Leading Holdings Group Limited (6999) AI Stock Analysis

• Market Cap: €85.24M
• Dividend Yield: N/A
• Average Volume (3M): 31.53K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.30
• Revenue Growth: -54.30%
• EPS Growth: -57.24%
• Country: HK
• Employees: 585
• Sector: Real Estate
• Sector Strength: 55
• Industry: Real Estate - Development
• EPS (TTM): -2.20
• Shares Outstanding: 1,026,945,000
• 10 Day Avg. Volume: 31,700
• 30 Day Avg. Volume: 31,533
• PEG Ratio: <0.01
• Price to Book (P/B): 0.12
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.16
• 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: 42 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

The stock of Leading Holdings Group Limited is facing significant financial headwinds, marked by dramatic revenue declines, negative profitability, and cash flow challenges. Technical indicators suggest weak momentum with a bearish trend in price movements. Additionally, the negative P/E ratio and absence of dividends make the stock unattractive from a valuation standpoint. Overall, the stock's score is heavily impacted by its poor financial health and bearish technical signals.

Leading Holdings Group Limited Business Overview & Revenue Model

Company Description

Leading Holdings Group Limited engages in the development and sale of residential and commercial properties in China. The company operates through three segments: Property Development, Commercial Property Investment and Operation, and Hotel Operations. It also holds various commercial properties for further investment purpose; engages in hotel management business; and provides project management services. The company was formerly known as Leading China Holdings Limited. Leading Holdings Group Limited was founded in 1999 and is headquartered in Chengdu, China.

How the Company Makes Money

Leading Holdings Group Limited generates revenue mainly through the development and sale of real estate properties. The company acquires land, develops it into residential, commercial, or mixed-use properties, and then sells these properties to generate income. Key revenue streams include property sales, leasing income from commercial properties, and property management fees. Significant partnerships with construction firms, real estate agents, and financial institutions also contribute to its earnings by facilitating project completion and sales transactions.

Leading Holdings Group Limited Financial Statement Overview

Summary

Leading Holdings Group Limited faces significant financial challenges across all areas. The income statement reflects severe declines in revenue and profitability, while the balance sheet shows high leverage and weak equity positions. Cash flow issues further exacerbate the situation, with negative free cash flow and poor cash conversion ratios. The company needs strategic adjustments to stabilize and improve its financial health.

Income Statement

The company has seen a significant decline in revenue from 2023 to 2024, with a negative revenue growth rate of -53.65%. Furthermore, the net profit margin and EBIT margin have been consistently negative, highlighting challenges in profitability. Gross profit margins have dramatically dropped as well, showcasing difficulties in maintaining revenue efficiency.

Balance Sheet

The debt-to-equity ratio is extremely high, indicating a high level of financial leverage and potential risk. The equity ratio is very low, suggesting limited equity in the company's asset structure. Return on equity is negative, pointing to a lack of profitability for shareholders.

Cash Flow

The company has shown a deterioration in free cash flow growth, as free cash flow turned negative in 2024. This is compounded by an operating cash flow to net income ratio that is unfavorable, given the negative net income. The free cash flow to net income ratio is also negative, indicating inefficiencies in cash generation relative to income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.57B	18.49B	13.98B	15.05B	13.16B
Gross Profit	114.14M	1.77B	-2.00B	2.91B	3.56B
EBITDA	-329.38M	493.41M	-3.98B	1.54B	2.36B
Net Income	-2.08B	-1.32B	-5.10B	488.45M	860.31M
Balance Sheet
Total Assets	22.62B	34.05B	54.02B	64.43B	60.07B
Cash, Cash Equivalents and Short-Term Investments	874.66M	1.31B	2.60B	4.30B	4.19B
Total Debt	5.19B	7.10B	9.08B	11.97B	14.27B
Total Liabilities	22.46B	31.41B	48.58B	53.60B	50.80B
Stockholders Equity	189.58M	2.27B	3.74B	7.88B	7.25B
Cash Flow
Free Cash Flow	-171.96M	269.81M	2.83B	5.50B	345.46M
Operating Cash Flow	-171.42M	285.77M	2.85B	5.52B	368.90M
Investing Cash Flow	1.53B	1.61B	144.03M	-2.34B	-3.17B
Financing Cash Flow	-1.80B	-3.18B	-4.69B	-3.06B	5.59B

