China Brilliant Global Limited (8026) AI Stock Analysis

• Market Cap: HK$773.06M
• Dividend Yield: N/A
• Average Volume (3M): 111.50K
• Price to Earnings (P/E): 61.3
• Beta (1Y): 0.20
• Revenue Growth: -1.93%
• EPS Growth: N/A
• Country: HK
• Employees: 36
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Luxury Goods
• EPS (TTM): <0.01
• Shares Outstanding: 1,546,128,900
• 10 Day Avg. Volume: 111,200
• 30 Day Avg. Volume: 111,500
• PEG Ratio: -0.33
• Price to Book (P/B): 1.20
• Price to Sales (P/S): 3.74
• P/FCF Ratio: 33.52
• 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: 67 Neutral
• Price Target: HK$0.41 ▲(8.42% Upside)

The score is driven primarily by improved financial performance with a strong, low-debt balance sheet and a supportive technical uptrend. These positives are materially tempered by a high P/E valuation and the company’s history of uneven profitability and cash flow stability.

Positive Factors

Balance sheet conservatism

A near debt-free capital structure materially lowers financial distress risk and gives management capacity to fund inventory, invest in product development or weather demand cyclicality in luxury goods. This durability enhances resilience across economic cycles and supports strategic optionality.

Profitability rebound (FY2025)

A credible swing to operating profit and positive net income signals business model improvements or better cost leverage. If sustained, higher margins can fund reinvestment and rebuild retained earnings, improving long-term solvency and enabling scale in brand and distribution initiatives.

Recent positive cash generation

Consecutive years of positive operating cash flow and FCF aligning with earnings indicate improving earnings quality and internal funding capacity. Durable cash generation supports working capital needs, reduces dependence on external finance, and enables capital allocation flexibility.

Negative Factors

Historic earnings volatility

A track record of multi-year losses before the recent recovery signals inconsistent execution or cyclical demand exposure in luxury goods. This structural volatility raises execution risk: sustained profit restoration is required to trust margins and cash flows over the medium term.

Declining free cash flow in FY2025

A sharp drop in FCF despite a profit rebound suggests cash conversion fragility or one-off items. Persistently weakening FCF would limit reinvestment, constrain deleveraging or shareholder returns, and reduce buffer against demand shocks—undermining long-term operational flexibility.

Modest returns on equity

Low ROE despite strong capitalization implies the company is not yet deploying equity efficiently. Over time, persistently modest returns can hinder shareholder value creation and suggest the need for better asset allocation, margin expansion, or revenue quality improvements.

China Brilliant Global Limited Business Overview & Revenue Model

Company Description

China Brilliant Global Limited, an investment holding company, engages in the research and development, design, wholesale, and retail of gold and jewelry, and related ancillary businesses in Hong Kong and the Peoples' Republic of China. The company operates through Gold and Jewellery Business, Lending Business, and Fintech Business segments. It is also involved in the banking activities, such as accepting deposits, granting credits, advising on credit financing, and arranging credit financing, as well as provision of money services; and money lending business. The company was formerly known as Prosten Health Holdings Limited and changed its name to China Brilliant Global Limited in May 2018. China Brilliant Global Limited was incorporated in 1989 and is headquartered in Sheung Wan, Hong Kong. China Brilliant Global Limited is a subsidiary of Brilliant Chapter Limited.

How the Company Makes Money

China Brilliant Global Limited generates revenue through multiple channels. The primary revenue stream comes from the trading of jewelry and watches, where the company sources, markets, and sells luxury items. Additionally, the company is involved in money lending operations, offering loans and financial services that contribute to its income. The property development and investment segment also significantly adds to its revenue through the acquisition, development, and sale of real estate properties. Partnerships and strategic investments further enhance the company's earning potential by diversifying its business operations and tapping into new markets.

China Brilliant Global Limited Financial Statement Overview

Summary

FY2025 shows a clear turnaround with a swing back to net and operating profit and improved margins, supported by a very conservative, low-debt balance sheet. The main offset is limited consistency: prior years included sizable losses and periods of weak/negative cash flow, and FY2025 free cash flow declined versus FY2024.

Income Statement

Profitability rebounded sharply in FY2025, swinging from a large loss in FY2024 to a positive net profit with positive operating profit and improved operating margins. Revenue also accelerated materially in FY2025 after a slight decline in FY2024. The key weakness is consistency: the company posted sizable losses and negative margins for multiple years prior to FY2025, indicating an earnings profile that has been volatile and only recently stabilized.

Balance Sheet

The balance sheet is currently very conservative, with essentially no debt and a sizable equity base, which reduces financial risk and supports resilience. Equity and assets have strengthened versus the highly leveraged position seen in FY2022–FY2023, when debt levels were high relative to equity. The main watch item is that returns on equity are still modest despite the FY2025 recovery, so profitability needs to stay durable to fully capitalize on the strong capitalization.

Cash Flow

Cash generation is positive in FY2024 and FY2025, and free cash flow is roughly in line with reported earnings in FY2025, suggesting earnings quality is reasonable in the most recent year. However, free cash flow fell sharply in FY2025 versus FY2024, and the multi-year history includes periods of materially negative operating and free cash flow (FY2020–FY2023). Overall, cash flow has improved but remains less stable than the balance sheet.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	103.63M	107.37M	91.25M	93.93M	77.81M	59.04M
Gross Profit	24.82M	21.05M	18.85M	6.01M	5.02M	4.96M
EBITDA	12.54M	13.46M	-47.83M	-5.08M	-41.68M	-34.62M
Net Income	9.56M	10.07M	-68.93M	-40.78M	-37.32M	-41.05M
Balance Sheet
Total Assets	372.82M	388.87M	365.19M	168.76M	168.80M	163.41M
Cash, Cash Equivalents and Short-Term Investments	26.41M	27.32M	15.25M	45.09M	92.14M	109.51M
Total Debt	20.13M	0.00	65.00K	61.53M	78.50M	75.08M
Total Liabilities	31.05M	54.80M	41.10M	119.70M	93.66M	79.93M
Stockholders Equity	340.96M	333.59M	324.09M	18.28M	26.23M	61.19M
Cash Flow
Free Cash Flow	6.59M	11.97M	27.09M	-45.19M	-49.66M	-37.18M
Operating Cash Flow	6.67M	12.23M	27.42M	-43.35M	-38.27M	-31.81M
Investing Cash Flow	1.01M	7.76M	-83.87M	-2.40M	-11.96M	-2.75M
Financing Cash Flow	-1.51M	-7.40M	25.96M	-1.02M	32.79M	87.78M

China Brilliant Global Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.38
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8026, the sentiment is Positive. The current price of 0.38 is above the 20-day moving average (MA) of 0.37, below the 50-day MA of 0.38, and above the 200-day MA of 0.32, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 50.41 is Neutral, neither overbought nor oversold. The STOCH value of 62.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8026.

China Brilliant Global Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0280	73 Outperform	HK$491.03M	5.40	11.34%	6.00%	14.52%	15.74%
8026	67 Neutral	HK$773.06M	61.29	2.81%	―	-1.93%	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
0417	48 Neutral	HK$231.74M	-1.28	-43.66%	―	-27.28%	47.40%
6838	47 Neutral	HK$130.80M	-3.01	-4.47%	9.26%	-4.08%	-196.66%
1856	45 Neutral	HK$648.46M	-10.08	-51.81%	―	-20.65%	-616.18%