Trending Stock Analysis: Hong Kong Technology Exploration (01137.HK) - Weak Business Data and Mounting Challenges

Hong Kong Technology Exploration Limited is the parent company of HKTVmall, Hong Kong’s major e-commerce platform, and also operates telecommunications services. Its stock code is 01137.HK (or 1137.HK), closing at HK$1.38 on January 7, 2026, down 0.72% on the day, with 307,000 shares traded and a turnover of approximately HK$427,000 [2][4]. From a technical indicator perspective, the current stock price has dropped about 28.5% from the year’s high of HK$1.93, with a price-to-earnings ratio of approximately -17 times (due to sustained losses), a price-to-book ratio of around 0.70 times, and a net asset value per share of approximately HK$1.963, representing a certain discount [4].

HKTVmall released its November order data in December 2025, showing total gross merchandise value (GMV) of HK$636 million, a year-on-year decline of 7.4% and a month-on-month decline of 7.56% [5][6][7]. Specifically, average daily order transaction value was HK$21.2 million, down 4.5% month-on-month; average order value was HK$434, down 13.7% year-on-year; number of unique customers was 603,000, a month-on-month decrease of 2.74%. Although GMV had increased 6% month-on-month to HK$688 million in October, driven by the “October Thanksgiving Sale” promotion [8], the overall growth trend has clearly slowed, reflecting the company’s growth bottlenecks in Hong Kong’s e-commerce market.

HKTVmall opened its first unmanned store “In:Five” in Manchester, UK in August 2023, but the store announced suspension of operations in early December 2025. Currently, only the Manchester MediaCity branch remains in trial operation across the UK [5]. This news indicates a major setback for the company’s overseas expansion strategy, dampening its ambitions for cross-border expansion.

On December 19, 2025, the company announced the appointment of Ricky Yeung Chu-kwong, former Executive Vice-Chairman and Group Chief Executive Officer of Hong Kong Broadband (01310.HK), as an independent non-executive director, effective January 1, 2026 [5]. Yeung will receive an annual director’s fee of HK$308,800. This move is regarded by the market as an important measure for the company to introduce professionals with telecommunications industry backgrounds and strengthen corporate governance.

Wong Wai Kei, Vice-Chairman and Chief Executive Officer of the company, publicly criticized on social media in November 2025 that the page design of JD.com (09618)'s mobile app for the Hong Kong and Macau markets copied HKTVmall [10]. This dispute not only reflects the intensifying competition in Hong Kong’s e-commerce market but also sparked market discussions on the company’s competitive strategy and market position. Mainland e-commerce giants like JD.com are accelerating their entry into the Hong Kong market, forming direct competitive pressure on HKTVmall.

According to market sources, the company is “focusing on its core business,” ending JD.com-style campaign marketing and shifting to a sustained marketing model for HKTVmall [8]. Meanwhile, the company is actively developing cross-border e-commerce business, opening an “HKTVmall Cross-border E-commerce” account on Xiaohongshu, and participating in the Quanzhou Cross-border E-commerce Supply Chain Renewal Conference [9]. Management stated that advertising investment will reach HK$250 million next year, aiming to increase monthly users to 2 million.

The company distributed a special dividend of HK$0.38 in March 2025 [4]. Some market voices criticized that this move mainly benefited major shareholders such as founder Wong Wai Kei and Cheung Tsz Kin (totaling approximately HK$292 million), sparking discussions on corporate governance [11]. The sustainability of this high dividend distribution method has been questioned.

The company’s 2025 interim results showed an attributable loss of HK$23.2 million (approximately HK$23,205,000), widening by 15.55% compared to the same period last year, with a loss per share of HK$0.03 [4]. The company has recorded losses for multiple consecutive reporting periods, reflecting the ongoing challenges to the profitability of its e-commerce business.

From a financial perspective, the company is operating at a loss. The negative price-to-earnings ratio indicates market concerns about its future profitability. Although the distribution of a special dividend shows that the company still has certain cash capabilities, the current loss situation and intense market competition environment make its financial prospects uncertain. There is a discount of approximately 30% between the net asset value per share of HK$1.963 and the current stock price of HK$1.38 [4], indicating that the market’s valuation of the company is relatively conservative.

The analysis reveals several noteworthy risk factors. First, the

is prominent: the company has recorded losses for multiple consecutive reporting periods, and its interim loss for 2025 further widened, casting doubt on its future profitability [4]. Second, is intensifying: e-commerce giants like JD.com are accelerating their entry into the Hong Kong market, putting HKTVmall under unprecedented competitive pressure [10]. Third, : November order data recorded year-on-year and month-on-year declines, indicating weak market growth, which may signal market share shrinkage [5][6]. Fourth, : the suspension of UK unmanned stores indicates setbacks in overseas expansion, which may affect the company’s diversification strategy [5]. Fifth, : the special dividend distribution is considered to benefit major shareholders, sparking discussions on conflicts of interest between management and minority shareholders [11].

The current dividend yield of 27.43% is mainly driven by the special dividend, which is not sustainable and may mislead investors seeking stable returns. In addition, the negative price-to-earnings ratio indicates that the company has not yet achieved stable profitability, and investors need to be alert to valuation traps.

Despite the numerous risk factors, the company still has several potential opportunities.

is a direction the company is actively expanding, which aligns with national policy development directions [9] and may bring new growth points for the company. The demonstrates management’s commitment to business development; advertising investment is expected to reach HK$250 million next year, with the goal of increasing monthly users to 2 million [8]. to introduce professionals like Ricky Yeung Chu-kwong may improve corporate governance standards and operational efficiency. As a leading local e-commerce platform in Hong Kong, HKTVmall still has a certain brand reputation and user base in the Hong Kong market.

From a price trend perspective, the stock price has dropped approximately 28.5% from HK$1.93 at the start of the year to HK$1.38, and has been fluctuating in the range of HK$1.38-HK$1.40 over the past month. The daily trading volume of 307,000 shares is at a relatively low level, reflecting limited market attention [2].

: On the upside, if the stock price breaks through HK$1.45, it may test the resistance level of HK$1.50; on the downside, HK$1.30 is an important psychological support level, and a break below may lead to a test of the year’s low of HK$0.956. Investors should pay attention to the release of the 2025 full-year results (expected in March 2026) and changes in order data for subsequent months.

The core reasons for Hong Kong Technology Exploration (01137.HK) becoming a trending stock are weak business data amid multiple challenges: November GMV decline, contraction of UK business, intensified competition with JD.com, and corporate governance discussions triggered by sustained losses and dividend disputes. The company has weak fundamentals (sustained losses, slow growth) and is in a downward trend technically, but cross-border e-commerce expansion and management adjustments may serve as potential catalysts. This stock is suitable for investors with high risk appetite to follow, and close attention should be paid to the progress of business transformation and changes in the competitive landscape.

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This report is compiled and analyzed based on public market information, for reference only, and does not constitute investment advice. Investors should make independent judgments and be aware of risks.