Chu Kong Shipping Enterprises (Group) Co. Ltd. (0560) AI Stock Analysis

• Market Cap: HK$863.30M
• Dividend Yield: 10.41%
• Average Volume (3M): 337.17K
• Price to Earnings (P/E): 7.4
• Beta (1Y): 0.38
• Revenue Growth: 6.37%
• EPS Growth: 2.65%
• Country: HK
• Employees: 2,147
• Sector: Industrials
• Sector Strength: 85
• Industry: Marine Shipping
• EPS (TTM): 0.10
• Shares Outstanding: 1,121,166,900
• 10 Day Avg. Volume: 619,300
• 30 Day Avg. Volume: 337,170
• PEG Ratio: -0.80
• Price to Book (P/B): 0.27
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -37.29
• 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: 76 Outperform
• Price Target: HK$1.00 ▲(29.87%Upside)

Chu Kong Shipping Enterprises scores highly due to its attractive valuation with a low P/E ratio and high dividend yield, which are significant factors for investors. Despite financial stability, challenges in cash flow generation and profitability margins suggest areas for improvement. Technical indicators provide a neutral to slightly positive outlook, indicating stable market conditions.

Chu Kong Shipping Enterprises (Group) Co. Ltd. Business Overview & Revenue Model

Company Description

Chu Kong Shipping Enterprises (Group) Co. Ltd. (0560) is a leading logistics and transportation company based in Hong Kong. Established in 1992, the company is primarily involved in the transportation of goods and passengers across the Pearl River Delta region. Its core services include river trade shipping, cargo handling, and passenger ferry services. Chu Kong Shipping also operates logistics centers and provides integrated logistics solutions, including warehousing and distribution services.

How the Company Makes Money

Chu Kong Shipping Enterprises makes money through several key revenue streams. The company earns revenue from its river trade shipping services, where it transports goods between Hong Kong and various ports in the Pearl River Delta region. Additionally, its passenger ferry services, connecting Hong Kong with Macau and other destinations in the region, contribute significantly to its income. Chu Kong Shipping also generates revenue from its logistics and warehousing services, offering integrated solutions that include cargo handling and distribution. The company's strategic location in the Pearl River Delta, one of the world's most dynamic economic areas, along with its extensive network and partnerships with regional port authorities, enhances its ability to capture a steady flow of trade and passenger traffic, thereby contributing to its earnings.

Chu Kong Shipping Enterprises (Group) Co. Ltd. Financial Statement Overview

Summary

Chu Kong Shipping Enterprises holds a stable financial position with solid equity and low leverage, conducive to long-term sustainability. However, recent cash flow difficulties and fluctuating profitability margins suggest areas for improvement in operational efficiency and cost management. The company should focus on enhancing cash flow generation to sustain its growth trajectory and financial health.

Income Statement

Chu Kong Shipping Enterprises has demonstrated variable revenue growth over the years, with recent growth of 6.37% from 2023 to 2024. The company maintains a modest gross profit margin of 7.93% and a net profit margin of 4.31% for 2024. EBIT and EBITDA margins are 4.18% and 6.97% respectively, indicating operational efficiency gains. However, the drop in gross profit and EBIT compared to previous years suggests challenges in maintaining cost efficiencies.

Balance Sheet

The company's balance sheet shows a solid equity base with an equity ratio of 57.59% in 2024, reflecting financial stability. The debt-to-equity ratio is low at 0.18, indicating a conservative leverage strategy. Return on equity stands at 3.69%, which is modest but stable. The company's healthy cash reserves provide an additional buffer against potential financial volatility.

