KPM Holding Limited (8027) AI Stock Analysis

• Market Cap: HK$27.23M
• Dividend Yield: N/A
• Average Volume (3M): 13.67K
• Price to Earnings (P/E): 1.6
• Beta (1Y): 0.26
• Revenue Growth: 47.69%
• EPS Growth: -101.74%
• Country: HK
• Employees: 86
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): N/A
• Shares Outstanding: 236,800,000
• 10 Day Avg. Volume: 17,000
• 30 Day Avg. Volume: 13,666
• PEG Ratio: 0.14
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.47
• P/FCF Ratio: 4.44
• 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: 47 Neutral
• Price Target: HK$0.11 ▼(-16.15% Downside)
• Action: Reiterated Date: 01/30/26
• Date: Action: Reiterated 01/30/26

The score is held back primarily by weak technical momentum (price below key moving averages, negative MACD, very low RSI) and ongoing unprofitability, despite some improvement in cash flow and a relatively stable balance sheet.

Positive Factors

Diversified business model

KPM's mix of manufacturing, construction services and property investment provides durable revenue diversification across related construction value chains. This reduces single-market exposure, supports cross-selling and steady cash inflows over months, aiding resilience through sector cycles.

Improved cash generation

The shift to positive operating and free cash flow indicates stronger internal cash generation and better working-capital management. This durable improvement enhances funding for operations and capex, reduces reliance on external financing, and bolsters short- to medium-term financial flexibility.

Manageable leverage and cash buffer

A moderate leverage profile combined with a strong cash balance gives KPM capacity to absorb shocks, fund projects, and pursue opportunities without immediate refinancing. This structural balance-sheet strength supports operational continuity and strategic optionality over the coming months.

Negative Factors

Persistent unprofitability

Ongoing negative net income and EBIT margins are a structural concern: persistent losses erode retained earnings and constrain reinvestment. Even with cash-flow improvements, sustained unprofitability undermines long-term capital accumulation and may force financing or strategic concessions.

Revenue volatility

Irregular top-line performance signals inconsistent demand or execution and weakens predictability of margins and cash flow. Revenue volatility hampers operating leverage, complicates planning and investment decisions, and increases execution risk for multi-quarter projects in construction and property.

Declining shareholders' equity

A trend of declining equity reduces the firm's loss-absorbing capacity and can constrain debt capacity if it continues. Over time this weakens financial flexibility, raises vulnerability to adverse cycles, and may necessitate external capital or asset sales to support growth or operations.

KPM Holding Limited Business Overview & Revenue Model

Company Description

KPM Holding Limited, an investment holding company, engages in the design, fabrication, installation, and maintenance of signage and related products in Singapore and Hong Kong. The company operates through Signage Business, and Fitting-Out and Renovation Services segments. It offers signage, bollard, variable-message signs, bus stops, linkways, and aluminum railing products. The company also provides subcontracting services for fitting-out work to commercial premises and residential developments, as well as renovation services for premises. KPM Holding Limited was founded in 1997 and is headquartered in Singapore.

How the Company Makes Money

KPM Holding Limited generates revenue through several key streams. The primary source of income is derived from the sale of building materials, which includes a range of products used in construction projects. Additionally, the company earns revenue through its construction services, providing integrated solutions that may encompass project management, engineering, and design services. Property investment and management also contribute significantly to its earnings, as the company develops and leases commercial and residential properties. Strategic partnerships with contractors and suppliers further enhance KPM's market presence and operational efficiency, allowing the company to capitalize on lucrative projects and maintain a steady flow of revenue. Factors such as market demand in the construction sector, pricing strategies, and effective project execution play crucial roles in driving the company’s profitability.

KPM Holding Limited Financial Statement Overview

Summary

Mixed fundamentals: revenue has been inconsistent and the company remains unprofitable (negative net income/EBIT margins). Offsetting factors include improved 2024 gross margin and better cash flow, with operating cash flow turning positive and free cash flow positive. Balance sheet leverage appears manageable with a solid cash position, though equity has declined.

Income Statement

The company has experienced fluctuating revenue with a recent decline from 2022 to 2023, followed by a slight increase in 2024. Gross profit margin improved in 2024, but the company remains unprofitable with negative net income and EBIT margins. The net profit margin is negative, indicating ongoing challenges in achieving profitability.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, indicating manageable leverage. Stockholders' equity has decreased over the years, but the equity ratio remains healthy. The company has a strong cash position, which provides some financial stability despite declining equity.

Cash Flow

Operating cash flow has improved in 2024, turning positive after previous negative years. Free cash flow is positive, indicating better cash management. However, the free cash flow to net income ratio is not favorable due to negative net income, highlighting ongoing profitability issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	18.19M	15.89M	14.01M	30.38M	18.54M	6.38M
Gross Profit	3.87M	3.78M	5.21M	3.36M	2.32M	672.37K
EBITDA	-279.49K	-149.21K	-1.36M	-1.12M	876.35K	-3.23M
Net Income	-1.87M	-901.63K	-2.28M	-1.62M	245.76K	-3.43M
Balance Sheet
Total Assets	17.94M	17.71M	18.43M	18.57M	17.09M	15.70M
Cash, Cash Equivalents and Short-Term Investments	5.63M	5.52M	4.29M	2.52M	3.62M	3.26M
Total Debt	2.28M	2.51M	2.80M	3.21M	2.66M	3.07M
Total Liabilities	6.20M	7.49M	7.51M	5.49M	4.22M	5.43M
Stockholders Equity	11.74M	10.22M	10.92M	13.08M	12.87M	10.26M
Cash Flow
Free Cash Flow	718.43K	1.68M	2.39M	-4.28M	-3.01M	-2.46M
Operating Cash Flow	724.98K	1.68M	2.52M	-4.22M	-2.96M	-2.42M
Investing Cash Flow	-932.74K	-935.74K	-115.97K	2.62M	1.31M	-1.37M
Financing Cash Flow	-576.83K	-564.41K	-536.15K	596.69K	1.94M	-542.18K

KPM Holding Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.13
• 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:8027, the sentiment is Negative. The current price of 0.13 is above the 20-day moving average (MA) of 0.12, above the 50-day MA of 0.12, and above the 200-day MA of 0.12, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 46.42 is Neutral, neither overbought nor oversold. The STOCH value of 65.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8027.

KPM Holding Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3816	76 Outperform	HK$1.70B	2.76	7.82%	2.71%	28.78%	185.71%
1891	65 Neutral	HK$156.00M	1.79	9.55%	―	1.65%	35.96%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
0822	50 Neutral	HK$259.19M	-2.13	-4.33%	―	10.91%	11.01%
8133	49 Neutral	HK$13.17M	-3.87	-5.13%	―	66.49%	83.91%
8027	47 Neutral	HK$27.23M	1.56	-15.00%	―	47.69%	-101.74%