The firm achieved a 40.03% year-over-year revenue growth rate while maintaining a robust 78.53% gross margin, suggesting high-value service delivery.
| Metric | Jun'24 | Jun'23 | Jun'22 |
|---|
| Sales/Revenue | 21.26M | 15.18M | 8.22M |
| Revenue Growth % | 40.03% | 84.62% | - |
| Cost of Goods Sold | 4.56M | 3.73M | 4.49M |
| COGS % of Revenue | 21.47% | 24.55% | 54.62% |
| Gross Profit | 16.69M | 11.45M | 3.73M |
| Gross Margin % | 78.53% | 75.45% | 45.38% |
| Gross Profit Growth % | 45.75% | 206.96% | - |
| Operating Expenses | 8.71M | 4.55M | 5.34M |
| OpEx % of Revenue | 40.98% | 29.96% | 64.88% |
| Selling, General & Admin | 8.29M | 4.21M | 4.82M |
| SG&A % of Revenue | 38.99% | 27.74% | 58.57% |
| Research & Development | 636.22K | 483.12K | 477.23K |
| R&D % of Revenue | 2.99% | 3.18% | 5.8% |
| Other Operating Expenses | -212.97K | -146.59K | 41.91K |
| Operating Income | 7.98M | 6.91M | -1.6M |
| Operating Margin % | 37.56% | 45.49% | -19.5% |
| Operating Income Growth % | 15.61% | 530.6% | - |
| EBITDA | 8.02M | 6.94M | -1.58M |
| EBITDA Margin % | 37.74% | 45.7% | -19.16% |
| EBITDA Growth % | 15.62% | 540.38% | - |
| D&A (Non-Cash Add-back) | 38.2K | 32.12K | 28.32K |
| EBIT | 7.7M | 6.99M | -1.2M |
| Net Interest Income | 201.39K | 25.67K | 127 |
| Interest Income | 201.39K | 25.67K | 127 |
| Interest Expense | 0 | 0 | 0 |
| Other Income/Expense | 645.79K | 223.36K | 481.88K |
| Pretax Income | 8.63M | 7.13M | -1.12M |
| Pretax Margin % | 40.6% | 46.96% | -13.64% |
| Income Tax | 1.57M | 1.09M | -197.41K |
| Effective Tax Rate % | 18.14% | 15.35% | 17.6% |
| Net Income | 7.06M | 6.03M | -924.48K |
| Net Margin % | 33.23% | 39.75% | -11.24% |
| Net Income Growth % | 17.06% | 752.75% | - |
| Net Income (Continuing) | 7.06M | 6.03M | -924.48K |
| Discontinued Operations | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 |
| EPS (Diluted) | 0.22 | 0.19 | -0.03 |
| EPS Growth % | 15.79% | 757.44% | - |
| EPS (Basic) | 0.22 | 0.19 | -0.03 |
| Diluted Shares Outstanding | 32M | 32M | 32M |
| Basic Shares Outstanding | 32M | 32M | 32M |
| Dividend Payout Ratio | - | - | - |
Extreme Hong Kong Geographic Concentration
As reported in recent financial disclosures, FGO achieved a 40.03% year-over-year revenue growth rate, suggesting that the firm is successfully capturing market share in the private credit and restructuring advisory space despite the broader contraction in Hong Kong's primary property transaction volumes.
The company's ability to scale top-line results by 40% indicates that its dual-track model is effectively pivoting toward counter-cyclical demand. Investors should monitor whether this growth is sustainable or if it relies on a few lumpy, non-recurring restructuring mandates that may not repeat in future periods.
Based on reported figures, FGO maintains a robust 78.53% gross margin, which appears to reflect the high-value, low-overhead nature of its specialized restructuring consultancy and digital mortgage marketplace platform compared to traditional, capital-intensive brokerage peers operating within the Hong Kong financial services sector.
This margin profile suggests significant pricing power and a scalable platform architecture that avoids the linear cost increases typical of traditional consulting firms. However, the sustainability of these margins may be threatened if regulatory oversight in Hong Kong increases compliance costs for non-bank mortgage intermediaries.
According to the company's financial statements, FGO holds approximately $16.2 million in cash, representing over 75% of trailing twelve-month revenue, which indicates a highly conservative liquidity position that may prioritize balance sheet safety over aggressive reinvestment or immediate capital distribution to shareholders.
While this cash-heavy position provides a significant buffer against market volatility, it may also imply a lack of immediate internal reinvestment opportunities or a strategic preference for maintaining dry powder. Analysts should investigate whether this liquidity is being held for potential acquisitions or if it reflects a cautious outlook on the firm's long-term growth prospects.
As indicated by the firm's operational footprint, FGO's 100% concentration in Hong Kong creates an unhedged exposure to local regulatory shifts and geopolitical risks that could fundamentally disrupt the Fundergo marketplace model if the HKMA tightens rules on non-bank mortgage referrals.
The reliance on a single jurisdiction for both brokerage and restructuring revenue suggests that the company's fortunes are inextricably linked to the stability of the Hong Kong financial hub. Investors should consider that any material change in the HKD peg or local interest rate parity with the USD could have an outsized, negative impact on the firm's bottom line.
Quick answers to the most common questions about buying FGO stock.
For fiscal year 2023, FG Holdings Limited Class A Ordinary Shares (FGO) reported total revenue of $21.3M. This represents a 158.5% increase compared to $8.2M in 2021.
FG Holdings Limited Class A Ordinary Shares (FGO) is profitable, generating $7.1M in net income for the fiscal year ending 2023 with a net profit margin of 33.2%.
FG Holdings Limited Class A Ordinary Shares (FGO) reported an operating income of $8.0M, resulting in an operating profit margin of 37.6%. This margin reflects the operational efficiency of the business before interest and taxes.
FG Holdings Limited Class A Ordinary Shares (FGO) generated $16.7M in gross profit for the year, representing a gross profit margin of 78.5%. This demonstrates the company's core pricing power and production efficiency.