Veeko International Holdings Limited (1173) AI Stock Analysis

• Market Cap: HK$65.47M
• Dividend Yield: 18.52%
• Average Volume (3M): 148.00K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.02
• Revenue Growth: 1.54%
• EPS Growth: -1761.90%
• Country: HK
• Employees: 880
• Sector: Consumer Cyclical
• Sector Strength: 73
• Industry: Household & Personal Products
• EPS (TTM): -0.03
• Shares Outstanding: 2,518,001,500
• 10 Day Avg. Volume: 172,000
• 30 Day Avg. Volume: 148,000
• PEG Ratio: <0.01
• Price to Book (P/B): 0.41
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 2.51
• 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

Veeko International's overall stock score reflects challenges in financial performance and technical analysis. The company's high leverage and negative profitability metrics weigh heavily on its financial health. Technical indicators suggest a bearish trend with oversold conditions, while valuation metrics highlight concerns about earnings. The company needs to address its profitability and leverage issues to improve its stock performance.

Veeko International Holdings Limited Business Overview & Revenue Model

Company Description

Veeko International Holdings Limited (1173) is a Hong Kong-based investment holding company primarily engaged in the design, manufacture, and retail of ladies' fashion apparel and cosmetics. The company operates through two main segments: Fashion and Cosmetics. The Fashion segment involves the sale of apparel under various brand names, while the Cosmetics segment focuses on the retail of a wide range of beauty products.

How the Company Makes Money

Veeko International Holdings Limited generates revenue primarily through the sale of its fashion apparel and cosmetics products. The company operates retail stores across various regions, providing direct access to consumers. Revenue is derived from both in-store and online sales, leveraging brand recognition and consumer loyalty. Significant factors contributing to earnings include strategic location of retail outlets, targeted marketing campaigns, and product diversification to meet consumer trends. Additionally, the company may engage in partnerships with other brands or utilize franchise models to expand its market presence.

Veeko International Holdings Limited Financial Statement Overview

Summary

Veeko International demonstrates a mixed financial performance with some positive revenue growth and cash flow generation. However, profitability remains a challenge with negative net income and operating margins. The balance sheet indicates high leverage, which could pose financial risks. Overall, the company needs to improve its profitability and manage its debt levels to enhance financial stability.

Income Statement

Veeko International has shown a mixed performance in its income statement. The company saw a modest revenue growth of 24% from the previous year, indicating a positive trend. However, the gross profit margin is approximately 44.2%, suggesting moderate profitability. The net profit margin is negative at -6.8%, reflecting challenges in achieving net profitability. The company also faced negative EBIT and EBITDA margins, indicating operating challenges.

Balance Sheet

The balance sheet presents a stable equity position with an equity ratio of 23.4%. However, the company has a high debt-to-equity ratio of 2.79, which raises concerns about leverage and financial risk. The return on equity is negative, indicating losses for shareholders.

Cash Flow

The cash flow statement shows a robust free cash flow and an operating cash flow to net income ratio of 2.05, indicating efficient cash generation relative to accounting profits. Despite the positive free cash flow, the company experienced a decline in operating cash flow compared to the previous year, which could be a concern for future liquidity.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
544.32M	586.71M	472.63M	499.85M	517.25M	1.04B
	Gross Profit
231.60M	259.32M	229.76M	196.22M	195.89M	397.35M
	EBIT
-52.38M	-21.05M	-32.90M	-70.15M	-137.24M	-173.52M
	EBITDA
-48.26M	94.41M	101.71M	31.62M	-49.80M	-16.95M
	Net Income Common Stockholders
-87.88M	-40.04M	5.03M	-53.37M	-184.88M	-258.45M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
80.27M	8.54M	38.10M	10.26M	47.11M	26.48M
	Total Assets
1.10B	867.60M	772.59M	759.45M	812.02M	1.13B
	Total Debt
300.13M	566.51M	488.68M	477.58M	544.81M	695.49M
	Net Debt
219.86M	557.98M	450.58M	467.32M	497.70M	669.02M
	Total Liabilities
395.64M	664.28M	572.38M	560.04M	615.61M	775.17M
	Stockholders Equity
699.45M	203.32M	200.21M	199.41M	196.42M	354.36M
Cash Flow		Free Cash Flow
26.07M	75.88M	110.63M	101.67M	208.59M	120.19M
	Operating Cash Flow
28.93M	82.01M	112.24M	102.89M	213.70M	129.57M
	Investing Cash Flow
-19.66M	-8.01M	-1.58M	-1.12M	-3.02M	-118.85M
	Financing Cash Flow
-13.76M	-105.15M	-79.00M	-142.37M	-193.17M	-41.37M

Veeko International Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.03
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1173, the sentiment is Neutral. The current price of 0.03 is above the 20-day moving average (MA) of 0.02, above the 50-day MA of 0.03, and below the 200-day MA of 0.03, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 78.06 is Negative, neither overbought nor oversold. The STOCH value of 166.67 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1173.

Veeko International Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1929	80 Outperform	$109.27B	23.95	17.34%	4.83%	0.94%	-32.06%
2299	72 Outperform	HK$9.05B	11.17	7.06%	―	14.35%	107.03%
1910	67 Neutral	$19.45B	8.45	20.15%	5.67%	-4.83%	-27.83%
Sector *	61 Neutral	$6.99B	11.27	2.81%	3.90%	2.61%	-21.77%
1268	52 Neutral	$2.98B	40.67	-56.58%	1.81%	-23.89%	-1698.95%
1173	46 Neutral	HK$65.47M	―	-51.96%	18.52%	1.54%	-1761.90%

Veeko International Holdings Limited Corporate Events

Veeko International Holdings Secures Lease Renewal for ‘Colourmix’ Retail Outlet

Veeko International Holdings Limited announced that its wholly-owned subsidiary, the Retailer, has entered into a lease renewal agreement for a shop in Tsuen Wan, Hong Kong, to continue retail operations under the ‘Colourmix’ brand for three years beginning March 2025. This transaction will be recognized as a right-of-use asset under HKFRS16 accounting standards, classifying it as a discloseable transaction subject to the listing rules, indicating a strategic move to sustain market presence and potentially impact asset recognition and reporting.

Veeko International Holdings Limited Announces Change in Share Registrar

Veeko International Holdings Limited has announced a change in its branch share registrar and transfer office in Hong Kong, effective March 1, 2025, to Tricor Investor Services Limited. This change is crucial for shareholders and stakeholders to note as it involves updates to the process for registration and collection of share certificates, potentially impacting the administrative operations of the company.