Cash Flow

Chu Kong Shipping faces challenges in cash flow generation with operating cash flow turning negative in 2024, a decline from previous positive figures. Free cash flow also decreased significantly to negative territory, indicating potential liquidity challenges. The operating cash flow to net income and free cash flow to net income ratios highlight a decline in cash conversion efficiency.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
2.72B	2.55B	2.90B	2.27B	1.85B
	Gross Profit
215.25M	285.47M	254.89M	261.25M	186.13M
	EBIT
113.50M	130.11M	-52.77M	-39.54M	-100.13M
	EBITDA
189.39M	294.15M	336.06M	295.95M	241.94M
	Net Income Common Stockholders
117.03M	114.07M	93.49M	44.07M	49.82M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
845.46M	1.04B	1.06B	1.05B	964.11M
	Total Assets
5.51B	4.55B	4.57B	4.70B	4.57B
	Total Debt
580.83M	404.47M	459.12M	553.52M	276.35M
	Net Debt
-264.63M	-634.36M	-573.26M	-491.56M	-449.71M
	Total Liabilities
1.91B	1.05B	1.07B	1.15B	942.19M
	Stockholders Equity
3.17B	3.19B	3.17B	3.23B	3.28B
Cash Flow		Free Cash Flow
-115.02M	172.15M	185.61M	138.95M	-128.34M
	Operating Cash Flow
-1.75M	218.81M	304.62M	323.74M	126.18M
	Investing Cash Flow
-220.94M	-44.76M	-115.64M	-92.05M	-249.18M
	Financing Cash Flow
14.32M	-184.76M	-118.44M	94.02M	-38.46M

Chu Kong Shipping Enterprises (Group) Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.77
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0560, the sentiment is Positive. The current price of 0.77 is above the 20-day moving average (MA) of 0.75, above the 50-day MA of 0.73, and above the 200-day MA of 0.72, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 61.92 is Neutral, neither overbought nor oversold. The STOCH value of 58.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0560.

Chu Kong Shipping Enterprises (Group) Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1919	84 Outperform	$265.05B	4.22	24.28%	16.98%	30.58%	―
1133	78 Outperform	HK$13.98B	7.65	11.35%	4.07%	30.12%	139.92%
0560	76 Outperform	HK$863.30M	7.38	3.63%	10.41%	6.37%	2.65%
1138	75 Outperform	$49.94B	7.46	9.73%	6.06%	3.41%	―
2343	75 Outperform	HK$10.11B	10.23	7.27%	7.22%	12.03%	20.45%
Sector *	66 Neutral	$4.50B	12.26	5.40%	3.65%	4.17%	-12.02%
2866	62 Neutral	$30.06B	8.32	5.72%	7.92%	74.12%	11.54%

Chu Kong Shipping Enterprises (Group) Co. Ltd. Corporate Events

Chu Kong Shipping Successfully Passes All Resolutions at AGM

Chu Kong Shipping Enterprises (Group) Co. Ltd. announced that all proposed resolutions were passed at their Annual General Meeting held on May 22, 2025. The resolutions included adopting financial statements, declaring a final dividend, re-electing directors, and granting mandates for share allotment and repurchase. The successful passing of these resolutions indicates strong shareholder support and positions the company for continued operational and strategic initiatives.

Chu Kong Shipping Announces AGM with Key Resolutions

Chu Kong Shipping Enterprises (Group) Co., Ltd. has announced its upcoming Annual General Meeting (AGM) scheduled for May 22, 2025, in Hong Kong. Key agenda items include the consideration of audited financial statements, declaration of a final dividend for 2024, re-election of directors, re-appointment of KPMG as auditors, and authorization for directors to manage share capital activities. These resolutions aim to reinforce the company’s governance and financial strategies, potentially impacting its market position and stakeholder interests.

Chu Kong Shipping Reports Growth and Strategic Advancements in 2024

Chu Kong Shipping Enterprises reported a 6.4% increase in revenue and a 2.6% rise in profit for 2024, driven by strategic developments in logistics and transportation. The company capitalized on opportunities in the Greater Bay Area, enhancing its logistics services and passenger transportation routes, and introduced LNG vessels to support sustainable energy. It also expanded its logistics projects, improved freight cargo profitability, and integrated passenger transportation resources, reinforcing its market position and fostering sustainable growth.

Chu Kong Shipping Announces Final Dividend for 2024

Chu Kong Shipping Enterprises (Group) Co. Ltd. has announced a final cash dividend of HKD 0.04 per share for the financial year ending December 31, 2024. This announcement reflects the company’s financial performance and commitment to returning value to shareholders, with the dividend payment scheduled for June 26, 2025.