Perfect Group International Holdings Ltd. (3326) AI Stock Analysis

• Market Cap: HK$309.74M
• Dividend Yield: 4.35%
• Average Volume (3M): 984.90K
• Price to Earnings (P/E): 32.2
• Beta (1Y): 0.39
• Revenue Growth: -21.57%
• EPS Growth: -71.88%
• Country: HK
• Employees: 133
• Sector: Consumer Cyclical
• Sector Strength: 68
• Industry: Luxury Goods
• EPS (TTM): -0.01
• Shares Outstanding: 1,335,078,000
• 10 Day Avg. Volume: 436,200
• 30 Day Avg. Volume: 984,900
• PEG Ratio: -0.45
• Price to Book (P/B): 0.51
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 292.79
• 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: 50 Neutral
• Price Target: ―

Perfect Group International Holdings Ltd.'s overall stock score is impacted primarily by its declining financial performance, with significant challenges in revenue and profitability. Despite a strong balance sheet, inefficiencies in cash flow management and declining return on equity are concerning. Technical analysis indicates a bearish trend, although the oversold RSI suggests potential for a short-term bounce. The high dividend yield is a positive factor, but the elevated P/E ratio raises valuation concerns.

Perfect Group International Holdings Ltd. Business Overview & Revenue Model

Company Description

Perfect Group International Holdings Limited, an investment holding company, designs, manufactures, exports, and sells fine jewelry products primarily mounted with diamonds in Hong Kong, the People's Republic of China, and Dubai. It operates through Jewellery Business and Property Business segments. The company manufactures and sells jewelry products, such as rings, earrings, pendants, bangles, necklaces, and bracelets. It also develops, invests in, sells, and rents properties for the industrial park project. In addition, the company is involved in the property management, fine jewelry retailing, and logistics and marketing activities. The company was founded in 1985 and is headquartered in Kowloon Bay, Hong Kong. Perfect Group International Holdings Limited is a subsidiary of Immaculate Diamonds Limited.

How the Company Makes Money

Perfect Group International Holdings Ltd. generates revenue primarily through the sale of jewelry products. The company operates both retail and wholesale channels, with a significant portion of its income derived from its retail operations, where it sells directly to consumers through its network of stores. In addition, the wholesale business involves selling jewelry to other retailers and distributors. The company may also engage in strategic partnerships or collaborations with designers and suppliers to enhance its product offerings and market reach. Factors contributing to its earnings include consumer demand for luxury goods, market trends in the jewelry industry, and effective management of its supply chain and inventory.

Perfect Group International Holdings Ltd. Financial Statement Overview

Summary

Perfect Group International Holdings Ltd. faces significant challenges in its income statement, with declining revenues and profitability margins. While the balance sheet remains strong with low leverage, the reduced return on equity highlights potential inefficiencies. Cash flow statements reflect inconsistent cash generation, limiting strategic flexibility. Overall, the company needs to address operational inefficiencies and improve cash conversion to enhance financial performance.

Income Statement

The company has experienced a consistent decline in revenue and profitability over the years. Gross and net profit margins have decreased significantly, indicating challenges in maintaining cost efficiencies. EBIT and EBITDA margins have also contracted, showing deteriorating operational performance. Revenue growth has been negative, reflecting market challenges or decreased demand for its luxury goods.

Balance Sheet

The balance sheet shows stability with a strong equity base, as evidenced by a high equity ratio. The debt-to-equity ratio is low, indicating a conservative use of leverage. However, the return on equity has declined, suggesting inefficiencies in generating profits from shareholders' equity.

Cash Flow

Cash flow from operations has fluctuated, showing weakness in consistently generating cash from core activities. Free cash flow has been negative or declining, limiting the company's ability to invest in growth opportunities. The operating cash flow to net income ratio indicates potential issues in converting profits into cash.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	273.49M	348.71M	374.05M	401.54M	366.93M
Gross Profit	82.54M	102.20M	114.67M	99.96M	152.38M
EBITDA	26.44M	48.54M	64.61M	79.81M	142.19M
Net Income	9.67M	34.36M	29.40M	38.76M	76.53M
Balance Sheet
Total Assets	785.00M	837.52M	836.53M	907.11M	852.97M
Cash, Cash Equivalents and Short-Term Investments	161.48M	148.91M	119.66M	97.41M	81.20M
Total Debt	41.68M	25.97M	23.65M	30.20M	7.76M
Total Liabilities	165.49M	187.82M	189.62M	221.82M	201.33M
Stockholders Equity	609.94M	642.67M	646.55M	684.27M	651.60M
Cash Flow
Free Cash Flow	0.00	24.37M	59.12M	15.81M	-20.74M
Operating Cash Flow	75.91M	59.21M	59.76M	17.45M	-19.20M
Investing Cash Flow	-73.18M	-18.04M	-53.16M	-16.68M	4.37M
Financing Cash Flow	0.00	-16.73M	-36.53M	-4.05M	-88.02M

Perfect Group International Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.23
• 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:3326, the sentiment is Positive. The current price of 0.23 is below the 20-day moving average (MA) of 0.24, above the 50-day MA of 0.20, and above the 200-day MA of 0.18, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 65.60 is Neutral, neither overbought nor oversold. The STOCH value of 29.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3326.

