Fulu Holdings Limited (2101) AI Stock Analysis

• Market Cap: HK$584.36M
• Dividend Yield: N/A
• Average Volume (3M): 50.93K
• Price to Earnings (P/E): 26.5
• Beta (1Y): 0.31
• Revenue Growth: -36.89%
• EPS Growth: -78.29%
• Country: HK
• Employees: 976
• Sector: Consumer Cyclical
• Sector Strength: 63
• Industry: Specialty Retail
• EPS (TTM): -0.04
• Shares Outstanding: 408,640,900
• 10 Day Avg. Volume: 48,150
• 30 Day Avg. Volume: 50,933
• PEG Ratio: -6.39
• Price to Book (P/B): 0.41
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 2.64
• 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: 62 Neutral
• Price Target: HK$1.50 ▲(4.90%Upside)

Fulu Holdings Limited's stock score is primarily influenced by a strong cash flow position and a stable balance sheet, although profitability and revenue growth pose significant challenges. The technical analysis indicates weak momentum, with a bearish trend that may reverse if conditions improve. Valuation concerns further weigh on the score, as the high P/E ratio suggests limited upside.

Fulu Holdings Limited Business Overview & Revenue Model

Company Description

Fulu Holdings Limited, an investment holding company, operates a third-party digital goods and services platform in the People's Republic of China. It operates through four segments: Leisure and Entertainment, Games, Telecommunications, and Lifestyle. The company's platform connects digital goods vendors and digital goods sales channels. It engages in the provision of services to facilitate digital goods transactions and online stores operating services to leisure and entertainment content providers, game producers, telecom providers, and lifestyle service providers. The company also operates online stores for digital goods vendors. Fulu Holdings Limited was founded in 2009 and is headquartered in Wuhan, the People's Republic of China.

How the Company Makes Money

Fulu Holdings Limited makes money through its digital goods and services platform. The company generates revenue by acting as an intermediary between digital content providers, such as game developers and streaming services, and consumers who purchase digital codes, vouchers, and points. Key revenue streams include transaction fees and service charges collected from these digital transactions. Fulu Holdings may also engage in partnerships with content providers to offer exclusive deals or bundles, further enhancing its revenue potential. Additionally, the company's extensive distribution network and technological infrastructure enable it to efficiently manage and process a high volume of transactions, contributing to its profitability.

Fulu Holdings Limited Financial Statement Overview

Summary

Fulu Holdings Limited shows a mixed financial performance with strong cash flow management and a solid balance sheet featuring low leverage. However, the company struggles with revenue growth and profitability, as indicated by its moderate net profit margin and low return on equity.

Income Statement

Fulu Holdings Limited has experienced fluctuations in its revenue, with a significant decline from 2023 to 2024. The gross profit margin for 2024 was healthy at 70.65%, and the net profit margin was 5.60%, which is below industry standards. The company's EBIT margin was 4.51%, and the EBITDA margin was 5.29%, indicating moderate operational efficiency. Overall, the company shows a stable gross profit margin but needs to improve its net profitability.

Balance Sheet

The company maintains a strong equity position, with an equity ratio of 73.58% in 2024. The debt-to-equity ratio is low at 0.14, indicating conservative leverage. Return on equity (ROE) was 1.55% in 2024, suggesting limited returns on shareholders' equity. The balance sheet is stable with low financial risk, but improvement in ROE is needed for better shareholder value.

Cash Flow

Fulu Holdings Limited demonstrates strong cash flow management with a significant turnaround, reporting a high free cash flow in 2024 compared to negative values in the previous years. The operating cash flow to net income ratio is strong, indicating good conversion of earnings to cash. The company has enhanced its liquidity and is generating substantial free cash flow, which is positive for future investments and debt management.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
560.41M	359.79M	560.41M	479.86M	399.28M	328.21M
	Gross Profit
416.18M	254.22M	416.18M	359.24M	295.24M	260.36M
	EBIT
64.53M	16.22M	64.53M	93.00M	78.28M	128.55M
	EBITDA
66.94M	19.05M	66.94M	104.44M	83.92M	132.59M
	Net Income Common Stockholders
91.61M	20.16M	91.61M	97.88M	68.22M	120.90M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
135.66M	402.28M	159.90M	176.45M	226.45M	461.88M
	Total Assets
1.32B	1.76B	1.76B	1.58B	1.38B	1.39B
	Total Debt
68.60M	176.55M	151.46M	54.21M	18.70M	142.82M
	Net Debt
-62.98M	-133.89M	4.12M	-95.62M	-190.74M	-315.07M
	Total Liabilities
245.79M	482.52M	505.28M	365.10M	213.38M	287.74M
	Stockholders Equity
1.07B	1.30B	1.27B	1.22B	1.16B	1.11B
Cash Flow		Free Cash Flow
-53.75M	203.92M	-65.11M	6.42M	-136.88M	-187.43M
	Operating Cash Flow
-49.90M	205.00M	-49.90M	22.48M	-123.86M	-185.86M
	Investing Cash Flow
1.52M	-80.79M	1.52M	-22.41M	-19.59M	-2.98M
	Financing Cash Flow
45.66M	38.49M	45.66M	-59.87M	-101.32M	647.00M

