Hong Kong Technology Exploration (01137.HK): Catalyzed by Board Personnel Changes, Persistent Fundamental Challenges

Hong Kong Technology Exploration (01137.HK) has recently become a market hotspot, mainly due to the major board personnel change announcement released on December 18, 2025. Former independent non-executive director Lee Hon-ying resigned due to health reasons, and his position was taken over by Yeung Chu-kwong, with concurrent adjustments to the chairmanship of multiple committees including the Audit Committee and Remuneration Committee [1][2]. Notably, Yeung Chu-kwong is an alumnus of Munsang College with the company’s Chairman Ricky Wong Wai-kay. He joined the company’s predecessor City Telecom in 2005 and is Wong’s long-term business partner. This renewed collaboration has sparked market concerns about management stability [5].

From a business fundamentals perspective, the company’s e-commerce business is facing significant pressure. In November 2025, the total GMV of HKTVmall orders was HK$636 million, down 7.56% month-on-month and approximately 7.4% year-on-year. The average daily number of orders, order value, and number of unique customers all declined to varying degrees [3][4]. While facing pressure on the revenue front, the company is actively promoting business adjustments, including the launch of GreenLab, a business selling near-expiry goods at 30% of their original price. However, its first unmanned store in the UK ceased operations in December 2025, and its global cross-border shopping platform EVERUTS also stopped operating in March 2025 [2].

As of January 7, 2026, the company’s stock closed at HK$1.400, rising 0.72% intraday. From a long-term trend perspective, the stock has plummeted by 87.91% over 5 years, and has fallen 7.28% year-to-date, indicating persistent deterioration of long-term fundamentals [6]. However, its 1-year performance shows a slight increase of 2.94%, suggesting some support in the oversold zone recently. Today’s trading volume is only 226,000 shares, significantly lower than the average trading volume of 450,796 shares, which warrants vigilance against liquidity shrinkage risks.

From a technical analysis perspective, the stock price is currently fluctuating within a narrow range of HK$1.35-HK$1.45, with a 52-week trading range of HK$1.180-HK$2.360. Strong support is at the previous low of HK$1.35, initial resistance is at HK$1.42 (near the 20-day moving average), and medium-term resistance is at HK$1.60 (the 50-day moving average) [6]. Trading volume has remained below the average level, indicating a decline in market participation and a lack of significant institutional large-order involvement.

The communication services sector edged down 0.41% today, showing weak overall performance [7]. The Hong Kong e-commerce market is becoming increasingly competitive, with mainland platforms such as JD.com and Taobao continuing to expand in Hong Kong, exerting direct competitive pressure on local e-commerce players. Vice Chairman Ricky Wong Wai-kay once publicly stated that he hopes to join forces with mainland e-commerce platforms to “defeat physical retail”, but in the face of the reality of consecutive GMV declines, the effectiveness of this strategy remains to be verified [4]. Local retailers such as Japan Home Centre are also promoting reforms to cope with the impact of e-commerce, further intensifying the market competition landscape.

: The renewed collaboration between Yeung Chu-kwong and Ricky Wong Wai-kay is not just an ordinary personnel adjustment, but may signal a reshaping of the company’s strategic direction. Considering that the management has been in a period of adjustment since the resignation of the former chairman in August 2025, this appointment may aim to stabilize the core team and lay the foundation for subsequent business transformation. However, the specific role positioning of the new independent director and its impact on business strategies still require time to observe.

: As one of the largest local e-commerce platforms in Hong Kong, HKTVmall is facing a dilemma of “strong enemies ahead and pursuers behind”. Mainland e-commerce platforms continue to erode market share relying on supply chain advantages and price competitiveness, while local competitors are also accelerating their digital transformation. The year-on-year and month-on-month decline in the company’s November GMV reflects that the challenges to its market position are structural rather than short-term fluctuations. The effectiveness of operational adjustments such as suspending platform live streaming is limited, and the contribution scale of the new GreenLab business is not yet sufficient to offset the decline in the core business.

: With a current market capitalization of only HK$1.104 billion, the stock is a typical small-cap stock. Low average daily trading volume means that large transactions may cause significant fluctuations in the stock price. The continuous shrinkage of trading volume not only reflects a decline in market attention, but also means that the stock price may fall sharply once negative news emerges.

Risk Type	Specific Description	Risk Level
Sustained Business Decline	Consecutive GMV declines, with simultaneous drops in order volume, average order value, and user count	High
Intensified Competition	Mainland platforms such as JD.com continue to expand in the Hong Kong market	High
Uncertainty of New Businesses	New businesses such as GreenLab contribute little, and the UK business has ceased operations	Medium-High
Liquidity Risk	Trading volume is only 50% of the average, and large transactions may affect the stock price	Medium-High
Management Adjustment Period	The management is still in the integration stage after the chairman’s resignation	Medium
Valuation Risk	Market capitalization is only HK$1.1 billion, and small-cap stocks have high volatility	Medium

Despite facing numerous challenges, the company still has certain value foundations. HKTVmall’s brand value and user base as one of the largest local e-commerce platforms in Hong Kong remain intact, and the long-term cooperative relationship between Yeung Chu-kwong and Ricky Wong Wai-kay may bring positive impacts to management stability. The company’s active attempts to expand new business models indicate that the management is aware of the urgency of transformation. If new businesses can effectively contribute incremental revenue, they may become a catalyst for valuation recovery.

Short-term catalysts include: whether trading volume can recover to above the average level, strategic statements after the new management takes office, and whether December and January GMV data can stop falling and rebound. In the medium term, attention should be paid to the impact of the overall performance of the Hang Seng Index on this small-cap stock, as well as whether the Lunar New Year consumer peak season can bring a business boost.

This analysis is based on public market information from Futu NiuNiu, AASTOCKS, Cailianshe, AM730, Hong Kong 01, Yahoo Finance [1][2][3][4][5][6], as well as internal data from the Jinling Analysis Database [0][7].

Hong Kong Technology Exploration (01137.HK) has become a hot stock primarily driven by the catalyst of board personnel changes. The company’s fundamentals face multiple challenges, including sustained e-commerce GMV declines, intensified competition, and unproven effectiveness of new businesses. The stock is in a long-term oversold zone, but the sustainability of a rebound without fundamental support is questionable. In the short term, it may fluctuate with the broader market; in the medium term, attention should be paid to whether the new management can drive business improvements. The shrinking trading volume and nearly 88% drop over 5 years indicate that this stock is a high-risk target, and investors should fully understand the relevant risks before making prudent decisions.

: The data in this report is as of January 7, 2026. Market conditions may change rapidly, and investors are advised to continuously pay attention to the company’s announcements and the latest financial data.