufacturing, and agriculture. Its core offerings include heavy machinery, tools, and equipment, as well as after-sales services that ensure optimal performance and customer satisfaction.

How the Company Makes Money

Beng Soon Machinery Holdings Limited generates revenue through multiple streams, primarily from the sale of machinery and equipment to businesses in various sectors. The company's revenue model is based on direct sales, where it sources machinery from manufacturers and sells them to end-users. Additionally, Beng Soon earns income through after-sales services, including maintenance and repairs, which are essential for keeping machinery operational. Key revenue streams also include leasing options for machinery, allowing businesses to access equipment without significant upfront costs. Significant partnerships with leading manufacturers enhance the company's product offerings and contribute to its competitive edge in the market, while a focus on customer service and support helps to foster long-term client relationships, driving repeat business and referrals.

Beng Soon Machinery Holdings Limited Financial Statement Overview

Summary

Beng Soon Machinery Holdings Limited shows signs of recovery and growth with improved revenue and profit margins. The balance sheet is stable with a strong equity base, but profitability remains a challenge. Cash flows are improving, yet conversion of income to cash needs attention. Overall, the company is on a positive trajectory but faces operational and profitability hurdles.

Income Statement

The income statement shows a positive trajectory with a significant revenue growth rate of approximately 14.05% from 2023 to 2024. Gross profit margin is healthy at 31.76% for 2024, indicating good cost management. The net profit margin improved to 1.04%, showing recovery from previous losses. However, the EBIT margin remains low at 3.24%, highlighting operational efficiency challenges.

Balance Sheet

The balance sheet reflects moderate financial stability with a debt-to-equity ratio of 0.28 in 2024, indicating manageable leverage. The equity ratio stands at 71.78%, showcasing a strong equity base. However, the return on equity is low at 0.86%, suggesting limited profitability relative to shareholder investment.

Cash Flow

The cash flow statement indicates improvement with a positive free cash flow in 2024, recovering from a deficit in 2023. The free cash flow to net income ratio of 0.88 suggests effective cash management, although the operating cash flow to net income ratio is low at 2.16, pointing to potential issues in converting profits to cash.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	33.48M	29.35M	32.74M	26.74M	9.84M
Gross Profit	10.63M	9.24M	9.49M	7.07M	-6.48M
EBITDA	5.22M	4.80M	4.53M	3.74M	-11.55M
Net Income	348.24K	24.68K	524.73K	189.79K	-11.99M
Balance Sheet
Total Assets	56.27M	53.30M	53.78M	54.37M	53.12M
Cash, Cash Equivalents and Short-Term Investments	14.06M	15.11M	17.06M	12.28M	9.07M
Total Debt	11.28M	9.10M	9.79M	10.70M	11.37M
Total Liabilities	15.88M	13.21M	13.91M	15.06M	13.86M
Stockholders Equity	40.38M	40.09M	40.06M	39.51M	39.30M
Cash Flow
Free Cash Flow	307.29K	-875.13K	6.08M	4.68M	-2.34M
Operating Cash Flow	753.19K	538.24K	7.46M	5.01M	-1.78M
Investing Cash Flow	-168.40K	-743.66K	-1.02M	290.55K	-354.24K
Financing Cash Flow	-1.64M	-1.74M	-1.66M	-2.10M	-2.92M

Beng Soon Machinery Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.16
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1987, the sentiment is Positive. The current price of 0.16 is above the 20-day moving average (MA) of 0.16, above the 50-day MA of 0.16, and above the 200-day MA of 0.15, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 52.84 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1987.

Beng Soon Machinery Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9998	71 Outperform	HK$195.20M	10.00	8.54%	―	43.39%	38.64%
Sector *	64 Neutral	$10.85B	16.20	8.89%	1.97%	2.67%	-15.04%
1987	63 Neutral	HK$156.00M	74.29	2.60%	―	12.70%	-33.33%
1742	61 Neutral	HK$136.00M	1.06	22.81%	―	-3.44%	1060.87%
1953	58 Neutral	HK$302.40M	34.26	3.28%	24.64%	-29.24%	-40.35%
1870	56 Neutral	HK$299.89M	41.55	-18.78%	―	-8.26%	-240.93%
1559	40 Underperform	HK$149.53M	―	-54.25%	―	-51.67%	36.70%

Beng Soon Machinery Holdings Limited Corporate Events

Beng Soon Machinery Holdings Announces Board Restructuring for Enhanced Governance

Beng Soon Machinery Holdings Limited, a company incorporated in the Cayman Islands, has announced changes to its board structure to enhance corporate governance. Effective June 30, 2025, Mr. Leung Yau Wan John will become the lead independent non-executive director, and Ms. Tang Ling Ling will join the nomination committee. These changes align with the updated Corporate Governance Code and Listing Rules, aiming to improve the company’s governance and diversity.

Beng Soon Machinery Holdings Updates Board Composition and Committee Roles

Beng Soon Machinery Holdings Limited, incorporated in the Cayman Islands, has announced the composition of its board of directors and their roles within the company’s committees. The board includes both executive and independent non-executive directors, with Mr. Tan Chee Beng serving as the Chairman and CEO. The announcement details the membership of the audit, remuneration, and nomination committees, highlighting the leadership roles within these groups. This update provides clarity on the governance structure of the company, which is crucial for stakeholders to understand the decision-making processes and oversight within the organization.

Beng Soon Machinery Updates Nomination Committee Terms

Beng Soon Machinery Holdings Limited has updated the terms of reference for its Nomination Committee, which is responsible for board member nominations. The committee will consist of at least three directors, with a majority being independent non-executive directors, and will meet at least once a year. This revision aims to enhance governance and ensure diverse representation, potentially impacting the company’s decision-making and strategic direction.

Beng Soon Machinery Holdings Announces Successful AGM Resolutions

Beng Soon Machinery Holdings Limited announced that all resolutions proposed at their annual general meeting on May 30, 2025, were passed. The meeting included the re-election of directors, authorization for directors to fix remuneration, reappointment of auditors, and granting of mandates for share issuance and repurchase. This successful passing of resolutions indicates strong shareholder support and may positively impact the company’s governance and operational strategies.

Beng Soon Machinery Holdings Limited Announces Board Composition and Committee Roles

Beng Soon Machinery Holdings Limited announced the composition of its board of directors, highlighting both executive and independent non-executive directors. The release also detailed the membership of three board committees: Audit, Remuneration, and Nomination, indicating the roles of each director within these committees.