<div id="readability-page-1"><div><p>Realord Group Holdings (SEHK:1196) has reported its FY 2025 first half results with revenue of HK$277.1 million and a basic EPS loss of HK$0.33, while trailing 12 month figures show revenue of HK$556.3 million against a basic EPS loss of HK$0.62. Over recent first half periods, revenue has moved from HK$392.5 million in FY 2023 to HK$260.5 million in FY 2024 and HK$277.1 million in FY 2025, with EPS shifting from a profit of HK$0.03 to losses of HK$0.34 and HK$0.33 respectively, setting a backdrop where widening losses and weaker earnings quality keep margins under pressure.</p> <p>See our full analysis for Realord Group Holdings.</p><p>With the headline numbers on the table, the next step is to set these results against the widely followed narratives around Realord Group Holdings to see which storylines hold up and which are challenged by the latest margin picture.</p> <p>Curious how numbers become stories that shape markets? Explore Community Narratives</p> <figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/eab21368-dd35-492a-9363-3e916c641abb/chart/earnings-and-revenue-history/query-ZGF0ZT0yMDI2LTA0LTAy?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/eab21368-dd35-492a-9363-3e916c641abb/chart/earnings-and-revenue-history/query-ZGF0ZT0yMDI2LTA0LTAy"/><figcaption>SEHK:1196 Earnings &amp; Revenue History as at Apr 2026</figcaption></figure> <h2>Losses deepen to HK$890 million over last 12 months</h2> <ul> <li>Over the trailing 12 months, Realord Group Holdings recorded total revenue of HK$556.3 million against a net loss (excluding extra items) of HK$890.4 million, compared with a net loss of HK$334.1 million in the FY 2024 first half period in the data set.</li> <li>Bears highlight that losses have grown at about 82.3% per year over the past five years, and the recent 12 month loss of HK$890.4 million alongside FY 2025 first half net loss of HK$479.2 million keeps that bearish view intact.     <ul> <li>The shift from a profit of HK$48.6 million in the FY 2023 first half to losses of HK$483.1 million and HK$479.2 million in FY 2024 and FY 2025 first halves, respectively, supports concerns about a sustained deterioration in earnings quality.</li> <li>Trailing basic EPS of HK$0.62 loss across the last 12 months, compared with a profit of HK$0.03 per share in the FY 2023 first half, underlines why bears focus on persistent unprofitability rather than short term revenue moves.</li> </ul> </li> </ul><p> On top of these widening losses, skeptics point to the multi year trend of weakening earnings quality as a key reason they stay cautious on the story <strong>🐻 Realord Group Holdings Bear Case</strong>. </p><h2>Revenue stabilises but margins remain heavily negative</h2> <ul> <li>First half revenue in FY 2025 came in at HK$277.1 million, slightly above HK$260.5 million in FY 2024 first half, yet net losses in these periods were still large at HK$479.2 million and HK$483.1 million respectively, indicating that higher sales have not translated into positive earnings.</li> <li>What stands out for a bearish view is that even where revenue in individual periods such as FY 2023 first half reached HK$392.5 million, profitability flipped from a HK$48.6 million profit then to sizeable losses in subsequent halves despite revenue in the HK$260 million to HK$280 million range.     <ul> <li>The move from a small profit per share of HK$0.03 in FY 2023 first half to losses of roughly HK$0.34 and HK$0.33 per share in FY 2024 and FY 2025 first halves shows that margins have remained under pressure despite changes in top line size.</li> <li>Across the trailing 12 month data, revenue of HK$556.3 million paired with a HK$890.4 million loss signals that cost levels or other charges are high relative to sales, which is consistent with the risk flag that the company is currently unprofitable.</li> </ul> </li> </ul> <h2>Valuation looks rich against deep losses</h2> <ul> <li>The shares trade at HK$11.86 with a P/S of 30.8x, compared with peer and industry averages around 0.6x to 0.7x, and a DCF fair value of HK$0.83 that sits far below the current share price in the supplied data.</li> <li>Critics argue that pairing a 30.8x P/S multiple and a DCF fair value of HK$0.83 with trailing 12 month net losses of HK$890.4 million forms a clear valuation risk story.     <ul> <li>The gap between HK$11.86 and the DCF fair value of HK$0.83 aligns with the risk summary that the share price is above the estimated future cash flow value, while the company is still loss making.</li> <li>At the same time, the absence of rewards in the supplied risk data combined with weak debt coverage by operating cash flow means there is little in the recent figures to offset concerns about paying a high sales multiple for a business that is unprofitable.</li> </ul> </li> </ul><p> For a more rounded view that goes beyond this snapshot of losses and valuation, it helps to see how other investors are interpreting the same data <strong>📊 Read the what the Community is saying about Realord Group Holdings.</strong>. </p><h2>Next Steps</h2> <p>Don't just look at this quarter; the real story is in the long-term trend. We've done an in-depth analysis on Realord Group Holdings's growth and its valuation to see if today's price is a bargain. Add the company to your watchlist or portfolio now so you don't miss the next big move.</p> <p>If this all sounds one sided, it helps to see the underlying figures for yourself and weigh them against your own expectations. Before you decide where you stand on Realord Group Holdings, take a close look at the 2 important warning signs.</p> <h2>See What Else Is Out There</h2> <p>Realord Group Holdings is currently facing deep losses, heavily negative margins, and a rich valuation, which together raise clear questions about risk and downside.</p> <p>If those pressures on profitability and valuation make you cautious, it is worth checking out companies with stronger fundamentals and more reasonable pricing through the 244 high quality undervalued stocks.</p> <p><em> This article by Simply Wall St is general in nature. <strong>We provide commentary based on historical data     and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.</strong> It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your     financial situation. We aim to bring you long-term focused analysis driven by fundamental data.     Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.     Simply Wall St has no position in any stocks mentioned.</em></p><div><h3><strong>New: </strong>AI Stock Screener &amp; Alerts</h3><p>Our new AI Stock Screener scans the market every day to uncover opportunities.</p><div><p>• Dividend Powerhouses (3%+ Yield)<br/>• Undervalued Small Caps with Insider Buying<br/>• High growth Tech and AI Companies</p><p>Or build your own from over 50 metrics.</p></div><p>Explore Now for Free</p></div></div></div>

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<p>Realord Group Holdings (SEHK:1196) reported FY 2025 first half results with revenue of HK$277.1 million and a basic EPS loss of HK$0.33. Despite a slight revenue increase from previous years, net losses deepened to HK$479.2 million, raising concerns about deteriorating earnings quality. The company's shares trade at HK$11.86, with a P/S ratio of 30.8x, significantly higher than industry averages, indicating valuation risks amid ongoing unprofitability. Critics highlight the gap between current share price and estimated future cash flow value, reinforcing bearish sentiments.</p>

Realord Group Holdings (SEHK:1196) Deepening Losses Reinforce Bearish Narratives Despite Slight Revenue Uptick