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Perfectech International Holdings Limited (HK:0765)
:0765
Hong Kong Market
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Perfectech International Holdings Limited (0765) AI Stock Analysis

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HK:0765

Perfectech International Holdings Limited

(0765)

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Neutral 41 (OpenAI - 4o)
Rating:41Neutral
Price Target:
HK$0.50
▲(56.25% Upside)
The overall stock score is primarily impacted by the company's weak financial performance, characterized by declining revenues and profitability issues. Technical analysis indicates a bearish trend with no clear momentum, and valuation metrics are unattractive due to negative earnings and lack of dividends. These factors collectively suggest caution for potential investors.

Perfectech International Holdings Limited (0765) vs. iShares MSCI Hong Kong ETF (EWH)

Perfectech International Holdings Limited Business Overview & Revenue Model

Company DescriptionPerfectech International Holdings Limited, an investment holding company, manufactures and sells novelties, and festival decoration and toy products in Hong Kong, other Asian countries, Europe, the United States, and internationally. It also trades in novelties and festival decoration products, and paper bags; and distributes toys. In addition, the company engages in the investment holding and securities investment activities; manufacture, sale, and distribution of moulds; and provision of management services. Perfectech International Holdings Limited was founded in 1978 and is headquartered in Aberdeen, Hong Kong.
How the Company Makes MoneyPerfectech International Holdings Limited generates revenue through multiple key streams, primarily by selling its manufactured electronic products and accessories to both wholesale and retail markets. The company has established significant partnerships with major retailers and distributors, enhancing its market reach and ensuring a steady flow of orders. Additionally, Perfectech may benefit from licensing agreements and collaborations with technology firms, allowing it to integrate advanced technologies into its product offerings. The company's revenue model is bolstered by its focus on high-quality production and innovation, which attracts a loyal customer base and supports premium pricing strategies.

Perfectech International Holdings Limited Financial Statement Overview

Summary
The company is experiencing significant financial difficulties, with declining revenues, negative profit margins, and cash flow challenges. The increased leverage and negative return on equity further highlight the need for strategic improvements.
Income Statement
The company has faced declining revenues with a negative revenue growth rate of -9.54% in the latest year. Margins are under pressure, with a gross profit margin of 21.36% and a net profit margin of -19.85%, indicating significant losses. The EBIT and EBITDA margins are also negative, reflecting operational challenges.
Balance Sheet
The debt-to-equity ratio increased to 0.59, indicating rising leverage, though still moderate. The return on equity is negative at -78.22%, highlighting profitability issues. The equity ratio stands at 41.87%, showing a reasonable level of equity financing.
Cash Flow
The company has negative operating and free cash flows, with a free cash flow growth rate of -15.68%. The free cash flow to net income ratio is 0, indicating cash flow challenges. The operating cash flow to net income ratio is not available due to negative values.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue129.46M136.11M155.91M177.46M186.21M162.04M
Gross Profit34.59M29.07M50.20M61.51M56.89M54.12M
EBITDA-10.22M-22.40M-20.81M1.34M4.97M3.72M
Net Income-13.50M-27.02M-30.53M-6.83M-6.52M-15.80M
Balance Sheet
Total Assets80.96M82.50M115.89M157.64M157.04M220.82M
Cash, Cash Equivalents and Short-Term Investments21.73M26.97M46.06M72.60M71.90M72.86M
Total Debt21.30M20.33M12.15M13.26M14.42M40.91M
Total Liabilities42.64M39.49M41.23M51.10M38.84M97.93M
Stockholders Equity30.32M34.54M62.40M91.75M101.55M106.42M
Cash Flow
Free Cash Flow-1.79M-22.74M-22.35M6.13M-7.20M2.00M
Operating Cash Flow2.09M-18.86M-18.95M9.78M-4.92M4.08M
Investing Cash Flow-975.00K-2.82M-1.36M896.00K39.10M11.56M
Financing Cash Flow3.69M3.70M-4.24M-4.08M-31.82M-28.31M

Perfectech International Holdings Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.32
Price Trends
50DMA
0.36
Negative
100DMA
0.37
Negative
200DMA
0.37
Negative
Market Momentum
MACD
-0.01
Positive
RSI
41.22
Neutral
STOCH
7.41
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0765, the sentiment is Negative. The current price of 0.32 is below the 20-day moving average (MA) of 0.34, below the 50-day MA of 0.36, and below the 200-day MA of 0.37, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 41.22 is Neutral, neither overbought nor oversold. The STOCH value of 7.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0765.

