SEHK:8507

Stock Analysis Report

Executive Summary

i.century Holding Limited provides apparel products and apparel supply chain management services in the United States, France, other European countries, Australia, Canada, Japan, and Internationally.

Risk Analysis

Earnings have declined by -113.41% per year over past 5 years

Has less than 1 year of cash runway

Does not have a meaningful market cap (HK$50M)

Currently unprofitable and not forecast to become profitable over the next 3 years

+ 2 more risks


Snowflake Analysis

Mediocre balance sheet with weak fundamentals.

Share Price & News

How has i.century Holding's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 8507's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.2%

8507

1.6%

HK Luxury

0.6%

HK Market


1 Year Return

-13.1%

8507

21.8%

HK Luxury

-1.5%

HK Market

Return vs Industry: 8507 underperformed the Hong Kong Luxury industry which returned 21.8% over the past year.

Return vs Market: 8507 underperformed the Hong Kong Market which returned -1.5% over the past year.


Shareholder returns

8507IndustryMarket
7 Day2.2%1.6%0.6%
30 Day11.2%-1.5%-3.9%
90 Day-10.3%6.7%-0.3%
1 Year-13.1%-13.1%26.1%21.8%2.0%-1.5%
3 Yearn/a49.6%31.1%17.1%5.2%
5 Yearn/a54.0%23.7%17.0%-2.2%

Price Volatility Vs. Market

How volatile is i.century Holding's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is i.century Holding undervalued compared to its fair value and its price relative to the market?

1.16x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 8507's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 8507's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 8507 is unprofitable, so we can't compare its PE Ratio to the Luxury industry average.

PE vs Market: 8507 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 8507's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 8507 is overvalued based on its PB Ratio (1.2x) compared to the HK Luxury industry average (0.9x).


Next Steps

Future Growth

How is i.century Holding forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

17.9%

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 i.century Holding 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 i.century Holding performed over the past 5 years?

-113.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 8507 is currently unprofitable.

Growing Profit Margin: 8507 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 8507 is unprofitable, and losses have increased over the past 5 years at a rate of -113.4% per year.

Accelerating Growth: Unable to compare 8507's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 8507 is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (-2.8%).


Return on Equity

High ROE: 8507 has a negative Return on Equity (-28.12%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is i.century Holding's financial position?


Financial Position Analysis

Short Term Liabilities: 8507's short term assets (HK$63.9M) exceed its short term liabilities (HK$27.5M).

Long Term Liabilities: 8507's short term assets (HK$63.9M) exceed its long term liabilities (HK$405.0K).


Debt to Equity History and Analysis

Debt Level: 8507's debt to equity ratio (24.6%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 8507's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: 8507 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 8507's debt is covered by short term assets (assets are 5.4x 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: 8507 has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: 8507 has less than a year of cash runway if free cash flow continues to reduce at historical rates of -116.4% each year


Next Steps

Dividend

What is i.century Holding's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.2%markettop25%6.3%industryaverage2.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 8507's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 8507's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 8507's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 8507'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 8507'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 i.century Holding's salary, the management and board of directors tenure and is there insider trading?

2.3yrs

Average management tenure


CEO

Wilson Leung (50yo)

0yrs

Tenure

HK$2,598,000

Compensation

Mr. Kwok Hung Leung, also known as Wilson is the Executive Chairman of the Board at i.century Holding Ltd. since September 26, 2017 and serves as its Executive Director since June 20, 2017. Mr. Leung is Ch ...


CEO Compensation Analysis

Compensation vs Market: Wilson's total compensation ($USD331.84K) is above average for companies of similar size in the Hong Kong market ($USD213.05K).

Compensation vs Earnings: Wilson's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

2.3yrs

Average Tenure

49yo

Average Age

Experienced Management: 8507's management team is considered experienced (2.3 years average tenure).


Board Age and Tenure

1.8yrs

Average Tenure

47.5yo

Average Age

Experienced Board: 8507's board of directors are not considered experienced ( 1.8 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$30,40020 Feb 19
Chi Kwong Chan
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares200,000
Max PriceHK$0.15
BuyHK$25,59915 Feb 19
Chi Kwong Chan
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares200,000
Max PriceHK$0.13
BuyHK$44,38315 Feb 19
Chi Kwong Chan
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares304,000
Max PriceHK$0.15

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 14.4%.


Management Team

  • Dickson Chan (47yo)

    Chief Financial Officer

    • Tenure: 1.4yrs
  • Chi Yin Kwok (51yo)

    Company Secretary

    • Tenure: 2.3yrs
  • Wilson Leung (50yo)

    Executive Chairman

    • Tenure: 0yrs
    • Compensation: HK$2.60m
  • Shuk Fan Tam (48yo)

    Executive Director

    • Tenure: 2.5yrs
    • Compensation: HK$1.06m
  • Yin Mei Lee (47yo)

    Executive Director

    • Tenure: 1.8yrs
    • Compensation: HK$583.00k
  • Sheung Ping Chan (50yo)

    Chief Operating Officer

    • Tenure: 2.3yrs

Board Members

  • Louis Lau (42yo)

    Independent Non-Executive Director

    • Tenure: 1.8yrs
    • Compensation: HK$96.00k
  • Wilson Leung (50yo)

    Executive Chairman

    • Tenure: 0yrs
    • Compensation: HK$2.60m
  • Shuk Fan Tam (48yo)

    Executive Director

    • Tenure: 2.5yrs
    • Compensation: HK$1.06m
  • Yin Mei Lee (47yo)

    Executive Director

    • Tenure: 1.8yrs
    • Compensation: HK$583.00k
  • Wai Man Cheung (50yo)

    Independent Non-Executive Director

    • Tenure: 1.8yrs
    • Compensation: HK$96.00k
  • Kwun Ting Lee (32yo)

    Independent Non-Executive Director

    • Tenure: 1.3yrs
    • Compensation: HK$64.00k

Company Information

i.century Holding Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: i.century Holding Limited
  • Ticker: 8507
  • Exchange: SEHK
  • Founded: 2008
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: HK$50.400m
  • Shares outstanding: 400.00m
  • Website: https://icenturyholding.com

Number of Employees


Location

  • i.century Holding Limited
  • Elite Industrial Centre
  • 2nd Floor
  • Lai Chi Kok
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
8507SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDApr 2018

Biography

i.century Holding Limited provides apparel products and apparel supply chain management services in the United States, France, other European countries, Australia, Canada, Japan, and Internationally. It of ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/07 12:50
End of Day Share Price2019/12/06 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


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.