Food Empire Holdings Limited (F03) AI Stock Analysis

• Market Cap: S$1.24B
• Dividend Yield: 1.33%
• Average Volume (3M): 1.79M
• Price to Earnings (P/E): 33.1
• Beta (1Y): 0.84
• Revenue Growth: 13.97%
• EPS Growth: -49.60%
• Country: SG
• Employees: 4,450
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Non-Alcoholic
• EPS (TTM): >-0.01
• Shares Outstanding: 550,143,000
• 10 Day Avg. Volume: 1,172,280
• 30 Day Avg. Volume: 1,792,670
• PEG Ratio: -0.78
• Price to Book (P/B): 1.30
• Price to Sales (P/S): 0.80
• P/FCF Ratio: 348.52
• 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: S$2.93
• Price Target Upside: 29.65% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: S$2.50 ▲(10.62% Upside)

The overall stock score reflects strong profitability and financial stability but is tempered by liquidity concerns and a high valuation. Technical indicators suggest potential short-term weakness, and the lack of earnings call data limits insight into future guidance.

Positive Factors

Strong Brand Recognition

The strong brand recognition of 'MacCoffee' enhances market position and customer loyalty, supporting long-term revenue stability and growth.

Solid Balance Sheet

A solid balance sheet with low leverage provides financial stability, enabling the company to invest in growth opportunities and withstand economic downturns.

Healthy Profit Margins

Sustained healthy profit margins indicate efficient cost management and pricing power, contributing to long-term profitability and competitive advantage.

Negative Factors

Revenue Decline

A significant revenue decline poses a risk to growth prospects and could impact the company's ability to invest in future initiatives.

Cash Flow Challenges

Severe cash flow challenges can strain liquidity, limiting the company's ability to fund operations and growth, potentially affecting long-term viability.

EPS Decline

A significant decline in EPS growth indicates potential profitability issues, which could undermine investor confidence and affect future capital raising.

Food Empire Holdings Limited Business Overview & Revenue Model

Company Description

Food Empire Holdings Limited (F03) is a Singapore-based investment holding company engaged in the food and beverage sector. The company operates primarily through its subsidiaries, focusing on producing and distributing a diverse range of products, including instant coffee, snacks, and frozen food. Food Empire is renowned for its flagship brand, 'MacCoffee', which has a strong presence in various international markets, particularly in Asia and Eastern Europe. The company is committed to innovation and quality, continuously expanding its product offerings to cater to evolving consumer preferences.

How the Company Makes Money

Food Empire Holdings generates revenue primarily through the sale of its food and beverage products, with key revenue streams coming from its instant coffee products, snacks, and frozen food offerings. The company benefits from its strong brand recognition, particularly in the instant coffee segment, which contributes significantly to its sales. Additionally, Food Empire has established strategic partnerships and distribution agreements that enhance its market reach and operational efficiency. The company also explores new market opportunities and product innovations to drive growth and increase its earnings potential.

Food Empire Holdings Limited Financial Statement Overview

Summary

Food Empire Holdings Limited shows strong profitability margins and a solid balance sheet with low leverage and strong equity. However, significant revenue decline and cash flow challenges indicate potential liquidity issues.

Income Statement

Food Empire Holdings Limited has shown a mixed performance in its income statement. The company experienced a significant revenue decline of 17.28% in the most recent year, which is a concern. However, the gross profit margin remains healthy at 30.31%, and the net profit margin is solid at 11.03%. The EBIT and EBITDA margins are also strong at 14.58% and 17.03%, respectively, indicating good operational efficiency. Despite the revenue drop, the company maintains profitability, which is a positive sign.

Balance Sheet

The balance sheet of Food Empire Holdings Limited is stable with a low debt-to-equity ratio of 0.28, indicating low financial leverage. The return on equity is robust at 17.88%, reflecting effective use of equity to generate profits. The equity ratio stands at 63.87%, suggesting a strong equity base relative to total assets. Overall, the balance sheet reflects financial stability and prudent management of liabilities.

Cash Flow

The cash flow statement reveals challenges, particularly with a sharp decline in free cash flow growth by 94.89%. The operating cash flow to net income ratio is low at 0.26, indicating that cash generation from operations is not keeping pace with net income. The free cash flow to net income ratio is also low at 4.29%, suggesting limited free cash flow relative to net income. These factors highlight potential liquidity concerns that need to be addressed.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	650.71M	476.35M	425.71M	398.36M	320.07M	272.97M
Gross Profit	205.32M	144.39M	141.45M	118.84M	93.66M	104.65M
EBITDA	105.83M	81.11M	79.30M	61.34M	34.00M	40.12M
Net Income	41.87M	52.53M	56.51M	60.10M	19.50M	26.79M
Balance Sheet
Total Assets	494.21M	460.08M	402.90M	381.50M	340.04M	312.64M
Cash, Cash Equivalents and Short-Term Investments	135.32M	130.85M	131.94M	125.60M	60.56M	69.04M
Total Debt	96.73M	82.85M	41.10M	44.62M	53.32M	58.13M
Total Liabilities	180.68M	163.99M	108.41M	105.90M	113.48M	95.68M
Stockholders Equity	310.97M	293.82M	295.64M	276.70M	227.72M	218.02M
Cash Flow
Free Cash Flow	37.52M	1.09M	38.06M	58.64M	8.02M	21.34M
Operating Cash Flow	65.92M	25.52M	50.58M	72.83M	14.67M	33.35M
Investing Cash Flow	-24.56M	-18.34M	-12.37M	18.98M	-5.80M	-11.08M
Financing Cash Flow	17.07M	-5.74M	-31.54M	-26.22M	-17.01M	-7.92M

