CCT Fortis Holdings Limited (0138) AI Stock Analysis

• Market Cap: HK$131.17M
• Dividend Yield: N/A
• Average Volume (3M): 244.16K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.03
• Revenue Growth: -19.75%
• EPS Growth: 31.54%
• Country: HK
• Employees: 187
• Sector: Industrials
• Sector Strength: 72
• Industry: Conglomerates
• EPS (TTM): -0.13
• Shares Outstanding: 1,599,675,400
• 10 Day Avg. Volume: 47,532
• 30 Day Avg. Volume: 244,155
• PEG Ratio: <0.01
• Price to Book (P/B): 0.23
• Price to Sales (P/S): 0.27
• P/FCF Ratio: 0.00
• 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: Moderate Sell
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score is primarily impacted by the company's poor financial performance, characterized by declining revenues, high leverage, and cash flow issues. Technical analysis provides some short-term positive signals, but the negative valuation metrics further weigh down the score.

CCT Fortis Holdings Limited Business Overview & Revenue Model

Company Description

CCT Fortis Holdings Limited, an investment holding company, invests in, develops, and trades in real estate properties. The company operates through Property Investment and Holding; Securities Business; Ferrari Dealership Business; Maserati Importership Business; Classic Cars Trading and Logistics; Investment in Classic Cars; Film Operations; Stage Audio, Lighting, and Engineering Operations; and Other Operations segments. Its property portfolio comprises residential properties, retail properties, commercial and industrial properties, and car parks. The company also invests in and holds properties; holds and trades in securities, financial assets, and treasury products; sells and distributes Ferrari cars, and provides after-sales services; imports and distributes Maserati cars and provides after-sale services; acquires, trades in, and sells classic cars, as well as offers car logistic services; and produces, invests in, and distributes films. In addition, it sells and leases audio and lighting equipment; provides technical and engineering services and metal construction work for stage performance events. Further, the company engages in the multimedia and magazine publication businesses; invests in collectible precision devices; operates a classic car service center; and offers classic car restoration and maintenance, and artist management services. It operates in Mainland China, Hong Kong, Macau, and internationally. The company was formerly known as CCT Telecom Holdings Limited. CCT Fortis Holdings Limited is headquartered in Sha Tin, Hong Kong.

How the Company Makes Money

CCT Fortis Holdings generates revenue primarily through rental income from its property investments, which include commercial and residential properties in prime locations. Additionally, the company earns money from asset management fees for managing investment portfolios on behalf of clients. It also benefits from capital gains realized from the sale of real estate assets. Key partnerships with local and international investors enhance its investment capabilities, while strategic alliances in infrastructure projects contribute to its revenue streams. The company's diversified approach allows it to minimize risks and maximize returns across its various business segments.

CCT Fortis Holdings Limited Financial Statement Overview

Summary

CCT Fortis Holdings Limited is experiencing financial difficulties. The income statement reflects declining revenues and persistent losses, while the balance sheet reveals high leverage and decreasing equity ratios. Cash flow issues further compound these challenges, with negative free cash flow and insufficient operating cash flows to support net income. The company faces significant financial risks that need addressing to stabilize its performance.

Income Statement

The company's income statement shows declining revenue over the years with a significant decrease from 2019 to 2024. Gross profit margin and net profit margin have been negative, indicating profitability challenges. The EBIT and EBITDA margins are also negative, reflecting operational inefficiencies. Revenue growth rate has been negative, suggesting a downward trend in business performance.

Balance Sheet

The balance sheet highlights a high debt-to-equity ratio, indicating considerable leverage which could pose financial risk. The return on equity is negative due to consistent net losses, and the equity ratio has declined over the years, showing weakened financial stability. However, the company maintains a substantial level of total assets.

Cash Flow

The cash flow statement reveals negative free cash flow, indicating potential liquidity issues. Operating cash flow has been insufficient to cover net income, suggesting cash flow challenges. Free cash flow growth has been negative, highlighting ongoing cash management difficulties.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	516.00M	578.00M	765.00M	812.00M	731.00M	505.00M
Gross Profit	112.00M	132.00M	172.00M	103.00M	121.00M	54.00M
EBITDA	-137.00M	-138.00M	-365.00M	-305.00M	-369.00M	-526.00M
Net Income	-440.00M	-396.00M	-577.00M	-465.00M	-517.00M	-689.00M
Balance Sheet
Total Assets	2.63B	2.79B	2.84B	3.34B	4.05B	4.48B
Cash, Cash Equivalents and Short-Term Investments	114.00M	130.00M	132.00M	119.00M	393.00M	673.00M
Total Debt	1.63B	1.57B	1.56B	1.74B	2.02B	1.97B
Total Liabilities	2.17B	2.11B	2.11B	2.17B	2.42B	2.33B
Stockholders Equity	462.00M	672.00M	731.00M	1.17B	1.62B	2.14B
Cash Flow
Free Cash Flow	-223.00M	-145.00M	-72.00M	-20.00M	-65.00M	-80.00M
Operating Cash Flow	-215.00M	-140.00M	-38.00M	1.00M	-23.00M	-66.00M
Investing Cash Flow	130.00M	152.00M	81.00M	343.00M	5.00M	49.00M
Financing Cash Flow	73.00M	-14.00M	-30.00M	-368.00M	27.00M	-6.00M

