Shi Shi Services Limited (8181) AI Stock Analysis

• Market Cap: HK$60.97M
• Dividend Yield: N/A
• Average Volume (3M): 26.67K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.01
• Revenue Growth: 1.24%
• EPS Growth: -56.85%
• Country: HK
• Employees: 1,617
• Sector: Real Estate
• Sector Strength: 69
• Industry: Real Estate - Services
• EPS (TTM): >-0.01
• Shares Outstanding: 1,128,986,700
• 10 Day Avg. Volume: 34,400
• 30 Day Avg. Volume: 26,666
• PEG Ratio: -0.31
• Price to Book (P/B): 0.28
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.85
• 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: 46 Neutral
• Price Target: ―

Shi Shi Services Limited's overall stock score reflects significant financial and operational challenges. Key concerns include ongoing losses, negative cash flows, and a bearish technical outlook. Despite a strong balance sheet with low leverage, the company's negative return on equity and profitability issues weigh heavily on the score. While valuation metrics are unfavorable due to unprofitability, the potential for improvement exists if the company can address its operational inefficiencies and improve cash generation.

Shi Shi Services Limited Business Overview & Revenue Model

Company Description

Shi Shi Services Limited, an investment holding company, provides property management services in Hong Kong and the People's Republic of China. The company operates through three segments: Provision of Property Management and Related Services; Properties Investment; and Money Lending Business. It offers security, repair and maintenance, cleaning, finance management, and administrative and legal support services to residential properties under the Kong Shum brand name. The company was formerly known as Heng Sheng Holdings Limited and changed its name to Shi Shi Services Limited in October 2018. The company was founded in 1984 and is headquartered in Central, Hong Kong. Shi Shi Services Limited is a subsidiary of Heng Sheng Capital Limited.

How the Company Makes Money

Shi Shi Services Limited primarily generates revenue through its financial services and asset management operations. The company earns money by offering investment advisory services, where it charges fees based on the assets under management (AUM). Additionally, the company benefits from performance-based fees, which are contingent upon achieving specific investment benchmarks. Shi Shi Services Limited might also engage in proprietary trading and investment activities, generating returns from its own investment portfolio. Strategic partnerships with other financial institutions and an extensive client network further contribute to its revenue streams, enhancing its ability to deliver value-added services and solutions to its clientele.

Shi Shi Services Limited Financial Statement Overview

Summary

Shi Shi Services Limited faces significant financial challenges, evidenced by ongoing losses and negative cash flows. While revenue growth is modest, profitability and cash flow remain areas of concern. The balance sheet is relatively strong with low leverage, but negative returns on equity highlight the need for strategic improvements in operational efficiency and cost management. Overall, the company must address its profitability and cash generation issues to enhance financial stability and shareholder value.

Income Statement

The income statement reveals a challenging financial landscape for Shi Shi Services Limited. Despite a modest increase in revenue from 2023 to 2024 (7.56%), the company has been struggling with profitability, as indicated by negative net income for the past several years. The Gross Profit Margin was 17.61% in 2024, which is relatively low for the industry, and the Net Profit Margin was negative (-7.89%), reflecting ongoing losses. The company's EBIT Margin improved to 3.24% in 2024 from negative figures in previous years, highlighting some operational improvements. However, the EBITDA Margin of 0.58% in 2024 suggests limited earnings before interest, taxes, depreciation, and amortization, indicating challenges in core operational efficiency.

Balance Sheet

The balance sheet shows a stable equity position with a Debt-to-Equity Ratio of 0.04, indicating low financial leverage and risk. The company's Equity Ratio stands at 73.26%, showcasing a strong equity base relative to its assets. However, the Return on Equity (ROE) remains negative at -20.77%, reflecting the company's inability to generate adequate returns for shareholders. The reduction in total liabilities suggests improved financial health, yet the persistent negative net income impacts overall equity growth.

Cash Flow

Shi Shi Services Limited's cash flow statement highlights significant issues with cash generation from operations, as evidenced by a negative Operating Cash Flow in 2024. The Free Cash Flow has shown volatility, with a dramatic decline from 2023 to 2024 (-313.66%). The Operating Cash Flow to Net Income Ratio and Free Cash Flow to Net Income Ratio are both negative, indicating the company's cash flow challenges in covering its net losses. Despite these concerns, the company has managed to maintain a positive cash balance, suggesting prudent cash management strategies.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
578.60M	588.74M	547.38M	524.95M	511.12M	487.39M
	Gross Profit
107.91M	103.69M	94.51M	100.29M	108.64M	110.90M
	EBIT
16.29M	-8.53M	-30.51M	-4.81M	24.11M	37.58M
	EBITDA
4.21M	3.40M	-14.96M	5.41M	17.02M	45.72M
	Net Income Common Stockholders
-42.73M	-46.44M	-28.80M	-25.95M	15.86M	14.17M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
59.19M	44.76M	79.14M	67.70M	105.33M	141.42M
	Total Assets
305.06M	305.06M	365.99M	397.79M	422.64M	393.59M
	Total Debt
5.17M	9.14M	18.16M	19.11M	18.68M	18.16M
	Net Debt
-39.59M	-35.63M	-60.98M	-48.59M	-86.65M	-123.26M
	Total Liabilities
77.23M	77.23M	87.69M	99.40M	103.67M	94.77M
	Stockholders Equity
223.51M	223.51M	273.82M	298.39M	318.97M	297.96M
Cash Flow		Free Cash Flow
-33.03M	-26.36M	12.33M	-34.13M	9.88M	-2.62M
	Operating Cash Flow
-12.57M	-18.27M	29.04M	-8.53M	39.50M	10.87M
	Investing Cash Flow
-7.61M	-6.80M	-15.00M	-29.95M	-68.61M	-2.97M
	Financing Cash Flow
-2.15M	-3.12M	-8.00M	-828.00K	-8.42M	-4.38M

Shi Shi Services Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8181, the sentiment is Negative. The current price of 0.05 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and below the 200-day MA of 0.09, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 13.96 is Positive, neither overbought nor oversold. The STOCH value of -11.11 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8181.

Shi Shi Services Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$2.83B	10.72	0.40%	6.10%	5.80%	-21.26%
8181	46 Neutral	HK$60.97M	―	-17.80%	―	1.24%	-56.85%
CCOHF		$8.44B	6.30	14.62%	5.64%	―	―
CNPPF		$2.24B	10.95		24.29%	―	―
CRGGF		$6.28B	12.16	9.94%	0.81%	―	―
CTRGF		$2.84B	11.11	4.96%	0.31%	―	―
1V0		€466.52M	―	-29.17%	2.43%	―	―