Aeso Holding Limited (8341) AI Stock Analysis

• Market Cap: HK$62.40M
• Dividend Yield: N/A
• Average Volume (3M): 110.89K
• Price to Earnings (P/E): 4.8
• Beta (1Y): -0.21
• Revenue Growth: -26.94%
• EPS Growth: -38.23%
• Country: HK
• Employees: 45
• Sector: Industrials
• Sector Strength: 72
• Industry: Consulting Services
• EPS (TTM): 0.04
• Shares Outstanding: 240,000,000
• 10 Day Avg. Volume: 157,950
• 30 Day Avg. Volume: 110,887
• PEG Ratio: -0.14
• Price to Book (P/B): 0.41
• Price to Sales (P/S): 0.10
• P/FCF Ratio: -37.66
• 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$0.24 ▼(-6.15% Downside)

The score is held down primarily by weak financial performance, especially negative operating/free cash flow alongside declining revenue and thin margins, with leverage adding risk. Technicals provide partial offset due to strong price momentum and positive MACD, though elevated RSI suggests the move may be stretched. Valuation is supportive given the low P/E, but lacks dividend support.

Positive Factors

Diversified healthcare business model

Operating across pharmaceuticals, biotechnology and wellness provides multiple market channels and product development pathways. This diversification reduces dependence on a single product line, supports resilience to sector-specific shocks, and sustains long-term growth opportunities through varied end-markets.

Licensing and collaboration revenue streams

Licensing and partnership-based revenue is structurally attractive: it can deliver recurring, higher-margin cash flows without proportional capex, accelerate market entry via partners, and leverage external R&D. Sustained contracts would support durable revenue diversification and lower go-to-market costs.

Improved gross profit margin

A rise in gross margin to 17.5% indicates some pricing power or cost control in core product lines. If sustained, higher gross margins improve the ability to cover fixed costs and reinvest in R&D or commercialization, supporting longer-term profitability as revenue stabilizes or grows.

Negative Factors

Significant revenue decline

A 30% revenue contraction materially reduces scale economics and bargaining leverage, making it harder to fund R&D and commercial activities. Prolonged top-line weakness can permanently impair market position, reduce pricing power, and increase unit costs, hampering recovery prospects.

Negative operating and free cash flow

Persistent negative operating and free cash flow undermines liquidity and self-funding capacity, forcing reliance on external financing or asset disposals. This constrains reinvestment in product development and commercialization and elevates solvency risk if cash generation does not improve.

High leverage and weakening returns

A debt-to-equity ratio of 1.28 raises financial risk and interest burden, limiting flexibility during downturns. Declining ROE to 11.4% signals lower profitability on equity capital. Combined with thin net margins, this leverage profile increases the chance of distress if cash flow remains negative.

Aeso Holding Limited Business Overview & Revenue Model

Company Description

Aeso Holding Limited, an investment holding company, provides fitting-out and renovation contracting services in Hong Kong. It undertakes fitting-out works for the construction of newly built commercial premises and residential developments; and renovation works, including alteration and addition works for existing commercial premises. The company also offers interior design services. It serves property developers, contractors, landlords, government authority, and international and local retail brands. Aeso Holding Limited was incorporated in 2008 and is headquartered in Sheung Wan, Hong Kong.

How the Company Makes Money

Aeso Holding Limited generates revenue through multiple key streams, primarily from the sale of healthcare products, including pharmaceuticals and wellness solutions. The company also earns income from licensing agreements and collaborations with other healthcare firms, which allow it to expand its product offerings and market reach. Additionally, Aeso may benefit from strategic partnerships with research institutions and healthcare providers, enhancing its capabilities in product development and market entry. The company's revenue model is further supported by its investment in research and development, which leads to the introduction of innovative products that meet evolving consumer needs in the healthcare sector.

Aeso Holding Limited Financial Statement Overview

Summary

Aeso Holding Limited faces financial challenges with declining revenues and profitability, high leverage, and negative cash flows. While there are slight improvements in gross profit margin, the overall financial health is weak, requiring strategic improvements to stabilize and grow.

Income Statement

Aeso Holding Limited has shown a declining revenue trend with a significant drop of 30.4% in the latest year. Gross profit margin improved slightly to 17.5%, but net profit margin decreased to 2.8%. The EBIT and EBITDA margins are relatively low, indicating challenges in operational efficiency.

Balance Sheet

The company has a high debt-to-equity ratio of 1.28, indicating significant leverage, which could pose financial risk. Return on equity has decreased to 11.4%, reflecting reduced profitability. The equity ratio is not provided, but the overall leverage suggests a cautious approach to financial stability.

Cash Flow

Aeso Holding Limited's cash flow situation is concerning, with negative operating and free cash flows. The free cash flow growth rate is significantly negative, and the operating cash flow to net income ratio is negative, indicating cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	256.31M	210.22M	239.69M	262.62M	218.01M	125.05M
Gross Profit	45.42M	36.76M	37.50M	35.95M	29.91M	15.83M
EBITDA	11.95M	12.85M	13.53M	12.54M	11.20M	-707.00K
Net Income	6.52M	5.91M	8.11M	8.26M	8.16M	-5.65M
Balance Sheet
Total Assets	161.18M	161.18M	172.95M	120.03M	115.61M	88.29M
Cash, Cash Equivalents and Short-Term Investments	35.67M	35.67M	37.01M	16.91M	18.99M	19.75M
Total Debt	65.98M	65.98M	58.25M	39.98M	35.13M	9.96M
Total Liabilities	109.44M	109.44M	127.11M	82.30M	87.50M	68.86M
Stockholders Equity	51.74M	51.74M	45.84M	37.73M	28.11M	19.43M
Cash Flow
Free Cash Flow	-563.00K	-563.00K	-287.00K	870.00K	-19.30M	-24.39M
Operating Cash Flow	-358.00K	-358.00K	-278.00K	1.36M	-19.13M	-24.32M
Investing Cash Flow	-197.00K	-197.00K	-11.61M	-5.47M	735.00K	-71.00K
Financing Cash Flow	-1.38M	-1.38M	15.31M	2.60M	18.31M	-2.54M

Aeso Holding Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.26
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8341, the sentiment is Positive. The current price of 0.26 is above the 20-day moving average (MA) of 0.17, above the 50-day MA of 0.14, and above the 200-day MA of 0.17, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 80.38 is Negative, neither overbought nor oversold. The STOCH value of 66.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8341.

Aeso Holding Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
8455	48 Neutral	HK$100.80M	-8.68	-601.82%	―	4.00%	13.57%
8341	47 Neutral	HK$62.40M	4.79	10.44%	―	-26.94%	-38.23%
8040	46 Neutral	HK$142.80M	-5.15	-57.83%	―	-3.47%	-57.53%
8501	46 Neutral	HK$102.93M	-13.40	-5.93%	―	50.50%	27.48%
3893	46 Neutral	HK$233.42M	-6.12	―	―	-24.93%	-72.69%
8173	41 Neutral	HK$24.55M	-4.54	-19.25%	―	46.11%	54.20%