Gameone Holdings Ltd. (8282) AI Stock Analysis

• Market Cap: HK$32.49M
• Dividend Yield: N/A
• Average Volume (3M): 172.46K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.30
• Revenue Growth: 8.14%
• EPS Growth: 99.25%
• Country: HK
• Employees: 27
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): N/A
• Shares Outstanding: 57,000,000
• 10 Day Avg. Volume: 129,522
• 30 Day Avg. Volume: 172,457
• PEG Ratio: 0.12
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 0.51
• P/FCF Ratio: -2.31
• 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: 44 Neutral
• Price Target: HK$0.67 ▲(7.90% Upside)

The score is held back primarily by sustained cash burn (negative operating and free cash flow) and ongoing losses despite improving margins. Technicals add a mild drag with the stock trading below key short- and mid-term moving averages and a negative MACD. The low-debt balance sheet is a key offsetting strength, but valuation signals are not supportive due to negative earnings and no stated dividend yield.

Positive Factors

Low leverage / strong balance sheet

Very low financial leverage materially reduces solvency risk and preserves strategic optionality over the medium term. A minimal debt burden lowers fixed financing costs, giving management more runway to execute restructuring or invest in product initiatives without near-term refinancing pressure.

Margin recovery and EBITDA positive

An improving gross margin and a return to positive EBITDA indicate structural improvement in unit economics or cost control. If sustained, this enhances the company’s ability to convert revenue to operating cash and supports a credible path to profitability independent of short-term revenue swings.

Lean operating footprint

A small, focused workforce implies lower fixed overhead and greater agility in reallocating resources. Over a multi-quarter horizon this lean structure can extend cash runway, enable faster iteration on game/content releases, and keep SG&A scalable as the business pursues stabilization.

Negative Factors

Negative operating and free cash flow

Sustained cash burn is a core durability risk: recurring negative operating and free cash flows will erode liquidity and force reliance on existing cash, asset sales, or external funding. Over several quarters this raises the probability of dilution or constrained investment in growth initiatives.

Revenue decline and ongoing losses

Top-line decline coupled with persistent net losses undermines the company’s ability to scale fixed costs into profitable growth. Without consistent revenue recovery, margin gains are insufficient to restore sustainable profitability, prolonging reliance on non-operating support or capital raises.

Eroding equity and negative ROE

A shrinking equity base and negative ROE reflect that capital invested is not generating returns, reducing the firm’s loss-absorbing capacity. Over the medium term this constrains strategic flexibility, limits M&A or R&D funding from internal resources, and increases sensitivity to shocks.

Gameone Holdings Ltd. Business Overview & Revenue Model

Company Description

Gameone Holdings Limited, an investment holding company, engages in the developing, operating, publishing, and distributing online PC and mobile games in Hong Kong, the People's Republic of China, and Taiwan. It also offers web games. The company was founded in 1999 and is headquartered in North Point, Hong Kong.

How the Company Makes Money

Gameone Holdings Ltd. generates revenue primarily through the monetization of its gaming products. The company employs a free-to-play model with in-game purchases, allowing users to download and play games for free while offering optional purchases for virtual items, enhancements, and other digital goods. Additionally, Gameone may earn revenue through advertising partnerships within its games, as well as through collaborations with other gaming companies for joint promotions and distribution. Licensing deals and strategic partnerships also contribute to its earnings, allowing the company to expand its reach and product offerings in various regions.

Gameone Holdings Ltd. Financial Statement Overview

Summary

Financials are mixed but skew weak: revenue declined in 2024 (-7.6% YoY) and the company remains loss-making (negative operating profit; ~-4.3% net margin). While gross margin rebounded (27.0% vs 11.7%) and EBITDA turned modestly positive (~5.0% margin), cash flow is a major concern with deeply negative operating cash flow (-7.8M) and free cash flow (-8.3M). The balance sheet is a relative positive with minimal leverage (debt-to-equity ~0.02), but profitability is not yet supporting equity returns.

Income Statement

The company’s profitability profile remains pressured. Revenue fell to 37.3M in 2024 (down 7.6% year over year) after prior growth, indicating an unstable top-line trajectory. While gross margin improved meaningfully versus 2023 (27.0% vs 11.7%) and EBITDA turned positive (about 5.0% margin), the business is still loss-making with negative operating profit and a net loss (net margin about -4.3%). Overall, margins are recovering from a very weak 2023, but consistent earnings power has not yet re-established.

Balance Sheet

The balance sheet is a relative strength with very low leverage. Total debt is minimal (0.51M) versus equity (23.7M), keeping debt-to-equity around 0.02, which limits financial risk. However, equity has declined materially versus earlier years and returns on equity are negative in 2024, reflecting that the capital base is not currently generating profits. In short: conservative leverage, but profitability is not supporting the equity story.

Cash Flow

Cash generation is the key weakness. Operating cash flow was sharply negative in 2024 (-7.8M) and free cash flow also deeply negative (-8.3M), with free cash flow deteriorating year over year. Despite some periods in the past showing positive operating cash flow (e.g., 2019 and 2021), the most recent two years show sustained cash burn, increasing reliance on existing liquidity and/or future funding if the trend persists.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	55.70M	37.30M	108.82M	91.30M	84.50M	51.30M
Gross Profit	10.75M	10.08M	14.09M	23.50M	32.88M	10.73M
EBITDA	232.17K	1.86M	-21.62M	-6.82M	6.72M	-5.54M
Net Income	-599.00K	-1.61M	-32.48M	-11.15M	556.00K	-10.12M
Balance Sheet
Total Assets	30.35M	27.45M	24.77M	64.11M	54.74M	53.76M
Cash, Cash Equivalents and Short-Term Investments	8.90M	5.90M	4.74M	28.86M	35.42M	38.16M
Total Debt	387.00K	511.00K	0.00	2.27M	997.00K	2.34M
Total Liabilities	4.79M	4.57M	13.26M	19.53M	20.09M	19.71M
Stockholders Equity	26.40M	23.66M	11.94M	44.58M	34.65M	34.05M
Cash Flow
Free Cash Flow	1.41M	-8.30M	-22.34M	-26.39M	-2.70M	-4.33M
Operating Cash Flow	1.92M	-7.80M	-12.83M	-14.27M	6.85M	-1.74M
Investing Cash Flow	1.86M	-4.36M	-7.31M	-13.59M	-8.24M	-2.33M
Financing Cash Flow	998.00K	13.27M	-2.43M	20.01M	-1.38M	-1.74M

Gameone Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.62
• 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:8282, the sentiment is Negative. The current price of 0.62 is below the 20-day moving average (MA) of 0.66, below the 50-day MA of 0.66, and above the 200-day MA of 0.58, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 22.50 is Positive, neither overbought nor oversold. The STOCH value of 18.52 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8282.

Gameone Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6860	66 Neutral	HK$416.53M	13.66	3.47%	―	-25.66%	-23.36%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
6933	53 Neutral	HK$295.32M	-10.16	-28.25%	―	-3.02%	72.76%
8267	51 Neutral	HK$125.63M	-21.66	-2.00%	―	20.90%	70.71%
8282	44 Neutral	HK$32.49M	-82.61	-1.54%	―	8.14%	99.25%
0484	44 Neutral	HK$159.93M	-1.64	-15.08%	―	65.41%	-313.74%
2022	42 Neutral	HK$100.25M	-6.43	-7.87%	―	-5.90%	60.75%