Billion Industrial Holdings Ltd. (2299) AI Stock Analysis

• Market Cap: HK$9.50B
• Dividend Yield: N/A
• Average Volume (3M): 84.95K
• Price to Earnings (P/E): 11.7
• Beta (1Y): -0.08
• Revenue Growth: 14.35%
• EPS Growth: 107.03%
• Country: HK
• Employees: 9,238
• Sector: Consumer Cyclical
• Sector Strength: 60
• Industry: Apparel - Manufacturers
• EPS (TTM): 0.38
• Shares Outstanding: 2,115,328,000
• 10 Day Avg. Volume: 242,200
• 30 Day Avg. Volume: 84,950
• PEG Ratio: 0.62
• Price to Book (P/B): 0.79
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 3.97
• 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: 73 Outperform
• Price Target: HK$5.00 ▲(11.36%Upside)

Billion Industrial Holdings Ltd. demonstrates strong financial performance with substantial revenue growth and profitability improvements. The technical analysis suggests a stable stock price without strong momentum in either direction. Valuation is reasonable with a moderate P/E ratio but lacks a dividend yield, which might deter some investors. The overall score reflects a stable but not standout investment opportunity.

Billion Industrial Holdings Ltd. Business Overview & Revenue Model

Company Description

Billion Industrial Holdings Limited, together with its subsidiaries, manufactures and sells polyester filament yarns products, polyester products, polyester industrial yarns products, and ES fiber products in the People's Republic of China and internationally. It offers polyester filament yarns comprising drawn textured, fully drawn, and partially oriented yarns for use in the production of fabrics and textiles for various consumer products, including apparel, footwear, and home furnishings; polyester thin films, such as heat sealable, twistable, anti-static, electronic releasing, and coating films, as well as metallization, printing, transfer, electrical insulation, card lamination, hot stamping, metallic yarn, reflector, holographic, and solar base films; and polyester products, consisting od biaxially-oriented polyethylene terephthalate thin films, polyester bottle chips, polyester films, and wasted filament for use in various sectors, including packaging, magnetic materials, imaging, industry, electronics, and electrical appliances. Billion Industrial Holdings Limited was founded in 2003 and is headquartered in Wan Chai, Hong Kong.

How the Company Makes Money

Billion Industrial Holdings Ltd. generates revenue through the production and sale of its textile products to a broad range of customers, including apparel manufacturers and retailers. The company's revenue model is based on large-scale manufacturing, where it leverages its capabilities to produce high-quality woven fabrics efficiently. Key revenue streams include sales of functional and synthetic fabrics, which are in demand for their durability and adaptability in clothing production. The company may also engage in strategic partnerships with apparel brands or retailers to secure long-term supply contracts, providing a stable income source. Additionally, Billion Industrial Holdings Ltd. may benefit from economies of scale and cost-effective production processes to maintain competitive pricing and profit margins.

Billion Industrial Holdings Ltd. Financial Statement Overview

Summary

Billion Industrial Holdings Ltd. exhibits strong financial performance with robust revenue growth, improved profitability margins, low leverage, and positive cash flow trends. Margins remain relatively low for the industry, but financial stability and resilience are evident.

Income Statement

Billion Industrial Holdings Ltd. has shown strong revenue growth with an increase of 16.21% from 2023 to 2024. Gross profit margin improved to 7.62%, and net profit margin increased to 3.62%. EBIT and EBITDA margins also improved, reaching 4.71% and 8.77% respectively. The company demonstrates a positive trajectory in both revenue and profitability, although the margins remain relatively low for the industry.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.07, indicating low leverage. The return on equity (ROE) is 6.81%, showing decent returns on shareholder equity. The equity ratio stands at 38.94%, highlighting financial stability with a significant proportion of assets financed by equity. However, the net debt level increased slightly, which could be a point of concern.

