Win Hanverky Holdings Limited (3322) AI Stock Analysis

• Market Cap: HK$295.41M
• Dividend Yield: N/A
• Average Volume (3M): 65.67K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.08
• Revenue Growth: 24.99%
• EPS Growth: 89.24%
• Country: HK
• Employees: 17,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): -0.03
• Shares Outstanding: 1,284,400,000
• 10 Day Avg. Volume: 83,000
• 30 Day Avg. Volume: 65,666
• PEG Ratio: 0.04
• Price to Book (P/B): 0.16
• Price to Sales (P/S): 0.05
• P/FCF Ratio: 2.75
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: HK$0.23 ▼(-2.17% Downside)

The overall stock score is primarily influenced by financial performance challenges, including ongoing losses and liquidity issues. Technical analysis shows positive momentum, but potential overbought conditions may limit further gains. Valuation concerns due to negative earnings and lack of dividends also weigh on the score.

Positive Factors

Revenue Growth

A significant revenue growth rate indicates the company is regaining market traction, potentially leading to improved financial performance.

Debt Management

Improved debt management enhances financial stability and reduces risk, providing a stronger foundation for future growth.

Market Position

A strong market position through strategic partnerships and repeat orders ensures sustained demand and competitive advantage.

Negative Factors

Profitability Challenges

Persistent profitability issues can hinder long-term growth and investment, requiring strategic adjustments to improve margins.

Cash Flow Issues

Inability to generate free cash flow raises concerns about liquidity and operational sustainability, impacting future investments.

Operational Challenges

Negative operating margins suggest inefficiencies that may require restructuring to enhance productivity and profitability.

Win Hanverky Holdings Limited Business Overview & Revenue Model

Company Description

Win Hanverky Holdings Limited, together with its subsidiaries, manufactures and sells sportswear, outerwear, fashion apparel, and related accessories in Mainland China, Europe, other Asian countries, the United States, Hong Kong, Canada, and internationally. It operates through Manufacturing and High-end Fashion Retailing segments. The company also retails high-end fashion products. It operates fashion retail networks, including D-mop and J-01 stores; Y-3, Thomas Sabo, Tara Jarmon, and Heron Preston brands under distribution rights; and licensed stores under the Champion, DAKS, and New Era brand names. As of December 31, 2021, the company operated 264 stores, including 228 stores in Mainland China, 26 stores in Hong Kong and Macau, and 10 stores in Taiwan and Singapore. In addition, it engages in property holding business. The company was incorporated in 2005 and is headquartered in Kowloon, Hong Kong. Win Hanverky Holdings Limited is a subsidiary of Quinta Asia Limited.

How the Company Makes Money

Win Hanverky Holdings Limited generates revenue primarily through the sale of footwear products to international brands and retailers. The company operates on a business-to-business (B2B) model, where it manufactures footwear under private labels or brand partnerships. Key revenue streams include direct sales to major retailers, contracts for custom-designed footwear, and long-term agreements with established global brands. The company's ability to maintain competitive pricing while ensuring high-quality production allows it to secure repeat orders and expand its market share. Additionally, strategic partnerships with brands enhance its visibility and reliability in the market, further contributing to its earnings.

Win Hanverky Holdings Limited Financial Statement Overview

Summary

Win Hanverky Holdings Limited is struggling with profitability and cash flow generation, although there are signs of revenue recovery. The balance sheet reflects some stability with manageable debt levels. However, ongoing operational and liquidity challenges pose significant risks to financial health.

Income Statement

The company has faced declining revenue and profitability over the past years. Gross Profit Margin for 2024 was 19.5%, slightly better than previous years but still weak. The Net Profit Margin remains negative at -1.7%, indicating ongoing losses. Revenue Growth Rate from 2023 to 2024 was 29.3%, suggesting some recovery. However, EBIT and EBITDA margins are negative, reflecting operational challenges.

