Shanghai XNG Holdings Limited (3666) AI Stock Analysis

• Market Cap: HK$106.23M
• Dividend Yield: N/A
• Average Volume (3M): 10.03M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.23
• Revenue Growth: -40.25%
• EPS Growth: -0.84%
• Country: HK
• Employees: 233
• Sector: Consumer Cyclical
• Sector Strength: 75
• Industry: Restaurants
• EPS (TTM): >-0.01
• Shares Outstanding: 2,655,637,000
• 10 Day Avg. Volume: 3,219,200
• 30 Day Avg. Volume: 10,033,713
• 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: 1

• Rating: 53 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score is primarily impacted by significant financial challenges, including declining revenues, persistent losses, and high leverage. While technical indicators suggest positive momentum, the negative valuation metrics due to ongoing losses weigh heavily on the score.

Positive Factors

Cash Generation Ability

Positive operating cash flow indicates the company's ability to manage its cash operations effectively, which is crucial for sustaining business activities and funding future growth initiatives despite profitability challenges.

Strategic Partnerships

Strategic partnerships enhance the company's market position by securing competitive pricing and reliable supply chains, which are essential for maintaining operational efficiency and market competitiveness in the energy sector.

Market Demand for Cleaner Energy

Growing demand for cleaner energy solutions presents a significant opportunity for the company to expand its market reach and drive revenue growth, aligning with global sustainability trends and regulatory support for green energy.

Negative Factors

Declining Revenue

A significant decline in revenue indicates challenges in maintaining market share and competitiveness, which can impact long-term growth prospects and financial stability if not addressed through strategic initiatives.

High Leverage

High leverage and negative equity highlight financial instability and potential solvency risks, limiting the company's ability to invest in growth opportunities and increasing vulnerability to economic downturns.

Profitability Challenges

Persistent profitability challenges undermine the company's ability to reinvest in its business, potentially affecting long-term growth and competitiveness in the energy sector.

Shanghai XNG Holdings Limited Business Overview & Revenue Model

Company Description

Shanghai XNG Holdings Limited, an investment holding company, operates a chain of restaurants in Mainland China and Hong Kong. The company operates 33 Shanghai Min restaurants, 2 Maison DeL'Hui restaurants, 13 The Dining Room restaurants, one Oreno restaurant, one Wolfgang Puck restaurant, and 2 DOUTOR café and one Karaage no Tensai restaurant. It is also involved in the management of restaurants; provision of management, as well as IT technology services; franchise operation; and sale of software. The company was formerly known as TANSH Global Food Group Co., Ltd and changed its name to Shanghai XNG Holdings Limited in March 2022. Shanghai XNG Holdings Limited was founded in 1987 and is headquartered in Shanghai, the People's Republic of China.

How the Company Makes Money

Shanghai XNG Holdings Limited generates revenue primarily through the sale and distribution of liquefied natural gas (LNG) and related energy products. The company has established key partnerships with various energy producers and distributors, enabling it to secure competitive pricing and reliable supply chains. Additionally, revenue is supplemented by investments in energy infrastructure development projects, which may include joint ventures and collaborations with governmental and private sector entities. The company's ability to navigate regulatory environments and market demand for cleaner energy solutions is critical in driving its earnings.

Shanghai XNG Holdings Limited Financial Statement Overview

Summary

Shanghai XNG Holdings Limited is experiencing severe financial distress. The company has faced significant revenue declines, negative profitability margins, high leverage, and a lack of cash flow, highlighting substantial challenges in reversing the current trajectory.

Income Statement

Shanghai XNG Holdings Limited has faced significant revenue declines from previous years, with recent annual revenue decreasing from 691.5 million to 314.4 million. The net profit margin is negative, indicating continued profitability issues, and the EBIT and EBITDA margins are also negative, highlighting operational inefficiencies.

Balance Sheet

The company has a negative stockholders' equity, which suggests financial instability. The debt-to-equity ratio cannot be calculated due to negative equity, indicating high leverage and financial risk. Total assets have also decreased significantly over recent years.

