NNK Group Ltd (3773) AI Stock Analysis

• Market Cap: HK$618.35M
• Dividend Yield: N/A
• Average Volume (3M): 55.60K
• Price to Earnings (P/E): 17.9
• Beta (1Y): 0.12
• Revenue Growth: 37.37%
• EPS Growth: 95.32%
• Country: HK
• Employees: 156
• Sector: Technology
• Sector Strength: 91
• Industry: Software - Infrastructure
• EPS (TTM): 0.03
• Shares Outstanding: 415,000,000
• 10 Day Avg. Volume: 62,600
• 30 Day Avg. Volume: 55,600
• PEG Ratio: -1.36
• Price to Book (P/B): 1.84
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.71
• 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: 69 Neutral
• Price Target: HK$1.50 ▲(0.67%Upside)

NNK Group Ltd's strong financial performance, particularly in revenue and profit growth, is a key strength. However, cash flow issues present a significant risk. Technical indicators show mixed signals with short-term bullish momentum but longer-term bearish trends. The valuation is moderate, but the lack of a dividend yield may be a concern for some investors.

NNK Group Ltd Business Overview & Revenue Model

Company Description

NNK Group Limited provides mobile top-up services to mobile subscribers through electronic banking systems in the People's Republic of China. The company operates 007ka Top-up Platform through which it processes mobile top-up request received from mobile users. It also provides mobile top-up services through third-party online platforms, the company's Websites, and Wechat public account. The company was founded in 2006 and is headquartered in Shenzhen, the People's Republic of China.

How the Company Makes Money

NNK Group Ltd generates revenue through multiple key streams. Primarily, it earns money from property development and sales, where it develops residential and commercial properties and sells them at a profit. The company also generates rental income from its investment properties, which contributes a steady cash flow. In addition, NNK Group earns revenue from its financial services division, which includes asset management and advisory services, earning fees based on the assets managed and commissions from transactions. Strategic partnerships with local and international investors enhance its investment capabilities and broaden its market reach, thereby increasing potential revenue opportunities.

NNK Group Ltd Financial Statement Overview

Summary

NNK Group Ltd demonstrates robust financial performance with strong revenue growth and profit margins, a solid equity position with manageable leverage, and historical improvements in cash flow management. However, the absence of 2024 cash flow data slightly tempers the overall assessment.

Income Statement

The company demonstrated strong revenue growth, with a significant increase in total revenue from 90.3M in 2023 to 125.6M in 2024, reflecting a 39.2% growth rate. Gross profit margin remained robust at 81.3% in 2024. The net profit margin improved to 25.4%, indicating enhanced profitability. EBIT and EBITDA margins also showed healthy levels at 27.5% and 28.7% respectively. The consistent improvement in margins and revenue growth highlights a strong financial performance in the software infrastructure industry.

Balance Sheet

The balance sheet presents a solid equity position with a stockholders' equity of 311.2M against total assets of 560.8M, yielding an equity ratio of 55.5%. The debt-to-equity ratio stands at 0.40, reflecting moderate leverage levels. Return on equity improved to 10.3%, indicating efficient use of equity to generate profits. Overall, the company maintains a balanced leverage position with a focus on equity stability.

Cash Flow

The company's cash flow performance is mixed, with a notable absence of operating and free cash flow data for 2024 impacting the analysis. Previously, the company achieved significant free cash flow growth from negative figures in 2022 to 115.7M in 2023. The absence of operating cash flow in 2024 poses a challenge for assessing cash generation capabilities. However, historical improvements in free cash flow indicate potential strength in cash flow management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	125.56M	90.30M	86.36M	90.33M	81.23M
Gross Profit	102.10M	73.83M	72.48M	75.55M	63.00M
EBITDA	36.07M	21.29M	28.57M	26.71M	24.73M
Net Income	31.94M	16.35M	27.27M	26.48M	30.21M
Balance Sheet
Total Assets	560.82M	412.53M	506.60M	379.84M	352.97M
Cash, Cash Equivalents and Short-Term Investments	50.84M	93.00M	96.22M	32.52M	103.58M
Total Debt	123.12M	31.85M	152.19M	51.71M	52.07M
Total Liabilities	252.18M	133.23M	243.65M	144.16M	143.76M
Stockholders Equity	311.25M	279.30M	262.95M	235.68M	209.21M
Cash Flow
Free Cash Flow	-125.16M	115.69M	-36.59M	-68.44M	-41.45M
Operating Cash Flow	-123.72M	117.15M	-33.50M	-67.04M	-40.66M
Investing Cash Flow	-2.75M	-456.00K	-984.00K	-453.00K	96.00K
Financing Cash Flow	47.65M	-33.06M	57.55M	-3.85M	27.64M

