SEHK:381

Stock Analysis Report

Kiu Hung International Holdings

Executive Summary

Kiu Hung International Holdings Limited, an investment holding company, manufactures and trades in toys and gifts.

Snowflake

Fundamentals

Overvalued with worrying balance sheet.

Share Price & News

How has Kiu Hung International Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-8.0%

381

-1.9%

HK Leisure

0.3%

HK Market


1 Year Return

27.8%

381

-18.3%

HK Leisure

1.3%

HK Market

Return vs Industry: 381 exceeded the Hong Kong Leisure industry which returned -18.3% over the past year.

Return vs Market: 381 exceeded the Hong Kong Market which returned 1.3% over the past year.


Shareholder returns

381IndustryMarket
7 Day-8.0%-1.9%0.3%
30 Day-23.3%-6.7%0.5%
90 Day-8.0%-15.3%-4.6%
1 Year27.8%27.8%-15.4%-18.3%4.9%1.3%
3 Year-83.5%-83.5%-34.4%-39.0%15.3%3.7%
5 Year-94.3%-94.3%-51.5%-54.0%20.0%-0.006%

Price Volatility Vs. Market

How volatile is Kiu Hung International Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Kiu Hung International Holdings undervalued compared to its fair value and its price relative to the market?

0.43x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 381's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 381's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 381 is unprofitable, so we can't compare its PE Ratio to the Leisure industry average.

PE vs Market: 381 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 381's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 381 is good value based on its PB Ratio (0.4x) compared to the HK Leisure industry average (0.8x).


Next Steps

Future Growth

How is Kiu Hung International Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

11.7%

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 Kiu Hung International 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 Kiu Hung International Holdings performed over the past 5 years?

24.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 381 is unprofitable, but has reduced losses over the past 5 years at a rate of 24.7% per year.

Accelerating Growth: Unable to compare 381's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 381 is unprofitable, making it difficult to compare its past year earnings growth to the Leisure industry (7%).


Return on Equity

High ROE: 381 has a negative Return on Equity (-29.44%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: 381 is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: 381 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Kiu Hung International Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 381's short term assets (HK$334.0M) do not cover its short term liabilities (HK$501.4M)

Long Term Liabilities: 381's short term assets (334.0M) exceeds its long term liabilities (25.1M)


Debt to Equity History and Analysis

Debt Level: 381's debt to equity ratio (62.2%) is considered high

Reducing Debt: 381's debt to equity ratio has increased from 56.5% to 62.2% over the past 5 years.


Balance Sheet

Inventory Level: 381 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 381's debt is covered by short term assets (assets are 1.014380x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: 381 has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: 381 has less than a year of cash runway if free cash flow continues to reduce at historical rates of -19.6% each year


Next Steps

Dividend

What is Kiu Hung International Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.3%markettop25%6.2%industryaverage4.7%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate 381's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 381's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if 381's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 381's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 381's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

What is the CEO of Kiu Hung International Holdings's salary, the management and board of directors tenure and is there insider trading?

2.1yrs

Average management tenure


CEO

Yun Zhang (42yo)

2.9yrs

Tenure

HK$300,000

Compensation

Mr. Yun Zhang has been Deputy Chief Executive Officer of Kiu Hung International Holdings Limited since November 9, 2016. Mr. Zhang is the Deputy General Manager of Qiao Yi (Fujian) Real Estate Development  ...


CEO Compensation Analysis

Compensation vs. Market: Yun's total compensation ($USD38.25K) is too low to compare against companies of similar size in the Hong Kong market ($USD215.97K).

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


Management Age and Tenure

2.1yrs

Average Tenure

44yo

Average Age

Experienced Management: 381's management team is considered experienced (2.1 years average tenure).


Board Age and Tenure

0.3yrs

Average Tenure

41.5yo

Average Age

Experienced Board: 381's board of directors are not considered experienced ( 0.3 years average tenure), which suggests a new board.


Insider Trading

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


Recent Insider Transactions

BuyHK$12,334,54823 Nov 18
ZhongWen Shu
EntityIndividual
Shares144,350,000
Max PriceHK$0.10

Ownership Breakdown


Management Team

  • Ki Hui (57yo)

    President of Toys & Gifts Business

    • Tenure: 0yrs
    • Compensation: HK$1.48m
  • Weikang Fan

    Chief Engineer in Pit Exploitation

    • Tenure: 12.3yrs
  • Runzhi Yang (64yo)

    MD - Inner Mongolia Mingrunfeng Energy Co. Ltd & Tongliao City Heng Yuan Mining Co. Ltd

    • Tenure: 0yrs
  • Qijun Zhang (42yo)

    Chairman

    • Tenure: 0.3yrs
    • Compensation: HK$164.00k
  • Yun Zhang (42yo)

    Deputy Chief Executive Officer

    • Tenure: 2.9yrs
    • Compensation: HK$300.00k
  • Tsz Tam (46yo)

    Company Secretary

    • Tenure: 1.3yrs
  • Jian Chen (41yo)

    Executive Director

    • Tenure: 0.3yrs

Board Members

  • Kee Hui (58yo)

    Honorary Chairman

    • Tenure: 0.3yrs
    • Compensation: HK$4.57m
  • Xiao Wang (59yo)

    Independent Non-Executive Director

    • Tenure: 4.3yrs
    • Compensation: HK$136.00k
  • Qijun Zhang (42yo)

    Chairman

    • Tenure: 0.3yrs
    • Compensation: HK$164.00k
  • Ho Cheng (35yo)

    Independent Non-Executive Director

    • Tenure: 0.6yrs
  • Jian Chen (41yo)

    Executive Director

    • Tenure: 0.3yrs
  • Chun Kong (36yo)

    Independent Non-Executive Director

    • Tenure: 0.3yrs

Company Information

Kiu Hung International Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kiu Hung International Holdings Limited
  • Ticker: 381
  • Exchange: SEHK
  • Founded: 1991
  • Industry: Leisure Products
  • Sector: Consumer Durables
  • Market Cap: HK$227.479m
  • Shares outstanding: 9.89b
  • Website: https://www.kh381.com

Number of Employees


Location

  • Kiu Hung International Holdings Limited
  • Capital Center
  • Room 1403
  • Wan Chai
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
381SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 2001

Biography

Kiu Hung International Holdings Limited, an investment holding company, manufactures and trades in toys and gifts. It operates through five segments: Manufacturing and Trading of Toys and Gifts Items, Expl ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 12:40
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.