ECI Technology Holdings Ltd. (8013) AI Stock Analysis

• Market Cap: HK$94.40M
• Dividend Yield: N/A
• Average Volume (3M): 281.33K
• Price to Earnings (P/E): 36.9
• Beta (1Y): 0.17
• Revenue Growth: -2.60%
• EPS Growth: -71.43%
• Country: HK
• Employees: 332
• Sector: Technology
• Sector Strength: 88
• Industry: Specialty Business Services
• EPS (TTM): >-0.01
• Shares Outstanding: 1,600,000,000
• 10 Day Avg. Volume: 72,000
• 30 Day Avg. Volume: 281,333
• PEG Ratio: 0.00
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: HK$0.07 ▲(8.33% Upside)

ECI Technology Holdings Ltd. scores well due to its strong financial performance, characterized by robust revenue growth and improved profitability. The technical analysis suggests a stable outlook, though caution is advised due to potential volatility. The valuation is fair, making the stock attractive for growth investors. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

Revenue Growth

The company's strong revenue growth indicates effective market positioning and demand for its IT services, supporting long-term business expansion.

Profitability Margins

Improved profitability margins suggest effective cost control and operational efficiency, enhancing the company's ability to reinvest in growth.

Balance Sheet Health

A low debt-to-equity ratio indicates low financial leverage, providing the company with flexibility and reducing financial risk.

Negative Factors

Revenue Growth Decline

A decline in revenue growth could signal challenges in maintaining market share or demand, potentially impacting future financial performance.

Earnings Decline

A decrease in earnings per share growth suggests potential profitability issues, which could affect investor confidence and future investment capacity.

Operational Efficiency

Lack of EBIT data suggests potential operational inefficiencies, which may hinder the company's ability to optimize profits and manage costs effectively.

ECI Technology Holdings Ltd. Business Overview & Revenue Model

Company Description

ECI Technology Holdings Limited is engaged in the provision of extra-low voltage (ELV) solutions. The Company's solutions include central control monitoring systems such as security system, car park system and clubhouse management system, and telecommunications and broadcasting services systems, such as CABD System and SMATV System. It sources hardware, such as security cameras, display devices, cables and wires, and electronic and electrical components, as well as systems such as smartcard and access control systems from local and overseas suppliers. It provides total security solutions, including access control, burglar alarm, time attendance, elevator control and door phone entry system. Its customers in the private sector are property developers and property management companies in Hong Kong. Its customers in the public sector are government departments, such as drainage services department, leisure and cultural services department, electrical and mechanical services department.

How the Company Makes Money

ECI Technology Holdings Ltd. generates revenue through multiple streams primarily centered around its IT service offerings. The company earns income by providing software development services, where it designs and implements customized software solutions tailored to the specific needs of its clients. Additionally, ECI Technology Holdings Ltd. engages in systems integration projects, which involve the combination of various technology systems and software applications into a cohesive and functional unit for its customers. The company also offers IT consultancy services, advising businesses on technology strategies and solutions to optimize their operations. These services are often delivered through contractual agreements, with revenue recognized based on project milestones or service delivery terms. Strategic partnerships and collaborations with other technology firms can also play a role in expanding its service offerings and client base, further contributing to its revenue streams.

ECI Technology Holdings Ltd. Financial Statement Overview

Summary

ECI Technology Holdings Ltd. presents a robust financial profile with strong revenue growth and improved profitability margins. The balance sheet is solid, characterized by low leverage and high equity, while cash flow performance has significantly improved, supporting future growth and investment opportunities. However, the absence of EBIT highlights the need for continued focus on operational efficiency.

Income Statement

ECI Technology Holdings Ltd. demonstrated strong revenue growth, with a significant increase of 15.08% from the previous year. The gross profit margin improved to 24.87%, reflecting efficient cost management. The net profit margin rose to 4.47%, indicating enhanced profitability. However, the absence of EBIT suggests potential operational challenges. Overall, the company showcases robust growth and profitability metrics.

Balance Sheet

The balance sheet reveals a stable financial structure with a low debt-to-equity ratio of 0.104, suggesting low financial leverage. The equity ratio stands at 80.28%, reflecting a strong equity base. Return on equity improved to 10.56%, demonstrating effective utilization of shareholder funds. Despite these strengths, the company should monitor its debt levels to maintain financial flexibility.

Cash Flow

Strong cash flow performance is evidenced by a turnaround in operating cash flow and a positive free cash flow of 14.71 million. The free cash flow to net income ratio of 1.64 indicates efficient conversion of earnings into cash. Although the free cash flow growth rate is not calculable due to negative values in the previous period, the company showcases a healthy cash flow position overall.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	195.05M	195.05M	200.26M	174.01M	130.43M	138.21M
Gross Profit	49.97M	49.97M	49.81M	40.59M	31.93M	30.95M
EBITDA	5.50M	7.33M	13.61M	9.14M	9.41M	11.92M
Net Income	2.64M	2.64M	8.95M	5.62M	6.34M	8.72M
Balance Sheet
Total Assets	103.48M	103.48M	105.48M	98.31M	86.50M	82.72M
Cash, Cash Equivalents and Short-Term Investments	27.52M	27.52M	32.04M	21.81M	37.63M	29.16M
Total Debt	7.08M	7.08M	8.79M	8.38M	8.84M	9.70M
Total Liabilities	16.04M	16.04M	20.79M	22.73M	15.78M	18.22M
Stockholders Equity	87.43M	87.43M	84.69M	75.58M	70.72M	64.50M
Cash Flow
Free Cash Flow	-9.88M	-9.59M	14.71M	-8.12M	11.43M	9.13M
Operating Cash Flow	-9.13M	-8.85M	18.68M	-7.11M	11.52M	10.15M
Investing Cash Flow	-824.00K	-1.25M	-5.64M	-6.78M	-532.00K	-318.00K
Financing Cash Flow	-2.56M	-2.42M	-2.81M	-1.91M	-2.54M	-4.28M

ECI Technology Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.06
• 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:8013, the sentiment is Negative. The current price of 0.06 is above the 20-day moving average (MA) of 0.05, above the 50-day MA of 0.06, and above the 200-day MA of 0.05, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 38.56 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8013.

ECI Technology Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8013	74 Outperform	HK$94.40M	36.88	3.07%	―	-2.60%	-71.43%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
1841	53 Neutral	HK$90.80M	-21.83	-3.56%	―	-14.40%	-180.62%
8416	50 Neutral	HK$37.08M	-6.52	-6.35%	―	-16.78%	-233.66%
8317	46 Neutral	HK$72.99M	36.50	4.28%	―	50.50%	―
8450	46 Neutral	HK$91.00M	-7.98	-23.68%	―	-30.12%	-208.11%
1884	45 Neutral	HK$68.20M	82.67	0.37%	―	-10.78%	―