Helens International Holdings Company Limited (9869) AI Stock Analysis

• Market Cap: HK$1.05B
• Dividend Yield: 25.19%
• Average Volume (3M): 814.89K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.64
• Revenue Growth: -36.08%
• EPS Growth: -206.05%
• Country: HK
• Employees: 678
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): 0.04
• Shares Outstanding: 1,265,477,500
• 10 Day Avg. Volume: 455,200
• 30 Day Avg. Volume: 814,889
• PEG Ratio: 0.27
• Price to Book (P/B): 2.68
• Price to Sales (P/S): 3.99
• P/FCF Ratio: 19.07
• 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): 0.08
• Revenue Forecast (FY): HK$717.44M

• Rating: 52 Neutral
• Price Target: HK$0.90 ▼(-14.38% Downside)
• Action: Reiterated Date: 11/08/25
• Date: Action: Reiterated 11/08/25

Helens International Holdings is facing significant financial challenges with declining revenues and persistent losses impacting profitability. The technical analysis indicates a bearish trend, although there may be potential for a rebound given the low stochastic value. The high dividend yield is a notable positive, but the negative P/E ratio reflects ongoing profitability issues. Overall, the stock score is primarily influenced by financial performance and technical analysis, with valuation providing some support.

Positive Factors

Low leverage / stable balance sheet

A low debt-to-equity ratio (0.16) and healthy equity ratio provide lasting financial flexibility. Over the next several months this reduces refinancing and solvency risk, enabling the company to fund operations, support turnaround actions, or pursue franchising without heavy leverage.

Positive free cash flow generation

Sustained free cash flow growth and an operating cash flow to net income ratio above 1 signal efficient cash conversion. This durable cash generation can fund working capital, franchise support, or restructuring, cushioning the business while management works to restore profitability.

Diversified revenue streams & franchising model

A multi-channel revenue model including franchising and event hosting provides structural resilience. Franchising reduces capital intensity, scales brand reach, and creates recurring fee income, supporting steady cash flows and lower per-unit risk as the company expands over months.

Negative Factors

Steep revenue decline

Sharp revenue contraction undermines scale economics and franchise attractiveness. Persistently falling top line limits the firm’s ability to cover fixed costs, invest in marketing or menu innovation, and threatens sustainable recovery without structural improvement in demand or operations.

Persistent losses and negative ROE

Negative ROE indicates capital is destroying shareholder value rather than creating it. Over the medium term this signals deep operational or pricing issues that must be resolved to attract new capital, sustain franchisor support, and restore profitability for long-term viability.

Margin compression and weak profitability

Declining gross margin and negative net margin reflect structural pressure on unit economics. Margin erosion reduces funds available for reinvestment, weakens franchisee returns, and makes durable recovery harder without cost control, pricing power restoration, or mix improvement.

Helens International Holdings Company Limited Business Overview & Revenue Model

Company Description

Helens International Holdings Company Limited (9869) is a prominent player in the hospitality and beverage industry, specializing in the development and management of leisure and entertainment venues primarily in Asia. The company operates a diverse portfolio of brands, including themed restaurants and bars that cater to a wide demographic, focusing on providing unique dining experiences. Helens International is known for its innovative concepts and vibrant atmospheres, which attract both local patrons and tourists.

How the Company Makes Money

Helens International Holdings generates revenue through multiple streams including direct sales from food and beverage services at its restaurants and bars, event hosting, and franchise operations. The company benefits from a strong brand identity that allows it to charge premium prices for its offerings. Additionally, strategic partnerships with suppliers and beverage brands enhance its product offerings and profitability. The company also explores expansion opportunities through franchising, which provides a low-risk revenue model by allowing other operators to leverage its brand and operational expertise, thus generating franchise fees and royalties.

Helens International Holdings Company Limited Financial Statement Overview

Summary

Helens International Holdings faces significant challenges with declining revenues and persistent losses impacting profitability. While the balance sheet remains stable with low leverage, the negative return on equity underscores the need for operational improvements. Cash flow generation is a positive aspect, but the company must address its revenue and profitability issues to ensure long-term sustainability.

Income Statement

The income statement shows a declining revenue trend with a negative revenue growth rate of -11.02% in the TTM period. Gross profit margin has decreased to 27.63% from higher levels in previous years, indicating pressure on profitability. The net profit margin is negative at -16.12%, reflecting ongoing losses. EBIT and EBITDA margins are also weak, suggesting operational challenges.

Balance Sheet

The balance sheet is relatively stable with a low debt-to-equity ratio of 0.16, indicating manageable leverage. However, the return on equity is negative at -9.20%, highlighting profitability issues. The equity ratio remains healthy, suggesting a strong capital structure despite operational losses.

Cash Flow

Cash flow analysis shows positive free cash flow growth of 11.51% in the TTM period, indicating improved cash generation. The operating cash flow to net income ratio is strong at 1.37, suggesting efficient cash conversion. However, the free cash flow to net income ratio is close to 1, reflecting limited cash buffer against net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	603.71M	752.21M	1.21B	1.56B	1.84B	817.95M
Gross Profit	166.83M	274.29M	489.91M	525.37M	801.46M	367.63M
EBITDA	31.25M	75.53M	379.35M	-1.06B	198.40M	262.94M
Net Income	-97.32M	-77.98M	180.50M	-1.60B	-230.00M	70.07M
Balance Sheet
Total Assets	1.26B	1.38B	2.16B	2.68B	4.29B	859.94M
Cash, Cash Equivalents and Short-Term Investments	715.68M	803.63M	1.28B	1.30B	1.63B	24.25M
Total Debt	155.77M	145.43M	255.67M	741.00M	1.25B	587.38M
Total Liabilities	260.17M	257.18M	343.58M	853.90M	1.41B	699.70M
Stockholders Equity	997.80M	1.12B	1.82B	1.82B	2.88B	160.24M
Cash Flow
Free Cash Flow	198.24M	157.32M	229.46M	-228.28M	-626.93M	139.68M
Operating Cash Flow	204.58M	165.53M	275.02M	142.89M	366.59M	245.85M
Investing Cash Flow	634.81M	33.96M	-437.16M	-356.00M	-994.09M	-109.87M
Financing Cash Flow	-411.91M	-696.90M	-323.15M	-220.21M	2.24B	-134.00M

Helens International Holdings Company Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:9869, the sentiment is Negative. The current price of 1.05 is above the 20-day moving average (MA) of 0.89, above the 50-day MA of 0.91, and below the 200-day MA of 1.13, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 32.43 is Neutral, neither overbought nor oversold. The STOCH value of 8.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:9869.

Helens International Holdings Company Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6811	68 Neutral	HK$1.14B	12.49	10.47%	5.56%	4.16%	59.08%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
9869	52 Neutral	HK$1.05B	-9.86	-7.85%	25.19%	-36.08%	-206.05%
1488	48 Neutral	HK$947.20M	-3.81	―	―	-23.57%	-22.19%
2150	47 Neutral	HK$1.65B	-2.55	-14.61%	―	-11.19%	-22.98%
0538	47 Neutral	HK$1.00B	84.40	0.38%	7.11%	0.26%	-73.09%