Food Empire Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.26
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:F03, the sentiment is Negative. The current price of 2.26 is below the 20-day moving average (MA) of 2.31, below the 50-day MA of 2.42, and above the 200-day MA of 1.80, indicating a neutral trend. The MACD of -0.03 indicates Positive momentum. The RSI at 40.33 is Neutral, neither overbought nor oversold. The STOCH value of 14.46 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SG:F03.

Food Empire Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5JS	74 Outperform	S$516.48M	5.37	8.46%	2.70%	13.03%	35.10%
Q01	70 Outperform	S$517.74M	19.82	5.51%	5.56%	-0.51%	-25.57%
P34	68 Neutral	S$498.09M	14.15	10.03%	3.52%	-4.54%	-35.71%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
MV4	62 Neutral	€450.20M	5.87	7.17%	0.61%	47.72%	16.14%
F03	62 Neutral	S$1.24B	33.14	9.42%	1.33%	13.97%	-49.60%

Food Empire Holdings Limited Corporate Events

Food Empire Transfers Treasury Shares for Employee Incentives

Food Empire Holdings Limited announced the transfer of 375,000 treasury shares as part of its Employees’ Share Option Schemes. This transfer reduces the company’s treasury shares from 3,478,274 to 3,103,274, reflecting a slight decrease in the percentage of treasury shares against the total number of ordinary shares outstanding. The transfer, valued at S$336,542.47, indicates the company’s commitment to employee incentives and may impact its financial metrics and shareholder value.

The most recent analyst rating on (SG:F03) stock is a Buy with a S$3.09 price target. To see the full list of analyst forecasts on Food Empire Holdings Limited stock, see the SG:F03 Stock Forecast page.

Food Empire Holdings Boosts Liquidity with Sale of Treasury Shares

Food Empire Holdings Limited has announced the sale of 17,000,000 treasury shares through its placement agent, CGS International Securities Singapore Pte. Ltd., and sub-placement agent, UOB-Kay Hian Holdings Limited. The sale aims to increase the liquidity of the company’s shares, enhance free float, and broaden the institutional investor base. This strategic move is expected to optimize the company’s balance sheet and reinforce long-term investor confidence, positioning the group for future growth opportunities.

The most recent analyst rating on (SG:F03) stock is a Buy with a S$3.09 price target. To see the full list of analyst forecasts on Food Empire Holdings Limited stock, see the SG:F03 Stock Forecast page.

Food Empire Transfers Treasury Shares for Employee Incentives

Food Empire Holdings Limited has announced the transfer of 90,000 treasury shares from its Share Buyback Account as part of its Employees’ Share Option Schemes. This transfer slightly reduces the percentage of treasury shares against the total number of ordinary shares outstanding, indicating a strategic move to incentivize employees and potentially enhance shareholder value.

The most recent analyst rating on (SG:F03) stock is a Buy with a S$2.73 price target. To see the full list of analyst forecasts on Food Empire Holdings Limited stock, see the SG:F03 Stock Forecast page.

Food Empire Celebrates Major Wins at 2025 ARC Awards

Food Empire Holdings Limited achieved significant recognition at the 2025 Annual International ARC Awards, securing six awards including four Golds, one Silver, and one Honours. This achievement underscores the company’s commitment to excellence in annual reporting and communication, enhancing its global reputation and stakeholder engagement.

The most recent analyst rating on (SG:F03) stock is a Buy with a S$2.73 price target. To see the full list of analyst forecasts on Food Empire Holdings Limited stock, see the SG:F03 Stock Forecast page.

Food Empire Transfers Treasury Shares for Employee Incentives

Food Empire Holdings Limited has announced the transfer of 1,430,000 treasury shares as part of its Employees’ Share Option Schemes. This transfer reduces the company’s treasury shares from 4.129% to 3.848% of the total number of ordinary shares outstanding, reflecting a strategic move to incentivize employees and potentially enhance shareholder value.

The most recent analyst rating on (SG:F03) stock is a Buy with a S$2.73 price target. To see the full list of analyst forecasts on Food Empire Holdings Limited stock, see the SG:F03 Stock Forecast page.

Food Empire Updates on Proceeds Utilization from Note Issuance

Food Empire Holdings Limited has provided an update on the use of proceeds from its issuance of 5.5% redeemable exchangeable notes, totaling US$40 million, through its subsidiary Empire APAC Pte. Ltd. The company has disbursed US$14.8 million of the proceeds, with expenditures including US$5 million for capital expenditure in Kazakhstan and US$8.4 million in Vietnam, aligning with previously disclosed intentions. Further announcements will be made as additional funds are allocated.

The most recent analyst rating on (SG:F03) stock is a Buy with a S$1.20 price target. To see the full list of analyst forecasts on Food Empire Holdings Limited stock, see the SG:F03 Stock Forecast page.