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MEGL

Magic Empire Global Limited

MEGL

Magic Empire Global Limited • NASDAQ
$1.30 ▲ 2.25% (+0.03)
Market Cap $10.48 M
52w High $3.06
52w Low $0.46
Dividend Yield 0%
P/E -5.2
Volume 3.24K
Outstanding Shares 8.06M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q4-2024 $5.064M ▼ $-2.357M ▼ $-5.358M ▼ -105.805% ▼ $-1.06 ▼ $-2.569M ▼
Q2-2024 $7.72M ▲ $9.225M ▼ $627.982K ▲ 8.134% ▲ $0.12 ▲ $0 ▼
Q4-2023 $7.711M ▲ $9.375M ▲ $-1.211M ▼ -15.706% ▼ $-0.06 ▼ $2.91M ▲
Q2-2023 $6.081M ▲ $7.312M ▼ $727.187K ▲ 11.958% ▲ $0.036 ▲ $-1.149M ▼
Q4-2022 $3.117M $9.245M $-5.318M -170.619% $-0.28 $1.257M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q4-2024 $127.512M ▲ $136.143M ▼ $6.605M ▲ $129.538M ▼
Q2-2024 $92.659M ▲ $136.581M ▼ $1.685M ▼ $134.896M ▲
Q4-2023 $92.408M ▼ $138.257M ▼ $3.989M ▲ $134.268M ▼
Q2-2023 $94.348M ▼ $142.498M ▼ $109.794K ▼ $137.061M ▲
Q4-2022 $121.814M $144.107M $1.068M $136.334M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q4-2024 $-5.358M ▼ $-4.65M ▼ $39.754M ▲ $0 $127.512M ▲ $-4.65M ▼
Q2-2024 $627.982K ▲ $0 $0 $0 $0 $0
Q4-2023 $-1.211M ▼ $0 $0 $0 $0 $0
Q2-2023 $727.187K ▲ $0 ▲ $0 $0 ▲ $0 ▼ $0 ▲
Q4-2022 $-5.318M $-4.496M $0 $-3.8M $4.957M $-4.496M

Five-Year Company Overview

Income Statement

Income Statement MEGL’s income statement shows a very small, advisory-style business that has been hovering around break-even. Revenue has been tiny and fairly flat over several years, suggesting limited scale and modest deal flow. Profitability looks fragile: operating performance recently slipped into a small loss after earlier years that were roughly at or just above break-even. Earnings per share have been quite volatile relative to the company’s size, which often happens when profits are very small and share count changes. Overall, the income statement points to a niche, early-stage or subscale advisory firm rather than a mature, profit-generating platform.

Balance Sheet

Balance Sheet The balance sheet is simple and very light: most assets are cash, with little in the way of physical or long-term investments. The company currently carries no meaningful debt, and shareholders’ equity makes up almost all of the capital structure. This means financial leverage is low and there is some cushion against short-term shocks, as long as cash outflows stay under control. The asset base remains small in absolute terms, so while the balance sheet looks clean, the room for prolonged operating losses is not unlimited. In short, MEGL is asset-light, mostly funded by equity, and relies heavily on its cash reserves to support the business.

Cash Flow

Cash Flow Reported cash flow figures round to roughly zero, which usually indicates that operating, investing, and financing cash movements are very small or offsetting at this scale. There is no sign of heavy investment spending, which fits an advisory business that does not need big capital projects. The lack of visible, strong positive operating cash flow also aligns with the near break-even income pattern. This suggests the company is managing to keep cash burn modest, but it does not yet show a clear, self-funding cash engine. Sustainability will depend on keeping costs tightly controlled until advisory and corporate service revenues scale up.

Competitive Edge

Competitive Edge MEGL operates as a boutique financial advisory firm in Hong Kong’s capital markets, competing with much larger banks and advisory houses. Its strength lies in niche expertise, a high-touch service model, and specialization in guiding companies through IPOs and regulatory processes in a complex local environment. The firm is trying to deepen its moat by offering a “one‑stop” bundle of services, from pre‑IPO advisory to post‑listing compliance and corporate services, which can make client relationships more long‑term and sticky. However, its small size, dependence on the health of Hong Kong’s listing market, and intense competition from larger, better-known players leave its competitive position exposed to market cycles and reputation risk. The business is best viewed as a focused niche player rather than a dominant market force.

Innovation and R&D

Innovation and R&D MEGL does not appear to rely on heavy technology R&D; its main “innovation” is in how it packages and delivers services rather than in proprietary tools. The strategic move to become a full-service, one‑stop provider—adding accounting, secretarial, internal control, and investor relations advisory—represents an important business-model shift. This integrated offering can increase cross-selling opportunities, deepen client relationships, and smooth revenue across different stages of a client’s life cycle. Future innovation is more likely to come from expanding this service suite geographically and sector-wise, and from forming partnerships, than from developing new technologies in-house. The key question is execution: can MEGL scale these new services fast enough, and with sufficient quality, to move the needle for such a small platform?

Summary

Overall, MEGL looks like a very small, Hong Kong-based advisory boutique that is still in the early stages of building sustainable scale. The income statement shows a business hovering around break-even with fragile profitability, while the clean, cash-heavy, debt-free balance sheet provides some short-term safety but limited depth. Cash flows are modest and not yet clearly robust, underscoring the importance of growing fee income without letting costs run away. Competitively, the company leans on niche expertise and a one‑stop, relationship-driven model, but it faces powerful larger rivals and cyclical deal activity. Its main “innovation” is strategic—broadening into integrated corporate services rather than investing in heavy R&D. The long-term trajectory will hinge on whether this expanded model can attract a broader, more stable client base in Hong Kong and potentially across other Asian markets.