Leading Holdings Group Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.08
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6999, the sentiment is Neutral. The current price of 0.08 is below the 20-day moving average (MA) of 0.08, below the 50-day MA of 0.09, and below the 200-day MA of 0.14, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 48.45 is Neutral, neither overbought nor oversold. The STOCH value of 31.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:6999.

Leading Holdings Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$6.93B	18.28	-1.34%	6.83%	4.65%	-25.39%
1232	46 Neutral	HK$138.52M	―	-252.43%	―	-66.81%	21.94%
6999	42 Neutral	€85.24M	―	-170.25%	―	-54.30%	-57.24%
GI0A		€8.45M	―		―	―	―
0755	40 Neutral	HK$82.13M	―	-109.55%	―	-46.16%	-998.00%
0059		HK$84.46M	―		―	―	―
0910		HK$71.23M	―	-18.48%	―	―	―

Leading Holdings Group Limited Corporate Events

Leading Holdings Group Limited Updates on Financial Improvement Measures

Leading Holdings Group Limited has provided an update on its efforts to improve liquidity and financial stability, addressing a disclaimer of opinion from its auditor regarding the company’s going concern status. The company has been negotiating with lenders for loan renewals and extensions, seeking new loans, optimizing its workforce, and accelerating property sales to enhance cash flow. Despite these efforts, the company has not yet secured new financing or identified opportunities to dispose of equity interests in project development companies. The company is also working on settling outstanding litigations and restructuring offshore senior notes.

Leading Holdings Group Limited Forms Nomination Committee to Enhance Governance

Leading Holdings Group Limited has established a Nomination Committee to be composed mainly of independent non-executive directors, with appointments made by the board. This committee is responsible for overseeing nominations and ensuring governance standards are met, which could enhance the company’s decision-making processes and strengthen its corporate governance framework.

Leading Holdings Group Announces Key Leadership Changes

Leading Holdings Group Limited has announced a change in its company secretary, authorized representative, and process agent roles. Ms. Yan Hoi Ling Jovian has resigned from these positions, and Ms. Ma Wing Yee has been appointed as her successor, effective June 16, 2025. Ms. Ma brings over 10 years of experience in corporate governance and company secretarial practice, which is expected to strengthen the company’s operational framework. The board expressed gratitude to Ms. Yan for her contributions and welcomed Ms. Ma to her new role.

Leading Holdings Group Clarifies AGM Voting Results

Leading Holdings Group Limited announced the results of its annual general meeting held on May 30, 2025. The company clarified the voting results for an ordinary resolution regarding the extension of shares bought back, which passed with 99.73% approval. This announcement ensures transparency and confirms the resolutions passed at the AGM, maintaining stakeholder confidence.

Leading Holdings Group Limited AGM Resolutions Unanimously Approved

Leading Holdings Group Limited announced the successful conclusion of its Annual General Meeting held on May 30, 2025, where all proposed resolutions were passed unanimously by shareholders. Key resolutions included the adoption of the company’s audited financial statements for the year ending December 31, 2024, the re-election of directors, the re-appointment of SHINEWING (HK) CPA Limited as auditors, and the granting of mandates to the board for share allotment and buyback. This unanimous approval reflects strong shareholder confidence in the company’s governance and strategic direction.

Leading Holdings Group Announces 2025 AGM and Key Resolutions

Leading Holdings Group Limited has announced its upcoming Annual General Meeting (AGM) scheduled for May 30, 2025, in Chengdu, Sichuan Province, PRC. Key agenda items include the adoption of the audited financial statements for 2024, re-election of directors, re-appointment of auditors, and authorization for the board to issue additional shares. These resolutions aim to strengthen the company’s governance and operational capabilities, potentially impacting its market position and shareholder value.