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Kwong Luen Engineering Holdings Limited (HK:1413)
:1413
Hong Kong Market
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Kwong Luen Engineering Holdings Limited (1413) AI Stock Analysis

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HK:1413

Kwong Luen Engineering Holdings Limited

(1413)

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Neutral 51 (OpenAI - 4o)
Rating:51Neutral
Price Target:
HK$0.00
▼(-100.00% Downside)
The overall stock score is primarily influenced by the company's financial performance, which is challenged by declining revenues and profitability. Technical analysis provides some support with short-term upward trends, but valuation concerns due to negative earnings and lack of dividends weigh heavily. The absence of earnings call and corporate events data limits additional insights.

Kwong Luen Engineering Holdings Limited (1413) vs. iShares MSCI Hong Kong ETF (EWH)

Kwong Luen Engineering Holdings Limited Business Overview & Revenue Model

Company DescriptionKwong Luen Engineering Holdings Limited, an investment holding company, operates as a foundation works contractor in Hong Kong. The company primarily undertakes excavation and lateral support, pile cap construction, underground drainage, and site formation works. The company was founded in 1995 and is headquartered in Tsuen Wan, Hong Kong.
How the Company Makes MoneyKwong Luen Engineering Holdings Limited generates revenue primarily through its engineering services, which include installation and maintenance contracts for electrical and mechanical systems. The company earns money by bidding on and securing contracts from various clients, including government agencies and private sector businesses. Key revenue streams include long-term maintenance agreements, one-off project contracts, and consultancy services related to engineering projects. Additionally, strategic partnerships with suppliers and subcontractors can enhance its service offerings and competitive pricing, contributing to its overall earnings. Seasonal fluctuations in construction activity and infrastructure investment levels also play a significant role in the company's revenue performance.

Kwong Luen Engineering Holdings Limited Financial Statement Overview

Summary
Kwong Luen Engineering Holdings Limited faces significant financial challenges, particularly in revenue generation and profitability. The income statement shows declining revenues and negative profit margins, while the balance sheet is stable with low leverage. Cash flow issues persist, with negative operating and free cash flows.
Income Statement
30
Negative
The income statement reveals a concerning trend with declining revenues and profitability. The company experienced a significant revenue drop of 37.87% in the latest year, and both gross and net profit margins turned negative, indicating operational challenges. Historical data shows fluctuating revenue growth and shrinking margins, suggesting instability in financial performance.
Balance Sheet
60
Neutral
The balance sheet shows a relatively low debt-to-equity ratio of 0.025, indicating conservative leverage. However, the return on equity has decreased over the years, reflecting reduced profitability. The equity ratio remains stable, suggesting a solid capital structure despite declining returns.
Cash Flow
40
Negative
Cash flow analysis highlights negative operating and free cash flows, with a significant decline in free cash flow growth. The operating cash flow to net income ratio is negative, indicating cash flow challenges. Despite this, the free cash flow to net income ratio is positive, suggesting some efficiency in converting earnings to cash.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue651.76M404.95M618.19M338.32M548.84M481.71M
Gross Profit31.43M-59.95M34.76M11.91M46.17M60.82M
EBITDA20.77M-72.67M36.90M13.93M50.80M51.31M
Net Income2.79M-81.52M17.26M1.00M23.52M31.13M
Balance Sheet
Total Assets396.08M298.61M381.17M292.71M310.07M282.67M
Cash, Cash Equivalents and Short-Term Investments18.36M33.92M25.15M25.36M42.65M107.65M
Total Debt16.29M5.58M31.07M3.13M23.72M18.37M
Total Liabilities98.82M66.76M114.79M43.59M61.95M58.07M
Stockholders Equity297.25M221.87M266.38M249.12M248.12M224.60M
Cash Flow
Free Cash Flow-53.82M-18.28M-37.95M-1.75M-68.92M-34.31M
Operating Cash Flow-53.82M-11.48M-29.47M10.00M-27.67M-20.32M
Investing Cash Flow10.09M8.24M2.67M-6.69M-41.26M-13.96M
Financing Cash Flow34.58M12.01M26.59M-20.59M3.92M126.88M

Kwong Luen Engineering Holdings Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.09
Price Trends
50DMA
0.09
Negative
100DMA
0.08
Positive
200DMA
0.08
Positive
Market Momentum
MACD
>-0.01
Positive
RSI
45.23
Neutral
STOCH
61.03
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1413, the sentiment is Negative. The current price of 0.09 is below the 20-day moving average (MA) of 0.09, below the 50-day MA of 0.09, and above the 200-day MA of 0.08, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 45.23 is Neutral, neither overbought nor oversold. The STOCH value of 61.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1413.

Kwong Luen Engineering Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
$10.79B15.437.44%2.01%2.89%-14.66%
HK$99.76M20.591.80%-37.55%-41.28%
HK$107.34M92.500.82%13.16%57.78%-78.95%
HK$212.89M-53.25%-45.46%-329.88%
HK$130.20M-1.36-33.39%-34.49%-496.53%
HK$137.80M26.173.32%20.26%17.50%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1413
Kwong Luen Engineering Holdings Limited
0.09
-0.05
-35.71%
HK:1751
Kingland Group Holdings Limited
0.88
0.40
83.33%
HK:3878
Vicon Holdings Limited
0.20
-0.04
-16.67%
HK:6080
Wing Chi Holdings Limited
0.12
0.06
100.00%
HK:1690
Lap Kei Engineering (Holdings) Limited
0.07
0.01
16.67%

Kwong Luen Engineering Holdings Limited Corporate Events

FEG Holdings Announces Board Composition and Roles
Oct 8, 2025

FEG Holdings Corporation Limited, incorporated in the Cayman Islands, has announced the composition of its board of directors and their roles within the company. The board consists of both executive and independent non-executive directors, with specific members assigned to the audit, nomination, and remuneration committees. This announcement provides clarity on the governance structure of the company, potentially impacting its strategic direction and stakeholder confidence.