Cash Flow

Cash flow from operations turned positive to $921 million in 2024, compared to negative in 2023. Free cash flow improved significantly, showing a growth rate of over 100% from 2023 to 2024. The operating cash flow to net income ratio is 1.23, and free cash flow to net income ratio is 0.99, indicating good cash flow coverage. Despite previous volatility, cash flow generation is back on track.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	20.63B	17.76B	15.56B	14.24B	8.43B
Gross Profit	1.57B	1.05B	1.42B	2.75B	1.38B
EBITDA	1.81B	1.31B	1.68B	3.00B	1.61B
Net Income	747.90M	353.40M	655.82M	1.76B	781.48M
Balance Sheet
Total Assets	28.21B	26.27B	26.47B	23.54B	18.68B
Cash, Cash Equivalents and Short-Term Investments	243.32M	1.85B	327.69M	760.98M	342.92M
Total Debt	788.06M	703.76M	864.67M	1.31B	3.29B
Total Liabilities	17.23B	16.04B	16.65B	14.44B	11.31B
Stockholders Equity	10.99B	10.23B	9.83B	9.10B	7.37B
Cash Flow
Free Cash Flow	743.06M	-1.12B	194.22M	4.99B	-353.17M
Operating Cash Flow	921.15M	-93.55M	2.91B	6.19B	1.35B
Investing Cash Flow	-785.18M	331.03M	-2.13B	-4.13B	-2.65B
Financing Cash Flow	-66.95M	-310.73M	-691.23M	-2.25B	1.45B

Billion Industrial Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.49
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2299, the sentiment is Positive. The current price of 4.49 is below the 20-day moving average (MA) of 4.50, above the 50-day MA of 4.47, and above the 200-day MA of 4.40, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 51.31 is Neutral, neither overbought nor oversold. The STOCH value of 58.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2299.

Billion Industrial Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2299	73 Outperform	HK$9.50B	11.72	7.06%	―	14.35%	107.03%
Sector *	62 Neutral	$16.85B	11.50	-7.38%	2.96%	1.59%	-23.36%
PTEXF		$246.43M	10.45	5.75%	20.14%	―	―
2232	73 Outperform	HK$13.95B	8.92	13.55%	11.29%	13.03%	22.23%
1982	68 Neutral	HK$1.82B	5.33	14.40%	24.50%	4.95%	94.03%
2368	63 Neutral	HK$2.10B	9.47	13.04%	24.11%	12.67%	-25.28%
2199	56 Neutral	HK$2.61B	14.18	5.63%	1.17%	9.38%	-41.33%

Billion Industrial Holdings Ltd. Corporate Events

Billion Industrial Holdings Announces Board Structure and Roles

Billion Industrial Holdings Limited, a company incorporated in the Cayman Islands, has announced its list of directors and their respective roles and functions. The board comprises executive directors, non-executive directors, and independent non-executive directors, with various committees established for audit, remuneration, nomination, and corporate governance. This announcement provides clarity on the company’s leadership structure, potentially impacting its governance and operational strategies, and offering stakeholders insight into the company’s management framework.

Billion Industrial Holdings Appoints New Executive Director to Enhance Operations and Diversity

Billion Industrial Holdings Ltd. has appointed Ms. Shi Haiyan as an executive director and a member of its nomination committee, effective June 30, 2025. Ms. Shi brings over 16 years of experience in the textile industry, particularly in polyester filament yarns, and her appointment is expected to enhance the company’s operational standards and contribute to its gender diversity goals.

Billion Industrial Holdings Announces AGM Results and Director Retirement

Billion Industrial Holdings Limited announced the results of its Annual General Meeting held on May 23, 2025, where several resolutions were passed, including the reappointment of auditors and the authorization for directors to manage shares. However, the resolution to re-elect Ms. Shi Haiyan as an executive director was not approved by the shareholders. The meeting outcomes reflect the company’s ongoing governance and operational strategies, impacting its leadership structure and shareholder relations.

Billion Industrial Holdings Announces Board Composition and Roles

Billion Industrial Holdings Limited has announced the composition of its board of directors and the roles and functions of each member. The board includes executive directors, non-executive directors, and independent non-executive directors, each serving on various committees such as audit, remuneration, nomination, and corporate governance. This announcement highlights the company’s commitment to robust corporate governance and strategic oversight, which is crucial for maintaining investor confidence and ensuring effective management.

Billion Industrial Holdings Announces 2025 AGM and Key Resolutions

Billion Industrial Holdings Ltd. has announced its upcoming annual general meeting, scheduled for May 23, 2025, in Hong Kong. The meeting will address several ordinary resolutions, including the approval of the company’s audited financial statements for the year ending December 31, 2024, the authorization of director remuneration, the reappointment of Forvis Mazars CPA Limited as auditors, and the granting of mandates to the directors to purchase company shares and issue additional shares. These resolutions aim to strengthen the company’s governance and operational capabilities, potentially impacting its market position and shareholder value.