Helens International Holdings Company Limited (9869) AI Stock Analysis

• Market Cap: HK$1.67B
• Dividend Yield: 52.14%
• Average Volume (3M): 1.07M
• Price to Earnings (P/E): 21.5
• Beta (1Y): 2.49
• Revenue Growth: -39.22%
• EPS Growth: -142.05%
• Country: HK
• Employees: 678
• Sector: Consumer Cyclical
• Sector Strength: 61
• Industry: Restaurants
• EPS (TTM): -0.12
• Shares Outstanding: 1,265,477,500
• 10 Day Avg. Volume: 1,037,050
• 30 Day Avg. Volume: 1,069,033
• PEG Ratio: -0.02
• Price to Book (P/B): 9.13
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -72.93
• 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: 49 Neutral
• Price Target: HK$1.50 ▲(13.64%Upside)

The overall score is primarily impacted by poor financial performance and bearish technical indicators. Despite an improved leverage ratio and high dividend yield, these positives are overshadowed by operational challenges and technical weakness, leading to a cautious outlook.

Helens International Holdings Company Limited Business Overview & Revenue Model

Company Description

Helens International Holdings Company Limited, an investment holding company, engages in the bar operations and franchise business in the People's Republic of China (PRC) and Hong Kong. The company provides alcoholic drinks, such as spirituous drinks and beers, as well as snacks under the Helen's brand name. As of April 19, 2022, it had a total number of 859 self-operated bars in the PRC, which covers 26 provincial-level administrative regions and 152 cities. The company was founded in 2009 and is headquartered in Shenzhen, the People's Republic of China. Helens International Holdings Company Limited is a subsidiary of HHL International Limited.

How the Company Makes Money

Helens International Holdings Company Limited generates revenue through the operation of its bar and entertainment venues. The company's primary revenue streams include the sale of alcoholic and non-alcoholic beverages, food sales, and hosting events or parties. It leverages its strategic locations in high-traffic areas to attract a steady flow of patrons. Additionally, Helens may engage in partnerships with beverage suppliers and local distributors to optimize its supply chain and enhance profitability. The company focuses on maintaining a consistent brand experience across its venues to encourage repeat business and build customer loyalty.

Helens International Holdings Company Limited Financial Statement Overview

Summary

Helens International Holdings is facing significant financial challenges, with declining revenues, profitability, and equity. The improvement in leverage ratios is a positive factor, but cash flow volatility and the lack of profitability highlight operational challenges. Strategic actions are needed to stabilize and improve financial performance.

Income Statement

The company has experienced a significant decline in revenue and profitability over the years. Gross profit margin declined from 45.7% in 2019 to 30.2% in 2024. The net profit margin also turned negative in recent years, with a net loss being reported in 2024. Revenue growth has been negative, with a significant drop from 2022 to 2024. These factors indicate financial stress and operational inefficiencies.

Balance Sheet

The balance sheet shows a decreasing equity base, with stockholders' equity declining from 2019 to 2024. However, the debt-to-equity ratio improved significantly from 4.4 in 2019 to 0.13 in 2024, thanks to reduced debt levels. Despite this positive leverage trend, the overall financial stability remains pressured by declining equity and asset base.

Cash Flow

Cash flow performance has been weak, with no free cash flow reported in 2024. The operating cash flow has been volatile, and free cash flow turned negative between 2020 and 2023. While the cash position was strengthened in 2023, the lack of positive free cash flow in 2024 raises concerns about liquidity management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	752.21M	1.21B	1.56B	1.84B	817.95M
Gross Profit	274.29M	489.91M	525.37M	801.46M	367.63M
EBITDA	75.53M	379.35M	-1.06B	198.40M	262.94M
Net Income	-77.98M	180.50M	-1.60B	-230.00M	70.07M
Balance Sheet
Total Assets	1.38B	2.16B	2.68B	4.29B	859.94M
Cash, Cash Equivalents and Short-Term Investments	803.63M	1.28B	1.30B	1.63B	24.25M
Total Debt	145.43M	255.67M	741.00M	1.25B	552.24M
Total Liabilities	257.18M	343.58M	853.90M	1.41B	699.70M
Stockholders Equity	1.12B	1.82B	1.82B	2.88B	160.24M
Cash Flow
Free Cash Flow	157.32M	229.46M	-228.28M	-626.93M	139.68M
Operating Cash Flow	165.53M	275.02M	142.89M	366.59M	245.85M
Investing Cash Flow	33.96M	-437.16M	-356.00M	-994.09M	-109.87M
Financing Cash Flow	-696.90M	-323.15M	-220.21M	2.24B	-134.00M

Helens International Holdings Company Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.32
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

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 1.32 is below the 20-day moving average (MA) of 1.39, below the 50-day MA of 1.51, and below the 200-day MA of 1.93, indicating a bearish trend. The MACD of -0.05 indicates Negative momentum. The RSI at 36.45 is Neutral, neither overbought nor oversold. The STOCH value of 48.33 is Neutral, 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
2217	74 Outperform	HK$2.11B	26.39	5.40%	3.44%	1.63%	-47.80%
6811	64 Neutral	HK$883.99M	14.58	6.54%	5.38%	2.49%	-33.12%
Sector *	62 Neutral	$16.90B	11.24	-7.48%	2.95%	1.60%	-23.76%
0538	60 Neutral	HK$916.89M	19.75	-0.69%	7.62%	-7.18%	-110.84%
2150	51 Neutral	HK$2.60B	―	-20.95%	―	-6.61%	-5748.54%
9869	49 Neutral	HK$1.67B	21.54	-5.30%	52.14%	-39.22%	-142.05%
1488	44 Neutral	HK$1.58B	―	-439.69%	―	-23.85%	-59.56%

Helens International Holdings Company Limited Corporate Events

Helens International Approves Key Resolutions at AGM

Helens International Holdings Company Limited held its Annual General Meeting on May 14, 2025, where all proposed resolutions were passed by poll. Key decisions included the re-election of directors, the re-appointment of PricewaterhouseCoopers as auditors, and the approval of a final dividend payment. Additionally, the company granted mandates to its directors to repurchase shares and issue additional shares, reflecting a strategic focus on enhancing shareholder value.

Helens International Announces Final Dividend for 2024

Helens International Holdings Company Limited has announced a final cash dividend for the year ended 31 December 2024, with a declared amount of RMB 0.1146 per share. The dividend will be paid in Hong Kong dollars at a rate of HKD 0.12418 per share, with the exchange rate set at RMB 1 to HKD 1.08359. The payment date is scheduled for 28 May 2025, following shareholder approval on 14 May 2025. This announcement updates previous information regarding the default currency and exchange rate for the dividend payment, providing clarity for shareholders and stakeholders involved.

Helens International Holdings Announces 2025 AGM with Key Resolutions

Helens International Holdings Company Limited has announced its Annual General Meeting, scheduled for May 14, 2025, in Wuhan, China. Key agenda items include the re-election of directors, re-appointment of auditors, and granting a mandate to repurchase shares. These decisions are crucial for the company’s governance and financial strategy, potentially impacting shareholder value and market perception.