CCT Fortis Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.08
• 50DMA: Negative
• 100DMA: Positive
• 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:0138, the sentiment is Neutral. The current price of 0.08 is above the 20-day moving average (MA) of 0.08, below the 50-day MA of 0.08, and below the 200-day MA of 0.08, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 49.60 is Neutral, neither overbought nor oversold. The STOCH value of 30.91 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0138.

CCT Fortis Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
0689	59 Neutral	HK$105.27M	10.80	2.38%	―	3.32%	37.29%
0862	48 Neutral	HK$156.97M	―	-33.36%	―	-25.59%	0.69%
0138	46 Neutral	HK$131.17M	-0.30	-65.19%	―	-19.75%	31.54%
0630	42 Neutral	HK$290.27M	11.45	52.14%	―	29.77%	1646.67%
8269	39 Underperform	HK$440.91M	―	-39.21%	―	9.74%	88.41%

CCT Fortis Holdings Limited Corporate Events

CCT Fortis Holdings Reports Increased Loss Amid Economic Challenges

CCT Fortis Holdings Limited reported a net loss of approximately HK$210 million for the first half of 2025, a 26.5% increase from the previous year, primarily due to an impairment loss on a property. The company did not recommend an interim dividend, aiming to conserve cash amid global economic challenges and a slow recovery in Hong Kong’s economy. Despite these challenges, the Blackbird Group’s automotive operations, particularly the Ferrari importership, showed promising growth with a projected 10% increase in production for 2025.

CCT Fortis Holdings Discloses Executive Remunerations from 2015 to 2024

CCT Fortis Holdings Limited has released a supplemental announcement detailing the remunerations of its executive directors for the financial years 2015 to 2024. The disclosure provides shareholders and potential investors with additional insights into the compensation structure, which includes salaries, allowances, discretionary bonuses, and pension contributions. This transparency may impact stakeholder perceptions and influence investment decisions regarding the company’s governance and financial management practices.

CCT Fortis Holdings to Review Interim Results and Dividend

CCT Fortis Holdings Limited has announced that its board of directors will meet on August 27, 2025, to approve the interim results for the first half of 2025 and to consider the payment of an interim dividend. This meeting is significant as it will provide insights into the company’s financial health and potential returns for stakeholders, reflecting its strategic decisions and market positioning.

CCT Fortis Holdings Clarifies Valuation Method for Equity Disposal

CCT Fortis Holdings Limited announced a supplemental disclosure regarding the valuation method used for the disposal of its entire equity interest in a target company. The valuation, conducted by an Independent Valuer, utilized the discounted cash flow (DCF) method under the income approach, deemed more suitable than other methods due to the unique operational characteristics of the florist and food and beverage businesses. The DCF method was chosen for its ability to account for future cash flows and intrinsic value, aligning with the company’s revenue drivers and growth scenarios, unlike the Market or Asset Approaches, which were found inadequate due to lack of comparability and failure to capture intangible value.

CCT Fortis Holdings Implements Strategic Measures to Address Financial Disclaimer

CCT Fortis Holdings Limited announced several strategic measures to address a disclaimer of opinion in their 2024 annual report. The company completed the disposal of its stage audio and lighting business, renewed loan facilities, and sold non-profitable assets to streamline operations and improve financial stability. These actions are aimed at enhancing the company’s market position and ensuring compliance with financial covenants, potentially impacting stakeholders positively by stabilizing the company’s financial outlook.

CCT Fortis Holdings Completes Disposal of Subsidiary

CCT Fortis Holdings Limited has announced the completion of a connected transaction involving the disposal of its entire equity interests in a target company. As a result of this transaction, the target company will no longer be a subsidiary, and its financial results will not be included in CCT Fortis Holdings Limited’s consolidated financial statements. This strategic move may impact the company’s operational structure and financial reporting, potentially affecting stakeholders’ interests.