Linklogis Inc. Class B (9959) AI Stock Analysis

• Market Cap: HK$4.63B
• Dividend Yield: N/A
• Average Volume (3M): 37.60M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.93
• Revenue Growth: 16.81%
• EPS Growth: -87.15%
• Country: HK
• Employees: 726
• Sector: Technology
• Sector Strength: 90
• Industry: Software - Infrastructure
• EPS (TTM): -0.30
• Shares Outstanding: 1,886,295,200
• 10 Day Avg. Volume: 22,830,850
• 30 Day Avg. Volume: 37,597,103
• PEG Ratio: 1.60
• Price to Book (P/B): -15.06
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 277.73
• 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: HK$2.00
• Price Target Upside: -8.68% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 51 Neutral
• Price Target: HK$2.00 ▼(-8.68%Downside)

The overall stock score is primarily influenced by Linklogis Inc.'s financial challenges, including negative earnings and cash flows, balanced by strong technical momentum. The technical analysis provides some optimism, but valuation concerns weigh heavily on the overall assessment.

Linklogis Inc. Class B Business Overview & Revenue Model

Company Description

Linklogis Inc. Class B (9959) is a leading technology-driven supply chain finance solutions provider based in China. The company operates primarily in the financial technology sector, offering innovative solutions that enhance the efficiency of supply chains and improve the accessibility of financing for small and medium-sized enterprises (SMEs). Linklogis leverages advanced technologies such as big data, artificial intelligence, and blockchain to deliver its core products and services, including supply chain finance, cloud-native digital solutions, and risk management systems.

How the Company Makes Money

Linklogis Inc. generates revenue primarily through service fees from its supply chain finance solutions. The company facilitates financing transactions between large enterprises and their SME suppliers, earning fees for its intermediary services. Linklogis also provides digital supply chain solutions that attract subscription and service fees. Additionally, the company offers risk management and data analytics services, further diversifying its revenue streams. Strategic partnerships with financial institutions enable Linklogis to expand its reach and enhance its service offerings, contributing significantly to its earnings.

Linklogis Inc. Class B Financial Statement Overview

Summary

Linklogis Inc. shows mixed financial performance. Positive revenue growth and strong gross profit margins are overshadowed by persistent losses and negative cash flows, posing significant operational and liquidity challenges. The balance sheet is strong with a high equity ratio, though profitability remains a concern.

Income Statement

Linklogis Inc. has experienced inconsistent revenue growth, with a 18.8% increase in 2024 following a 6.1% decline in 2023. The gross profit margin is strong at 69.5% in 2024, but net income has been negative in recent years, with a significant drop to -835 million in 2024. The EBIT and EBITDA margins are also negative, indicating operational challenges.

Balance Sheet

The balance sheet reflects a strong equity position, with an equity ratio of 91.2% in 2024. Despite a low debt-to-equity ratio of 0.01, indicating low leverage, the company has struggled with profitability, reflected in a negative ROE. The high equity ratio suggests a stable financial base.

Cash Flow

Cash flow analysis shows a concerning trend with negative free cash flow in 2024 and operating cash flow dropping to zero. The company also had a negative free cash flow growth rate from 2023 to 2024, reflecting liquidity challenges.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.03B	867.76M	924.20M	1.20B	1.03B
Gross Profit	717.27M	526.51M	774.53M	927.25M	630.38M
EBITDA	-468.21M	-281.10M	153.29M	-12.70B	-491.36M
Net Income	-835.38M	-441.24M	-21.86M	-12.99B	-715.48M
Balance Sheet
Total Assets	8.59B	9.73B	11.92B	11.81B	6.14B
Cash, Cash Equivalents and Short-Term Investments	5.27B	6.14B	8.87B	9.53B	2.39B
Total Debt	115.86M	124.42M	59.45M	1.26B	2.76B
Total Liabilities	760.31M	617.73M	1.97B	2.09B	9.46B
Stockholders Equity	7.83B	9.12B	9.96B	9.71B	-3.33B
Cash Flow
Free Cash Flow	590.63M	-458.52M	1.69B	-888.43M	-2.18B
Operating Cash Flow	711.32M	-324.18M	1.86B	-731.24M	-2.10B
Investing Cash Flow	-12.36M	-155.18M	-274.58M	-312.66M	-111.29M
Financing Cash Flow	-486.20M	-535.87M	-774.28M	5.34B	2.40B

Linklogis Inc. Class B Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.19
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:9959, the sentiment is Positive. The current price of 2.19 is above the 20-day moving average (MA) of 1.93, above the 50-day MA of 1.56, and above the 200-day MA of 1.56, indicating a bullish trend. The MACD of 0.15 indicates Negative momentum. The RSI at 66.44 is Neutral, neither overbought nor oversold. The STOCH value of 83.17 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:9959.

Linklogis Inc. Class B Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6608	78 Outperform	HK$7.24B	15.30	5.87%	―	7.33%	-23.12%
9923	63 Neutral	HK$6.50B	64.35	3.07%	―	-23.46%	358.07%
0818	61 Neutral	HK$1.44B	9.15	2.20%	―	-13.19%	-66.35%
Sector *	56 Neutral	HK$13.96B	5.37	-5.75%	5.38%	9.34%	-42.23%
2598	53 Neutral	HK$17.07B	―		―	―	―
2121	52 Neutral	HK$3.21B	―	-33.18%	―	-31.66%	-1.34%
9959	51 Neutral	HK$4.63B	―	-9.86%	―	16.81%	-87.15%

Linklogis Inc. Class B Corporate Events

Linklogis Inc. Reports Successful AGM with Key Resolutions Passed

Linklogis Inc., a company incorporated in the Cayman Islands and listed on the Hong Kong Stock Exchange, announced the successful passing of all resolutions at its Annual General Meeting held on June 17, 2025. The resolutions included the approval of the company’s audited financial statements for the year ended December 31, 2024, the declaration of a final special dividend of HKD0.03 per share, and the re-election of Mr. Ji Kun and Ms. Chau Ka King as executive directors. The results reflect strong shareholder support, with nearly unanimous votes in favor of the resolutions, indicating confidence in the company’s leadership and strategic direction.

Linklogis Inc. Focuses on Strategic Realignment Amid Market Challenges

Linklogis Inc. reported a challenging start to 2025 due to headwinds in the supply chain asset-backed securities market, impacting their AMS Cloud and ABS Cloud businesses. Despite this, the company made significant progress in product innovation and strategic realignment, including the divestiture of its SME Credit Tech Solutions. This strategic move allows Linklogis to focus resources on high-growth areas like cross-border supply chain finance. The company also advanced AI applications and expanded its global presence, particularly in India, the UK, and the US, resulting in a 25% increase in transaction volume. While overall transaction volume growth moderated to 7% year-on-year, Linklogis remains optimistic about recovery, driven by AI commercialization, global expansion, and strategic M&A.

Linklogis Inc. Announces Key Resolutions for Upcoming AGM

Linklogis Inc. has announced its upcoming annual general meeting scheduled for June 17, 2025, where shareholders will consider several key resolutions. These include approving the company’s audited financial statements for 2024, declaring a special dividend, re-electing directors, and re-appointing KPMG as auditors. The meeting will also address the authorization for directors to issue and deal with Class B ordinary shares, subject to certain conditions. These resolutions aim to strengthen the company’s governance and financial strategies, potentially impacting its market positioning and stakeholder relations.