Amuse Group Holding Ltd. (8545) AI Stock Analysis

• Market Cap: HK$42.92M
• Dividend Yield: N/A
• Average Volume (3M): 1.23M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.38
• Revenue Growth: 0.47%
• EPS Growth: -195.45%
• Country: HK
• Employees: 33
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): N/A
• Shares Outstanding: 1,192,307,700
• 10 Day Avg. Volume: 1,296,000
• 30 Day Avg. Volume: 1,228,800
• PEG Ratio: 0.04
• Price to Book (P/B): 0.25
• Price to Sales (P/S): 0.34
• P/FCF Ratio: 4.03
• 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: 51 Neutral
• Price Target: HK$0.04 ▼(-2.50% Downside)
• Action: Reiterated Date: 02/25/26
• Date: Action: Reiterated 02/25/26

The score is held back primarily by profitability and revenue decline (negative EBIT/net income) and weak technical trend signals (below key moving averages, negative MACD). Offsetting these risks are a strong, low-leverage balance sheet and a meaningful rebound in operating/free cash flow.

Positive Factors

Strong balance sheet

An 84.5% equity ratio and negligible 0.03 debt-to-equity signal low financial leverage and strong solvency. This durability reduces refinancing risk, preserves strategic optionality, and provides a stable buffer to absorb shocks or fund targeted investments over the next several months.

Improved cash generation

The recovery to $12.4m operating cash flow and $12.1m free cash flow demonstrates renewed ability to internally finance operations and discretionary spending. Sustained cash generation supports working capital, reduces dependence on external financing, and underpins durable operational resilience.

Lean operating structure

A small employee base suggests an asset-light or scalable cost structure, enabling revenue growth to flow through to margins more readily. Lower fixed overhead improves flexibility to adjust costs, aids margin recovery if revenue stabilizes, and supports efficient capital allocation.

Negative Factors

Profitability weakness

The company reported negative EBIT and net income with a -1.5% net margin, indicating persistent difficulty converting sales into profits. Over a multi-month horizon this constrains reinvestment, increases reliance on balance-sheet buffers, and raises the bar for sustained operational improvement.

Declining revenue trend

A multi-year top-line decline, including a marked drop from 2023 to 2024, signals weakening demand or market share erosion. Structural revenue contraction makes margin recovery harder, reduces operating leverage, and requires strategic adjustments to restore durable growth.

Cash flow volatility

Despite a recent recovery, historical swings in operating and free cash flow point to unpredictable cash generation. This volatility complicates capital planning, heightens execution risk for investments, and can strain liquidity under adverse conditions if instability persists.

Amuse Group Holding Ltd. Business Overview & Revenue Model

Company Description

Amuse Group Holding Limited, an investment holding company, designs, markets, distributes, and sells toys and related products in Hong Kong, Japan, the United States, the People's Republic of China, Taiwan, South Korea, and internationally. It operates through Sales of ODM Toys; Distribution of Imported Toys and Related Products; and Sales of Own Licensed Toys and Related Products segments. The company offers various premium and general class figures based on third party owned ACG characters; and other related products, such as pens and hair ties. It also produces and sells ODM toys according to customers' specifications and requirements; distributes imported toys; and develops and sells own licensed toys based on license rights. The company offers its own licensed toys under the SEN-TI-NEL, TOPI, and FLAME TOYS brands. Amuse Group Holding Limited was incorporated in 2004 and is headquartered in Tsuen Wan, Hong Kong.

How the Company Makes Money

Amuse Group Holding Ltd. generates revenue through multiple streams, primarily from digital music distribution services, where it takes a percentage of royalties from artists and labels using its platform. Additionally, the company earns income from licensing deals, allowing third parties to use its content for various media purposes. The rise of streaming services and the growing demand for digital content have bolstered its earnings. Strategic partnerships with music labels, artists, and other media companies further enhance its revenue potential, while data analytics services to track and optimize content performance contribute to its financial growth.

Amuse Group Holding Ltd. Financial Statement Overview

Summary

Overall financials are mixed: revenue has declined over the past three years and the latest year shows negative EBIT and net income (net margin -1.5%), but the balance sheet is strong (84.5% equity ratio, 0.03 debt-to-equity) and operating/free cash flow recovered in 2025 despite prior volatility.

Income Statement

The income statement reveals a concerning decline in revenue over the past three years, with a notable revenue decrease from 2023 to 2024. Gross profit margin has declined from 19.3% in 2021 to 18.9% in 2025, and the company reported negative EBIT and net income in the latest year, suggesting challenges in cost management and profitability. The negative net profit margin of -1.5% in 2025 further emphasizes profitability issues.

Balance Sheet

The balance sheet shows a strong position with a high equity ratio of 84.5% in 2025, indicating financial stability. The debt-to-equity ratio of 0.03 suggests low leverage, reducing financial risk. However, stockholders' equity has slightly decreased since 2023, which may need attention if it continues.

Cash Flow

Cash flow analysis indicates a recovery in operating cash flow to $12.4 million in 2025 from negative figures in 2024. The free cash flow has improved significantly to $12.1 million in 2025, demonstrating improved liquidity. However, the volatility in cash flows over the years indicates potential instability in cash management.

Breakdown	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	143.14M	219.19M	235.96M	216.49M	211.47M
Gross Profit	27.00M	37.84M	45.74M	34.87M	37.96M
EBITDA	6.30M	11.71M	14.88M	12.51M	22.94M
Net Income	-2.11M	486.00K	5.76M	1.48M	8.68M
Balance Sheet
Total Assets	230.13M	221.88M	256.84M	224.95M	221.37M
Cash, Cash Equivalents and Short-Term Investments	128.81M	106.70M	139.31M	155.50M	92.29M
Total Debt	6.35M	6.91M	10.81M	4.23M	7.05M
Total Liabilities	35.64M	25.28M	60.73M	44.59M	42.50M
Stockholders Equity	194.49M	196.60M	196.11M	180.35M	178.87M
Cash Flow
Free Cash Flow	12.13M	-28.78M	-911.00K	34.49M	9.60M
Operating Cash Flow	12.40M	-28.15M	10.26M	38.51M	14.82M
Investing Cash Flow	20.80M	-60.56M	-42.66M	44.62M	-44.28M
Financing Cash Flow	-3.58M	-4.27M	-2.74M	-3.53M	-3.60M

Amuse Group Holding Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.04
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8545, the sentiment is Positive. The current price of 0.04 is above the 20-day moving average (MA) of 0.04, above the 50-day MA of 0.04, and below the 200-day MA of 0.04, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 51.85 is Neutral, neither overbought nor oversold. The STOCH value of 121.67 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8545.

Amuse Group Holding Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
3830	55 Neutral	HK$169.00M	4.03	-32.53%	―	-6.48%	-38.10%
8545	51 Neutral	HK$42.92M	-23.16	-1.26%	―	0.47%	-195.45%
1348	49 Neutral	HK$260.94M	-5.54	-50.25%	―	-61.76%	75.15%
0209	45 Neutral	HK$527.41M	-0.15	―	―	-7.53%	-93.37%
6918	42 Neutral	HK$137.28M	-2.22	-19.89%	―	84.26%	44.41%
0765	40 Neutral	HK$127.50M	-8.78	-36.17%	―	-13.96%	64.58%