Reported Q: Q1 2025 Rev YoY: -22.8% EPS YoY: -17.7% Move: -6.02%
Virtual Mind Holding
1520.HK
HKD0.780 -6.02%
Exchange HKSE Sector Consumer Cyclical Industry Apparel Manufacturers
Q1 2025
Published: Mar 31, 2025

Company Status Snapshot

Fast view of the latest quarter outcome for 1520.HK

Reported

Report Date

Mar 31, 2025

Quarter Q1 2025

Revenue

11.56M

YoY: -22.8%

EPS

-0.03

YoY: -17.7%

Market Move

-6.02%

Previous quarter: Q4 2024

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Earnings Highlights

  • Revenue of $11.56M down 22.8% year-over-year
  • EPS of $-0.03 decreased by 17.7% from previous year
  • Gross margin of 0.8%
  • Net income of -21.33M
  • "Transcript data not provided in the supplied dataset." - N/A
1520.HK
Company 1520.HK

Executive Summary

In QQ1 2025, Virtual Mind Holding Company Limited reported a material step down in revenue and sustained losses, underscoring a challenging near-term profitability trajectory in its apparel-focused business. Revenue totaled HKD 11.56 million, producing a gross profit of HKD 91 thousand and a gross margin of 0.78%. After allocating operating expenses of HKD 32.26 million, the company posted an operating loss of HKD 20.70 million and a net loss of HKD 21.33 million for the quarter, translating to an EPS of -0.0299. The quarterโ€™s outcomes reflect heightened SG&A pressure relative to a sharply decelerating top line, a pattern that compelled management to emphasize cost discipline and selective investment to stabilize financials in the near term.

From a balance sheet perspective, the company maintains a solid liquidity position, supported by cash and short-term investments totaling around HKD 49.24 million and a current ratio approximately 3.6x. Reported debt levels are modest (short-term debt HKD 12.25 million; long-term debt HKD 3.44 million; total debt HKD 15.69 million) with a net debt figure of HKD 9.91 million in the data. Financing inflows helped cushion cash flow, resulting in a net cash flow from financing activities of HKD 16.14 million, partially offsetting operating cash outflows of HKD 13.04 million and investing outlays of HKD 3.23 million. The cash burn appears contained for now, but the company must translate cash inflows into meaningful earnings to sustain profitability.

Looking forward, the absence of explicit quarterly guidance in the QQ1 2025 release creates elevated uncertainty. The investment case hinges on margin expansion, continued cost containment, and a credible revenue recovery plan, including leveraging private-label and proprietary-label offerings, optimizing SG&A, and potentially monetizing non-core assets. In the near term, investors should monitor the trajectory of gross margin, the ratio of SG&A to revenue, cash burn dynamics, and any management guidance or strategic updates that clarify path to profitability.

Key Performance Indicators

Revenue
Decreasing
11.56M
QoQ: -76.80% | YoY: -22.75%
Gross Profit
Decreasing
91.00K
0.79% margin
QoQ: -97.08% | YoY: -93.50%
Operating Income
Decreasing
-20.70M
QoQ: -19.28% | YoY: -94.45%
Net Income
Decreasing
-21.33M
QoQ: 11.98% | YoY: -51.48%
EPS
Decreasing
-0.03
QoQ: 24.11% | YoY: -17.72%

Revenue Trend

Margin Analysis

Historical Earnings Comparison

PeriodRevenue ($M)EPS ($)YoY GrowthReport
Q2 2025 11.56 -0.03 -53.6% View
Q1 2025 11.56 -0.03 -22.8% View
Q4 2024 49.83 -0.04 +44.9% View
Q3 2024 49.83 -0.04 +189.8% View