Minhua Holdings (01999) rose more than 6%4deucespoker, as of press time, up 54deucespoker.77%, at HK$7.33, with a turnover of HK$220 million.
On the news front, Minhua Holdings released its annual results for the year ended March 31, 2024, with total revenue of HK$18.799 billion, a year-on-year increase of 5.68%; profit attributable to equity owners of the company was HK$2.302 billion, a year-on-year increase of 20.23%. The company plans to pay a final dividend of 15 Hong Kong cents per share, compared with 10 cents for the same period last year.
Bank of America Securities pointed out that the company's 2024 fiscal year performance exceeded expectations, mainly driven by improved profit margins. Since the mainland government launched a series of support measures at the end of April, the market currently expects that real estate policies will be further relaxed. Bank of America expects Minhua to benefit from improved market sentiment and currently basically maintains its forecast for the 2025 fiscal year, with revenue and earnings expected to increase by 9%. The "Buy" rating was reiterated and the target price was raised to HK$10. In addition, CICC and Citigroup raised their target prices to HK$9 and HK$10.5 respectively.