Kwong Luen Engineering Updates Corporate Governance Framework
Oct 8, 2025

Kwong Luen Engineering Holdings Limited has announced amendments to its Memorandum and Articles of Association, reflecting changes in its corporate governance structure. These amendments, adopted by a special resolution, cover various aspects of the company’s operations, including shares, management, and financial procedures, potentially impacting shareholder rights and corporate management.

FEG Holdings Announces Leadership and Auditor Changes
Oct 8, 2025

FEG Holdings Corporation Limited has announced key changes to its leadership and committee structures. Ms. Yang Yuangui has been appointed as an executive director and co-chairperson of the board, bringing extensive experience in the communications and technology industries. Additionally, she and Chan Siu Kei Ken have joined the company’s nomination committee. The board also proposes the appointment of Infinity CPA Limited as the new auditor, replacing Linksfield CPA Limited, pending shareholder approval at the upcoming extraordinary general meeting.

FEG Holdings Completes Share Placing to Bolster Working Capital
Sep 26, 2025

FEG Holdings Corporation Limited, a company incorporated in the Cayman Islands, announced the completion of a placing of 200,000,000 new shares under a general mandate. The shares were issued at a price of HK$0.063 each, raising net proceeds of approximately HK$12.1 million, which will be used for general working capital. The placing represents about 14.29% of the company’s enlarged share capital, with no placee becoming a substantial shareholder. This move is part of the company’s ongoing efforts to strengthen its financial position and support operational needs.

FEG Holdings Announces AGM Results and Director Retirements
Sep 18, 2025

FEG Holdings Corporation Limited, incorporated in the Cayman Islands, recently held its 2025 Annual General Meeting where several resolutions were voted on by shareholders. The meeting resulted in the approval of most resolutions, including the adoption of financial statements and the re-election of several directors, while some resolutions, including the re-election of certain directors, were not passed. Additionally, the company announced the retirement of several directors, which may impact its board composition and strategic direction.

FEG Holdings Announces Board of Directors and Committee Roles
Sep 18, 2025

FEG Holdings Corporation Limited, a company incorporated in the Cayman Islands, has announced its current board of directors and their roles within the company. The board consists of both executive and independent non-executive directors, with Yang Zhenwei serving as the Chairman. The announcement also details the composition of three key board committees: the Audit Committee, the Nomination Committee, and the Remuneration Committee, highlighting the leadership roles within each committee. This update provides clarity on the governance structure of FEG Holdings, which is crucial for stakeholders to understand the company’s leadership and decision-making framework.

FEG Holdings Announces Cryptocurrency Investment Strategy
Sep 7, 2025

FEG Holdings Corporation Limited has announced a strategic investment framework to allocate up to HKD4.5 million towards cryptocurrency investments through its subsidiary, TGG Digital Limited. The investment aims to diversify the company’s portfolio by employing delta-neutral quantitative strategies to ensure capital preservation and steady, risk-adjusted returns. The investment is divided into active strategy capital and a risk reserve to manage potential drawdowns. The company has implemented a three-tier risk management framework to mitigate operational and financial risks, including systematic circuit breakers, real-time on-chain audits, and a dedicated risk reserve.

Kwong Luen Engineering Announces Share Placement to Raise HK$12.1 Million
Aug 27, 2025

Kwong Luen Engineering Holdings Limited has announced a placement of up to 200,000,000 new shares under a general mandate, with Cheong Lee Securities Limited acting as the placing agent. The shares are priced at HK$0.063 each, representing a discount to recent trading prices. The placement aims to raise approximately HK$12.1 million, which will be used for the company’s general working capital. This move could potentially enhance the company’s liquidity and financial flexibility, impacting its operational capabilities and market positioning.

FEG Holdings Announces 2025 Annual General Meeting Agenda
Aug 27, 2025

FEG Holdings Corporation Limited has announced its upcoming annual general meeting scheduled for September 18, 2025, in Hong Kong. The meeting will address several key agenda items, including the approval of audited financial statements, re-election of directors, and re-appointment of the company’s auditor. Additionally, a resolution will be considered to grant directors a mandate to issue additional shares, which could potentially impact the company’s capital structure and shareholder value.

FEG Holdings Announces Board and Committee Changes
Aug 20, 2025

FEG Holdings Corporation Limited, a company listed on the Hong Kong Stock Exchange, has announced changes in its board of directors and committee compositions effective from August 20, 2025. Ms. Lai and Mr. Wong have resigned from their positions as independent non-executive directors to focus on other business engagements and personal commitments. They have been replaced by Mr. Chan and Mr. Sin, who bring extensive experience in financial auditing, accounting, and management. These changes are expected to bring fresh perspectives and expertise to the company’s governance and strategic direction.

FEG Holdings Announces Board Composition and Committee Roles
Aug 20, 2025

FEG Holdings Corporation Limited, incorporated in the Cayman Islands, has announced the composition of its board of directors and their roles within the company. The board consists of both executive and independent non-executive directors, with specific members assigned to the audit, nomination, and remuneration committees. This announcement provides clarity on the governance structure of FEG Holdings, which is crucial for stakeholders to understand the leadership dynamics and decision-making processes within the company.

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: Nov 01, 2025