Perfect Group International Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0280	80 Outperform	HK$400.10M	4.53	11.22%	7.73%	-5.57%	-7.10%
Sector *	67 Neutral	¥252.20B	13.26	6.45%	2.68%	5.22%	-11.89%
0789	51 Neutral	HK$470.01M	60.17	5.25%	―	71.74%	―
3326	50 Neutral	HK$309.74M	32.22	1.54%	4.35%	-21.57%	-71.88%
0417	50 Neutral	HK$184.39M	―	-43.57%	―	-19.22%	-173.52%
1856	43 Neutral	HK$446.72M	35.26	-35.55%	―	-39.83%	-351.13%
8026	37 Underperform	HK$358.35M	34.71	3.11%	―	25.52%	-17.18%

Perfect Group International Holdings Ltd. Corporate Events

Perfect Group International Holdings Ltd. Announces AGM and Key Resolutions

Perfect Group International Holdings Limited has announced its upcoming Annual General Meeting (AGM) scheduled for June 2, 2025, in Hong Kong. The meeting will address several key items, including the adoption of the company’s audited financial statements for 2024, approval of a final dividend of HK$0.01 per share, re-election of certain directors, and re-appointment of Moore CPA Limited as auditors. Additionally, a resolution will be considered to authorize the directors to allot and issue shares, with certain limitations, enhancing the company’s ability to manage its share capital effectively.

Perfect Group International Enhances Transaction Transparency and Control Measures

Perfect Group International Holdings Ltd. has issued a supplemental announcement regarding its discloseable transaction and continuing connected transactions at the subsidiary level. The company is implementing detailed pricing policies and internal control measures to ensure fair and reasonable terms for its photovoltaic power generation and energy storage projects. These measures include obtaining multiple fee quotations, reviewing and approving transaction terms, and conducting regular monitoring and annual reviews by the finance department, risk management committee, and external auditors to safeguard shareholder interests.

Perfect Group Expands Energy Sector Operations with New Framework Agreement

Perfect Group International Holdings Ltd. announced a significant transaction involving its subsidiaries Guangdong Kaisi and Guangdong Kaichu, which are now considered significant contributors to the Group’s profits. The company has entered into a framework agreement with GGEP and GGNE for construction services related to photovoltaic power generation and energy storage projects, highlighting its strategic expansion in the energy sector.

Perfect Group Reports Decline in 2024 Financial Results

Perfect Group International Holdings Ltd. announced its audited consolidated results for the year ending December 31, 2024. The company reported a decrease in revenue from HK$348,711,000 in 2023 to HK$273,492,000 in 2024, with a gross profit decline from HK$102,204,000 to HK$82,544,000. Despite a profit for the year of HK$9,859,000, down from HK$34,158,000 in 2023, the company faced a total comprehensive expense of HK$4,205,000 due to factors like impairment losses and exchange differences. This financial performance indicates challenges in maintaining profitability and suggests potential impacts on stakeholders and market positioning.

Perfect Group International Announces Final Dividend for 2024

Perfect Group International Holdings Limited has announced a final cash dividend of HKD 0.01 per share for the financial year ending December 31, 2024. The dividend will be paid on June 18, 2025, following shareholder approval on June 2, 2025, and is set to impact shareholders positively by providing a return on their investments, reflecting the company’s financial health and commitment to rewarding its investors.

Perfect Group Issues Significant Profit Warning for FY2024

Perfect Group International Holdings Limited has issued a supplemental announcement regarding a significant profit warning for FY2024. The company anticipates a decrease in profit by approximately 60% to 80% compared to the previous year, primarily due to factors previously disclosed. The unaudited financial results are still under review and subject to adjustments, with final results expected by the end of March 2025. Stakeholders are advised to exercise caution when dealing with the company’s securities.

Perfect Group Issues Profit Warning Amid Sector Challenges

Perfect Group International Holdings Limited has issued a profit warning, anticipating a significant decrease in profit for FY2024 by approximately 60% to 80% compared to FY2023. This decline is attributed to impairment losses in its property business and weak performance in its jewellery segment, partially offset by growth in its photovoltaic power generation projects. The final audited results are pending, and stakeholders are advised to exercise caution.

Perfect Group International Announces Board Meeting for Annual Results

Perfect Group International Holdings Limited has announced that its board of directors will meet on March 24, 2025, to review and approve the company’s annual results for the year ending December 31, 2024. This meeting will also consider the potential declaration of a final dividend, which could have implications for the company’s financial strategy and shareholder returns.