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ATGL

Alpha Technology Group Limited

ATGL

Alpha Technology Group Limited • NASDAQ
$23.11 ▼ -7.15% (-1.78)
Market Cap $352.72 M
52w High $57.32
52w Low $9.01
Dividend Yield 0%
P/E -2311
Volume 10
Outstanding Shares 15.26M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q4-2024 $3.166M ▲ $2.348M ▼ $-238.542K ▲ -7.535% ▲ $-0.031 ▲ $-487K ▲
Q2-2024 $3.012M ▼ $4.008M ▼ $-2.505M ▲ -83.192% ▲ $-0.33 ▼ $-2.095M ▼
Q4-2023 $3.145M ▼ $4.538M ▲ $-4.587M ▼ -145.838% ▼ $-0.044 ▲ $141.427K ▲
Q2-2023 $5.556M $4.3M $-2.404M -43.258% $-30.317 $-2.305M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q4-2024 $41.796M ▼ $59.818M ▼ $8.181M ▼ $51.637M ▼
Q2-2024 $43.746M ▲ $60.34M ▲ $8.226M ▼ $52.114M ▲
Q4-2023 $3.629M ▼ $40.531M ▼ $21.154M ▲ $19.377M ▼
Q2-2023 $11.388M ▲ $44.111M ▲ $20.145M ▲ $23.967M ▲
Q4-2022 $2.802M $6.557M $10.78M $-4.224M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q4-2024 $-238.542K ▲ $0 $0 $0 $0 $0
Q2-2024 $-2.505M ▲ $0 ▼ $0 ▲ $0 ▲ $0 ▲ $0 ▼
Q4-2023 $-4.587M ▼ $3.159M ▲ $-46.493K ▲ $-10.869M ▼ $-7.756M ▼ $3.11M ▲
Q2-2023 $-2.404M $861.837K $-10.025M $17.771M $8.608M $861.837K

Five-Year Company Overview

Income Statement

Income Statement ATGL’s income statement looks like that of a very young, early‑stage technology company. Revenue has only just started to appear and remains very small, while the company continues to post losses. The gross margin has turned positive, which is a mild positive sign, but operating and net results are still clearly in the red. In plain terms, the business model is not yet proven at scale, and the company is still in the “spend first, earn later” phase typical of emerging software and AI players.

Balance Sheet

Balance Sheet The balance sheet is simple and small, but relatively clean. Assets have been building up from a low base, with cash making up the bulk of what the company owns. There is effectively no financial debt, so leverage risk is low for now. Equity has been increasing, suggesting the company has been funded mainly through shareholders rather than borrowing. The flip side is that the overall resource base is still limited, so ATGL must be careful in how it allocates its cash to growth and R&D.

Cash Flow

Cash Flow Cash flow reflects a business that is investing ahead of revenue. Operating cash flow is negative, meaning the core operations are using cash rather than generating it. Capital spending is minimal, so the cash burn is largely driven by operating costs rather than heavy investment in physical assets. Free cash flow is negative but not extreme in absolute terms, consistent with a small but still‑developing tech company. Over time, ATGL will need either rising customer cash inflows or continued access to funding to support its plans.

Competitive Edge

Competitive Edge Competitively, ATGL is trying to carve out a niche in highly customized AI solutions rather than mass‑market tools. Its focus on bespoke AI platforms, OCR capabilities, and deep integration with clients’ existing systems can create strong relationships and switching costs if successfully executed. Being one of the first Hong Kong AI IT service firms listed on Nasdaq gives it some branding and signaling advantage. However, it operates in a fiercely competitive global AI landscape, surrounded by far larger players. Its small scale, early revenue stage, and ambitious scope create meaningful execution risk as it tries to turn technical capabilities into durable market share.

Innovation and R&D

Innovation and R&D Innovation is clearly the centerpiece of ATGL’s strategy. The company is working on custom large language models, advanced OCR, AI‑driven apps, and experiments at the intersection of AI, blockchain, and NFTs. The partnership with a leading university to build the “AlphaMind Lab” and the “Alpha Engine” indicates a push into deeper, more fundamental AI research aimed at lowering the cost and data needs for tailored AI models. If successful, this could be a differentiator, especially for smaller enterprises that cannot afford large‑scale AI projects. At the same time, these initiatives are long‑term, technically challenging, and unproven commercially, so there is substantial uncertainty about timing and payoff.

Summary

Overall, ATGL looks like an early‑stage AI infrastructure and services company with big ambitions and small but growing financials. The income statement and cash flows show a business still in build‑out mode, with modest cash resources, no debt, and ongoing losses as it invests in people and technology. Strategically, it is aiming at the high‑value end of the market: deeply customized AI solutions, AI+blockchain integrations, and advanced research partnerships. The opportunity is significant if it can convert innovation into recurring, scalable client work, but the risks are equally clear: limited scale, intense competition, and the challenge of turning cutting‑edge R&D into sustainable, profitable growth.