NNK Group Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.49
• 50DMA: Positive
• 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:3773, the sentiment is Negative. The current price of 1.49 is above the 20-day moving average (MA) of 1.48, above the 50-day MA of 1.45, and below the 200-day MA of 2.19, indicating a neutral trend. The MACD of 0.02 indicates Positive momentum. The RSI at 49.66 is Neutral, neither overbought nor oversold. The STOCH value of 31.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:3773.

NNK Group Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3773	69 Neutral	HK$618.35M	17.87	10.84%	―	37.37%	95.32%
Sector *	51 Neutral	AU$1.67B	2.26	-31.66%	3.53%	16.55%	-7.79%
G9D	―	€76.98M	11.85	2.46%	7.32%	―	―
8062	74 Outperform	HK$146.40M	26.07	4.10%	9.84%	11.81%	49.64%
8017	61 Neutral	HK$812.52M	11.49	40.88%	―	-14.39%	-69.66%
0818	59 Neutral	HK$1.42B	8.98	2.20%	―	-13.19%	-66.35%
8613	47 Neutral	HK$154.22M	―	-380.55%	―	168.04%	―

NNK Group Ltd Corporate Events

Yinsheng Digifavor Issues Profit Warning Amid Strategic Investments

Yinsheng Digifavor Company Limited has issued a profit warning, anticipating a significant decrease in profits for the first half of 2025 compared to the same period in 2024. The decline, projected to be between 40% to 45%, is attributed to increased investments in digital equity product development and higher costs in their mobile services segment, impacting the company’s gross profit margin.

Yinsheng Digifavor Forms Nomination Committee to Enhance Board Governance

Yinsheng Digifavor Company Limited has established a Nomination Committee to identify and recommend candidates for its board of directors, evaluate the board’s structure, and develop nomination guidelines. The committee, consisting of at least three directors with a majority being independent non-executive directors, aims to enhance the company’s governance by ensuring a diverse and skilled board composition. This initiative is expected to strengthen the company’s strategic alignment and succession planning, potentially impacting its operational efficiency and stakeholder confidence.

Yinsheng Digifavor Secures Unanimous Shareholder Support at AGM

Yinsheng Digifavor Company Limited announced the successful passage of all proposed resolutions at its Annual General Meeting held on June 20, 2025. Key resolutions included the adoption of audited financial statements, re-election of directors, reappointment of the auditor, and granting mandates to the board for share issuance and repurchase. The unanimous approval of these resolutions reflects strong shareholder support and positions the company for continued operational stability and strategic flexibility.

Yinsheng Digifavor Announces 2025 AGM with Key Resolutions

Yinsheng Digifavor Company Limited has announced its 2025 Annual General Meeting (AGM) to be held in Shenzhen, China, where key resolutions will be discussed. The agenda includes adopting financial statements, re-electing directors, appointing auditors, and authorizing the board to manage share allotments, which could influence the company’s strategic direction and shareholder value.

Yinsheng Digifavor Announces Board Changes with New Appointment

Yinsheng Digifavor Company Limited announced changes in its board of directors, with the resignation of Ms. Zou Guoying due to health reasons and the appointment of Ms. Hong Ting as an independent non-executive director. Ms. Hong brings extensive experience in accounting, auditing, and financial consulting, which is expected to strengthen the company’s governance and strategic direction.

Yinsheng Digifavor Announces Board Composition and Committee Roles

Yinsheng Digifavor Company Limited has announced the composition of its board of directors and the roles of each member. The board consists of executive, non-executive, and independent non-executive directors, with Dr. Zhou Jinhuang serving as Chairman and Mr. Guan Heng as CEO. The company has established three committees: Audit, Nomination, and Remuneration, with specific directors assigned as members or chairpersons. This announcement clarifies the governance structure of the company, potentially impacting its strategic decision-making and operational oversight.