Balance Sheet

The company's balance sheet shows a moderate level of risk. The Debt-to-Equity Ratio improved to 0.51 in 2024, reflecting reduced leverage. Return on Equity remains negative due to continued losses, but the Equity Ratio is stable at 50.2%, indicating a balanced capital structure.

Cash Flow

Cash flow analysis reveals challenges, with Free Cash Flow at zero in 2024 due to no operating cash flow. The inability to generate free cash flow is concerning as it indicates potential liquidity issues. Historical data shows volatile cash flows, adding to the risk.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.95B	3.97B	3.07B	4.08B	4.14B	4.02B
Gross Profit	773.14M	774.63M	504.14M	989.08M	998.99M	964.90M
EBITDA	120.14M	92.86M	-39.23M	306.27M	229.12M	257.41M
Net Income	-31.49M	-68.44M	-375.29M	10.07M	-66.42M	-233.82M
Balance Sheet
Total Assets	2.70B	2.70B	2.83B	3.47B	3.95B	3.82B
Cash, Cash Equivalents and Short-Term Investments	437.14M	250.32M	209.46M	370.49M	417.04M	695.09M
Total Debt	709.94M	689.84M	744.95M	1.06B	1.26B	1.16B
Total Liabilities	1.39B	1.35B	1.39B	1.61B	2.00B	1.85B
Stockholders Equity	1.33B	1.35B	1.46B	1.87B	1.96B	1.97B
Cash Flow
Free Cash Flow	249.40M	78.43M	209.39M	186.83M	-151.71M	529.08M
Operating Cash Flow	295.70M	122.93M	265.40M	243.70M	-73.64M	593.53M
Investing Cash Flow	-44.25M	56.56M	42.53M	27.78M	-78.09M	-103.13M
Financing Cash Flow	-57.30M	-135.80M	-467.33M	-306.56M	-133.40M	-282.31M

Win Hanverky Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.23
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3322, the sentiment is Positive. The current price of 0.23 is above the 20-day moving average (MA) of 0.23, above the 50-day MA of 0.21, and above the 200-day MA of 0.22, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 55.66 is Neutral, neither overbought nor oversold. The STOCH value of 93.52 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3322.

Win Hanverky Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8480	66 Neutral	HK$134.80M	3.95	9.42%	6.85%	18.97%	-4.28%
1749	65 Neutral	HK$102.72M	2.77	11.95%	11.34%	-7.88%	-4.49%
0608	63 Neutral	HK$458.42M	5.72	2.55%	2.46%	-4.07%	-26.53%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
0294	52 Neutral	HK$186.07M	―	-8.49%	2.08%	-6.96%	-32.24%
3322	50 Neutral	HK$295.41M	-9.27	-2.35%	―	24.99%	89.24%
1906	46 Neutral	HK$720.85M	-28.65	-6.24%	―	5.88%	16.82%

Win Hanverky Holdings Limited Corporate Events

Win Hanverky Reports Mixed Sales Performance in 2025

Win Hanverky Holdings Limited reported a decrease in same store sales growth for its high-end fashion retailing business, with a decline of 10% in the third quarter of 2025 and 7% for the year-to-date. Despite this, the overall revenue growth for the same period was positive at 5%, driven by wholesale revenue from sales to franchisees. The company has reduced its number of direct operated offline stores from 108 to 87 over the past year, reflecting strategic adjustments in various geographical segments.

Win Hanverky Extends Vietnam Factory Lease in Discloseable Transaction

Win Hanverky Holdings Limited has announced an amendment to extend the lease of its non-core factories in Binh Duong Province, Vietnam, until April 2030. This extension is part of a discloseable transaction under the Listing Rules, reflecting an acquisition of assets and impacting the company’s financial statements by adjusting the right-of-use asset and lease liability. The transaction is significant as it ensures the continuity of the company’s production capabilities in Vietnam, which is crucial for its operations and market positioning.