Vicon Holdings Limited (3878) AI Stock Analysis

• Market Cap: HK$74.34M
• Dividend Yield: N/A
• Average Volume (3M): 204.07K
• Price to Earnings (P/E): 15.3
• Beta (1Y): 0.13
• Revenue Growth: -46.10%
• EPS Growth: -38.04%
• Country: HK
• Employees: 22
• Sector: Industrials
• Sector Strength: 89
• Industry: Engineering & Construction
• EPS (TTM): >-0.01
• Shares Outstanding: 479,600,000
• 10 Day Avg. Volume: 54,600
• 30 Day Avg. Volume: 204,066
• PEG Ratio: -0.23
• Price to Book (P/B): 0.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.35
• 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: 57 Neutral
• Price Target: ―

Vicon Holdings Limited shows a stable financial foundation with revenue growth and improved cash flow management. However, its modest profitability and operational efficiency are areas for improvement. The technical indicators point to a bearish trend, and while the valuation is reasonable, the lack of a dividend yield may deter some investors. Overall, the stock reflects stability with potential for growth, but current market sentiment is weak.

Vicon Holdings Limited Business Overview & Revenue Model

Company Description

Vicon Holdings Limited (3878) is a Hong Kong-based construction company specializing in foundation works and ground investigation field works. The company is primarily engaged in the provision of foundation works including piling works, ELS works, and other ancillary services such as site formation, ground investigation, and site investigation. Vicon Holdings serves a diverse range of customers in both public and private sectors, delivering critical infrastructure and construction projects.

How the Company Makes Money

Vicon Holdings Limited makes money through its core operations in the construction industry, particularly focusing on foundation works. The company generates revenue by undertaking construction contracts for both public and private sector clients. These contracts typically involve various stages of construction work, including design, planning, and execution of foundation and site investigation services. The company's earnings are further supported by its specialization in piling and ELS works, which are critical components of construction that require technical expertise and equipment. Additionally, Vicon Holdings may engage in strategic partnerships or collaborations with other construction firms or developers to expand its project portfolio and enhance its service offerings.

Vicon Holdings Limited Financial Statement Overview

Summary

Vicon Holdings Limited demonstrates positive financial trends with revenue growth and improved profitability. The company's balance sheet remains robust with low leverage, and cash flow generation is strong, supporting operational activities. While profitability margins have improved, they remain modest, indicating areas for further operational efficiency.

Income Statement

Vicon Holdings Limited has shown improvements in profitability, with net profit margin increasing from 0.57% in 2023 to 1.70% in 2024. Revenue grew by 16.7% from 2023 to 2024, indicating positive growth. Gross profit margin remained stable at 9.03% in 2024. However, the EBIT margin of 1.43% in 2024 suggests limited operational efficiency. Overall, the income statement reflects recovery and growth but also highlights modest profitability and operational challenges.

Balance Sheet

The company's balance sheet is strong, with a debt-to-equity ratio of 0.03, indicating low leverage and reduced financial risk. The equity ratio improved to 86.42% in 2024, showcasing a solid balance sheet structure. Return on Equity (ROE) increased to 3.10% in 2024, reflecting improved profitability for shareholders. The balance sheet reflects stability and low financial risk, but there is room for improvement in achieving higher returns on equity.

Cash Flow

Vicon Holdings has shown significant improvement in cash flow management. Operating cash flow increased to 39.72M in 2024, resulting in a robust Operating Cash Flow to Net Income Ratio of 4.80. Free Cash Flow to Net Income Ratio is strong at 4.66, indicating efficient cash conversion from earnings. Free cash flow growth is evident with a positive trend, reflecting strong cash generation capabilities. The cash flow statement highlights strong operational cash flow and effective cash management strategies.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	318.51M	486.64M	417.04M	156.59M	254.63M	468.24M
Gross Profit	33.70M	43.95M	43.58M	33.16M	-38.46M	43.52M
EBITDA	14.46M	17.43M	10.82M	-5.10M	-25.85M	59.42M
Net Income	7.56M	8.27M	2.39M	-24.56M	-51.51M	23.73M
Balance Sheet
Total Assets	309.47M	308.42M	338.93M	335.19M	405.05M	576.57M
Cash, Cash Equivalents and Short-Term Investments	34.14M	39.48M	18.63M	25.48M	14.61M	22.57M
Total Debt	8.96M	8.78M	11.02M	23.29M	93.05M	165.70M
Total Liabilities	36.56M	41.93M	80.71M	79.36M	144.02M	264.03M
Stockholders Equity	272.91M	266.49M	258.22M	255.83M	261.03M	312.54M
Cash Flow
Free Cash Flow	29.80M	38.50M	-17.77M	29.14M	60.63M	6.87M
Operating Cash Flow	31.03M	39.72M	-14.51M	34.44M	61.67M	26.75M
Investing Cash Flow	-1.43M	-19.83M	22.89M	30.29M	10.78M	-18.83M
Financing Cash Flow	-2.73M	-2.89M	-15.22M	-53.87M	-80.41M	-6.75M

Vicon Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.16
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3878, the sentiment is Negative. The current price of 0.16 is below the 20-day moving average (MA) of 0.17, below the 50-day MA of 0.18, and below the 200-day MA of 0.21, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 36.75 is Neutral, neither overbought nor oversold. The STOCH value of 16.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:3878.

Vicon Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1999	70 Outperform	$16.83B	8.16	16.66%	5.53%	-8.19%	-9.98%
Sector *	58 Neutral	HK$13.89B	4.44	-3.01%	7.32%	3.67%	-54.16%
3878	57 Neutral	HK$74.34M	15.35	1.80%	―	-46.10%	-38.04%
1592	45 Neutral	HK$74.80M	―	-102.44%	―	-24.20%	-97.97%
8490	40 Underperform	HK$91.01M	68.18	-21.90%	―	-8.34%	-8828.57%
1738	31 Underperform	$142.20M	―		―	-69.69%	-9.41%