SEHK:1100

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Mainland Headwear Holdings

Executive Summary

Mainland Headwear Holdings Limited, an investment holding company, designs, manufactures, trades in, and distributes casual headwear products in the United States, Europe, the People’s Republic of China, Hong Kong, and internationally.


Snowflake Analysis

Excellent balance sheet, good value and pays a dividend.

Share Price & News

How has Mainland Headwear Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1100's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

3.1%

1100

-0.9%

HK Luxury

-3.7%

HK Market


1 Year Return

-39.1%

1100

0.4%

HK Luxury

-10.4%

HK Market

Return vs Industry: 1100 underperformed the Hong Kong Luxury industry which returned -2.1% over the past year.

Return vs Market: 1100 underperformed the Hong Kong Market which returned -10% over the past year.


Shareholder returns

1100IndustryMarket
7 Day3.1%-0.9%-3.7%
30 Day-2.9%1.6%-3.0%
90 Day-26.4%-4.2%-7.6%
1 Year-35.0%-39.1%2.9%0.4%-7.4%-10.4%
3 Year-48.5%-55.6%19.9%6.2%-4.5%-14.2%
5 Year-34.2%-46.4%15.4%-2.4%-16.2%-29.1%

Price Volatility Vs. Market

How volatile is Mainland Headwear Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Mainland Headwear Holdings undervalued compared to its fair value and its price relative to the market?

8.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 1100 (HK$0.67) is trading below our estimate of fair value (HK$0.73)

Significantly Below Fair Value: 1100 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 1100 is good value based on its PE Ratio (4.8x) compared to the Luxury industry average (6.9x).

PE vs Market: 1100 is good value based on its PE Ratio (4.8x) compared to the Hong Kong market (9.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1100's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1100 is good value based on its PB Ratio (0.4x) compared to the HK Luxury industry average (0.7x).


Next Steps

Future Growth

How is Mainland Headwear Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

21.4%

Forecasted Consumer Durables industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Mainland Headwear Holdings has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Mainland Headwear Holdings performed over the past 5 years?

9.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1100 has high quality earnings.

Growing Profit Margin: 1100's current net profit margins (5%) are lower than last year (8.6%).


Past Earnings Growth Analysis

Earnings Trend: 1100's earnings have grown by 9% per year over the past 5 years.

Accelerating Growth: 1100's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1100 had negative earnings growth (-25.1%) over the past year, making it difficult to compare to the Luxury industry average (3%).


Return on Equity

High ROE: 1100's Return on Equity (8.2%) is considered low.


Next Steps

Financial Health

How is Mainland Headwear Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 1100's short term assets (HK$775.6M) exceed its short term liabilities (HK$539.3M).

Long Term Liabilities: 1100's short term assets (HK$775.6M) exceed its long term liabilities (HK$32.9M).


Debt to Equity History and Analysis

Debt Level: 1100's debt to equity ratio (36.1%) is considered satisfactory.

Reducing Debt: 1100's debt to equity ratio has increased from 6.5% to 36.1% over the past 5 years.

Debt Coverage: 1100's debt is well covered by operating cash flow (30.9%).

Interest Coverage: 1100's interest payments on its debt are well covered by EBIT (13.9x coverage).


Balance Sheet


Next Steps

Dividend

What is Mainland Headwear Holdings's current dividend yield, its reliability and sustainability?

7.46%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1100's dividend (7.46%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.61%).

High Dividend: 1100's dividend (7.46%) is in the top 25% of dividend payers in the Hong Kong market (7.3%)


Stability and Growth of Payments

Stable Dividend: 1100's dividend payments have been volatile in the past 10 years.

Growing Dividend: 1100's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (35.5%), 1100's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

8.4yrs

Average board tenure


CEO

Pauline Ngan (59yo)

no data

Tenure

HK$5,452,000

Compensation

Madam Po Ling Ngan, also known as Pauline, BBS, JP, co-founded Mainland Headwear Holdings Ltd. and serves as its Managing Director and Deputy Chairman. Madam Ngan is responsible for Mainland Headwear Hold ...


CEO Compensation Analysis

Compensation vs Market: Pauline's total compensation ($USD703.33K) is above average for companies of similar size in the Hong Kong market ($USD225.40K).

Compensation vs Earnings: Pauline's compensation has been consistent with company performance over the past year.


Board Members

NamePositionTenureCompensationOwnership
Hei Keung Ngan
Co-Founder & Executive Chairmanno dataHK$4.13mno data
Po Ling Ngan
Co-Founderno dataHK$5.45m9.33% HK$25.3m
Man Sing Lai
CFO & Executive Director0.42yrno datano data
James Scott Patterson
Executive Director11.08yrsHK$514.00kno data
Siu Hon Ngan
Executive Director4.42yrsHK$1.21mno data
Ng Gordon
Independent Non-Executive Director5.67yrsHK$120.00kno data
Shu Leung
Independent Non-Executive Director20.17yrsHK$120.00kno data
Tieh Ching Liu
Independent Non Executive Director13.75yrsHK$120.00kno data

8.4yrs

Average Tenure

57yo

Average Age

Experienced Board: 1100's board of directors are considered experienced (8.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Mainland Headwear Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mainland Headwear Holdings Limited
  • Ticker: 1100
  • Exchange: SEHK
  • Founded: 1986
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: HK$271.567m
  • Shares outstanding: 405.32m
  • Website: https://www.mainland.com.hk

Number of Employees


Location

  • Mainland Headwear Holdings Limited
  • Enterprise Square I, Tower 2
  • 10th Floor, Rooms 1001-1005
  • Kowloon Bay
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1100SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2000

Biography

Mainland Headwear Holdings Limited, an investment holding company, designs, manufactures, trades in, and distributes casual headwear products in the United States, Europe, the People’s Republic of China, Hong Kong, and internationally. The company operates through Manufacturing Business and Trading Business segments. Its casual headwear products include baseball caps, bucket hats, winter caps, gatsby hats, headbands, and sun visors. The company also offers headwear products for sports and racing, lifestyle and fashion, fishing/hunting and golf, and corporate events; character and entertainment, and O.D.M. headwear products; and knitted and winter hats. In addition, it is involved in the trading of apparels and accessories; provision of digitizing, research and development, quality control, and administrative services; property holding; and trading of machineries, fabric, and accessory materials, as well as e-commerce business. The company was founded in 1986 and is headquartered in Kowloon Bay, Hong Kong. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/28 12:45
End of Day Share Price2020/05/27 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.