Fulu Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.43
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2101, the sentiment is Negative. The current price of 1.43 is below the 20-day moving average (MA) of 1.51, below the 50-day MA of 1.58, and below the 200-day MA of 1.83, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 36.22 is Neutral, neither overbought nor oversold. The STOCH value of 29.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2101.

Fulu Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$6.88B	11.32	2.95%	3.87%	2.70%	-24.57%
2101	62 Neutral	HK$584.36M	26.53	1.57%	―	-36.89%	-78.29%
WRFRF		$7.73B	61.77	0.47%	6.84%	―	―
VI6		€1.91B	15.91	19.23%	1.72%	―	―
2131		HK$362.02M	1,516.67	-0.05%	―	―	―
2423	73 Outperform	HK$178.53B	36.03	6.53%	1.88%	34.42%	28.35%
2400	63 Neutral	HK$19.50B	21.74	38.63%	―	44.92%	―

Fulu Holdings Limited Corporate Events

Fulu Holdings Limited Announces Unanimous Approval of AGM Resolutions

Fulu Holdings Limited announced the results of its annual general meeting held on May 23, 2025. All resolutions, including the re-election of directors, appointment of auditors, and granting of mandates for share issuance and buybacks, were unanimously approved by shareholders. This outcome reflects strong shareholder support and positions the company for continued strategic flexibility in its operations.

Fulu Holdings Schedules AGM to Discuss Key Resolutions

Fulu Holdings Limited has announced its upcoming annual general meeting (AGM) scheduled for May 23, 2025, in Wuhan, China. The meeting will address several key resolutions, including the adoption of the company’s audited financial statements for 2024, the re-election of independent non-executive directors, and the re-appointment of Ernst & Young as the company’s auditor. Additionally, the board seeks approval to exercise powers related to the issuance of shares and convertible securities. These resolutions are crucial for the company’s governance and operational strategies moving forward.

Fulu Holdings Faces Financial Decline but Eyes Growth in Lifestyle Segment

Fulu Holdings Limited reported a significant decline in its financial performance for the year ended December 31, 2024, with revenue dropping by 35.8% and profit before tax plummeting by 72.7%. Despite these challenges, the company is optimistic about the growth potential in its lifestyle segment, driven by economic stimulus policies and digital transformation. The company is actively exploring new opportunities in the film industry and expanding its operations in the food and beverage sector, leveraging its expertise in live-streaming e-commerce to capture market share.

Fulu Holdings Restructures Operations, Expands Tibet Huluwa’s Role

Fulu Holdings Limited has announced a strategic shift in its business operations by transferring certain businesses from Wuhan Fulu, Tibet Fulu, and Wuhan Lishuo to Tibet Huluwa. This move aims to enhance management efficiency and optimize resource allocation. Tibet Huluwa will engage in digital commodity transactions and value-added services, despite being in a ‘foreign-prohibited’ business sector under China’s Negative List. The company has decided to remove the previously set 5% revenue threshold for Tibet Huluwa, aligning with its current operational needs and benefiting from a lower tax rate in Tibet.

Fulu Holdings Schedules Board Meeting to Review 2024 Financial Results

Fulu Holdings Limited has announced that its board of directors will meet on March 27, 2025, to review and approve the company’s financial results for the year ended December 31, 2024. The meeting will also consider the potential payment of a final dividend. This announcement indicates the company’s ongoing commitment to transparency and shareholder engagement, potentially impacting its market positioning and stakeholder relations.

Fulu Holdings Issues Profit Warning Amid Market Challenges

Fulu Holdings Limited has issued a profit warning, indicating an expected decrease in profit for the year ending December 31, 2024, by approximately 65% to 85% compared to the previous year. The decline is attributed to reduced revenue and overall gross profit margin due to a softening consumer market and intensified competition, impacting the company’s profitability.