Perfectech International Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
51
Neutral
HK$45.31M17.27-1.08%-34.70%-550.00%
50
Neutral
HK$201.97M-37.89%-59.42%75.90%
48
Neutral
HK$161.14M-19.89%84.26%44.41%
46
Neutral
HK$56.00M-31.72%-8.50%4.11%
41
Neutral
HK$198.67M-10.53%-7.61%-37.66%
41
Neutral
HK$152.02M-36.17%-13.96%64.58%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0765
Perfectech International Holdings Limited
0.32
-0.17
-34.69%
HK:0180
Kader Holdings Co. Ltd.
0.21
-0.05
-19.23%
HK:1348
Quali-Smart Holdings Ltd.
0.13
0.07
116.67%
HK:3830
Kiddieland International Ltd.
0.06
0.03
100.00%
HK:6918
Kidztech Holdings Ltd.
0.20
-0.02
-9.09%
HK:8545
Amuse Group Holding Ltd.
0.04
0.01
33.33%

Perfectech International Holdings Limited Corporate Events

Perfectech International Announces Delay in Rights Issue Prospectus Dispatch
Oct 21, 2025

Perfectech International Holdings Limited announced a delay in the dispatch of its prospectus related to a rights issue, initially scheduled for October 21, 2025, now postponed to on or before October 31, 2025. This delay impacts the expected timetable for the rights issue, with revised dates for trading arrangements and shareholder entitlements, potentially affecting investor planning and market activities.

The most recent analyst rating on (HK:0765) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Perfectech International Holdings Limited stock, see the HK:0765 Stock Forecast page.

Perfectech International Announces HK$48.22 Million Rights Issue
Sep 26, 2025

Perfectech International Holdings Limited has announced a proposed rights issue to raise approximately HK$48.22 million by offering one rights share for every two existing shares at a price of HK$0.295 per rights share. This non-underwritten rights issue is aimed at raising capital without requiring shareholder approval, as it complies with the relevant listing rules and does not significantly dilute existing shares. The rights issue is only available to qualifying shareholders, and any unsubscribed shares will not be issued, reducing the size of the rights issue accordingly.

Perfectech International Announces Board Restructuring
Sep 10, 2025

Perfectech International Holdings Limited has announced changes to its board of directors and the composition of its board committees, effective from September 10, 2025. The company, which operates in an unspecified industry, has appointed Mr. Li Shaohua, Mr. Poon Wai Yip, Albert, and Mr. Zhong Shihui as executive directors, while Ms. Chan Po Lam, Mr. Lau Shu Yan, and Mr. Fung Chan Man, Alex will serve as independent non-executive directors. The board committees, including the Audit, Remuneration, and Nomination Committees, have also been restructured with new chairpersons and members. This restructuring is likely aimed at strengthening corporate governance and enhancing the strategic direction of the company.

Perfectech International Appoints New Independent Non-Executive Director
Sep 10, 2025

Perfectech International Holdings Limited has announced the appointment of Mr. Fung Chan Man Alex as an independent non-executive director, effective from September 10, 2025. Mr. Fung, with over 18 years of experience in financial markets and corporate finance in Hong Kong and China, will also join the company’s Remuneration, Audit, and Nomination Committees. This strategic appointment aims to strengthen the company’s governance and compliance with listing rules, potentially enhancing its market position and stakeholder confidence.

Perfectech International Holdings Limited Reports Narrowed Losses in 2025 Interim Results
Aug 29, 2025

Perfectech International Holdings Limited reported its unaudited interim results for the six months ending June 30, 2025. The company experienced a decrease in revenue from HK$68,611,000 in 2024 to HK$61,958,000 in 2025, but reduced its loss significantly from HK$19,436,000 to HK$4,717,000. This improvement in financial performance is attributed to a reduction in cost of sales and administrative expenses, which helped narrow the loss despite a challenging market environment.

Perfectech International Holdings Schedules Board Meeting for Interim Results
Aug 15, 2025

Perfectech International Holdings Limited has announced a board meeting scheduled for August 29, 2025, to approve and publish the interim results for the first half of the year ending June 30, 2025. The board will also consider the possibility of declaring an interim dividend, which could have implications for shareholders and market positioning.

Perfectech International Reports Significant Reduction in Losses for H1 2025
Aug 13, 2025

Perfectech International Holdings Limited has announced a significant reduction in its consolidated net loss for the first half of 2025, with an expected decrease of 74-79% compared to the same period in 2024. This improvement is attributed to a notable increase in gross profit margin and a decrease in administrative expenses, primarily due to reduced raw material and labor costs, as well as lower staff costs. The company is finalizing its interim results, which are subject to adjustments, and advises stakeholders to exercise caution when dealing with its securities.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 09, 2025