Cash Flow

The cash flow situation is concerning, with operating cash flow dropping to zero and free cash flow following suit. The absence of positive cash flows restricts financial flexibility and the ability to invest in growth opportunities.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	314.36M	450.54M	325.60M	691.52M	644.39M
Gross Profit	203.46M	298.99M	219.75M	468.81M	436.73M
EBITDA	-26.15M	51.03M	-99.24M	56.49M	-80.90M
Net Income	-85.08M	-45.42M	-69.23M	-82.37M	-318.75M
Balance Sheet
Total Assets	137.75M	256.01M	378.34M	530.76M	595.98M
Cash, Cash Equivalents and Short-Term Investments	3.69M	28.82M	56.12M	99.42M	123.84M
Total Debt	95.20M	177.01M	237.65M	310.64M	255.54M
Total Liabilities	297.37M	329.76M	408.48M	495.07M	476.59M
Stockholders Equity	-161.23M	-75.34M	-29.72M	36.85M	114.93M
Cash Flow
Free Cash Flow	29.55M	43.66M	62.28M	80.90M	35.01M
Operating Cash Flow	35.35M	48.23M	72.76M	92.48M	46.53M
Investing Cash Flow	-8.86M	11.81M	-9.95M	3.01M	-6.95M
Financing Cash Flow	-43.20M	-86.89M	-91.59M	-132.16M	-82.36M

Shanghai XNG Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.04
• 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:3666, the sentiment is Positive. The current price of 0.04 is above the 20-day moving average (MA) of 0.04, above the 50-day MA of 0.03, and above the 200-day MA of 0.03, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 64.34 is Neutral, neither overbought nor oversold. The STOCH value of 70.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3666.

Shanghai XNG Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2217	74 Outperform	$2.11B	26.39	5.40%	4.62%	3.43%	-32.96%
6811	64 Neutral	HK$1.06B	11.63	10.47%	4.99%	4.16%	59.08%
Sector *	61 Neutral	$18.09B	12.97	-1.60%	2.98%	1.42%	-15.92%
0538	57 Neutral	HK$1.18B	99.08	0.38%	5.93%	0.26%	-73.09%
3666	53 Neutral	HK$106.23M	―		―	-40.25%	-0.84%
1443	46 Neutral	HK$80.60M	10.67	-41.01%	4.84%	-7.56%	-231.11%
1869	46 Neutral	HK$152.31M	―		―	-18.92%	-2250.00%

Shanghai XNG Holdings Limited Corporate Events

Shanghai XNG Holdings Limited Makes Progress in Addressing Financial Stability

Shanghai XNG Holdings Limited has been actively implementing measures to address its going concern issue as highlighted in its 2024 annual report. The company has made progress in negotiating new borrowings, refinancing existing loans, and raising funds through new share placements. Additionally, it has secured rental reductions and supplier discounts to improve its financial position. These efforts aim to enhance liquidity, reduce costs, and ensure the company’s financial obligations are met.

Shanghai XNG Holdings Announces Key Management Changes

Shanghai XNG Holdings Limited has announced a change in its company secretary, authorized representative, and process agent roles. Ms. Chan Yuk Wing has resigned from these positions due to other work arrangements, and Mr. Yeung Tsz Kit Alban has been appointed to take over these roles effective July 23, 2025. Mr. Yeung brings extensive experience in corporate services and compliance, having worked with several companies listed on the Hong Kong Stock Exchange. The company expressed gratitude to Ms. Chan for her contributions and welcomed Mr. Yeung to his new appointments.

Shanghai XNG Holdings Secures Unanimous Approval at AGM

Shanghai XNG Holdings Limited announced the results of its Annual General Meeting held on June 27, 2025, where all proposed resolutions were approved unanimously by shareholders. Key resolutions included the re-election of directors, re-appointment of auditors, and granting mandates to the board for share issuance and repurchase, indicating strong shareholder support and a stable governance structure.

Shanghai XNG Holdings Relocates Head Office in PRC

Shanghai XNG Holdings Limited has announced a change in the location of its head office and principal place of business in the People’s Republic of China. The new address is Room 1112-1114, 11/F, Unicom International Tower, No. 547 Tianmu West Road, Jingan District, Shanghai, effective from June 25, 2025. This move is part of the company’s ongoing efforts to optimize its operations and potentially enhance its strategic positioning within the industry.

Shanghai XNG Holdings Completes Share Placement

Shanghai XNG Holdings Limited has successfully completed the placement of 442,606,000 new shares under a general mandate, representing approximately 16.67% of the company’s enlarged issued share capital. The net proceeds of approximately HK$8.7 million from this placement will be used for general working capital, and the shareholding structure has been adjusted accordingly, with no new substantial shareholders emerging.

Shanghai XNG Holdings Appoints New Joint Company Secretary

Shanghai XNG Holdings Limited has announced the appointment of Mr. Yeung Tsz Kit Alban as a joint company secretary, effective from 26 May 2025. Mr. Yeung brings over 19 years of experience in regulatory compliance and corporate governance, which is expected to enhance the company’s operational efficiency and compliance with governance matters alongside Ms. Chan Yuk Wing.