Changhong Jiahua Holdings reports strong first-half 2025 growth, boosted by ICT

Changhong Jiahua Holdings Limited reported robust performance for the six months ended June 30, 2025, with revenue increasing 9.76% to HK$21,168.69m, up from HK$19,286.17m in the prior period. Profit attributable to shareholders rose 10.16% to HK$181.19m, compared to HK$164.48m in the first half of 2024. Basic earnings per share climbed to HK$7.05 cents from HK$6.40 cents. The gross margin, however, slightly decreased to 3.07% due to intense market competition.

The company's total comprehensive income surged to HK$241.06m from HK$134.94m, primarily influenced by RMB exchange rate fluctuations. The ICT corporate products distribution business was a key growth driver, with turnover increasing 23.67% to HK$8,378.27m, capitalizing on the explosive growth in AI. However, profit for this segment decreased 8.08% due to fierce market competition. The ICT consumer products distribution business saw a slight turnover decrease of 0.28% to HK$8,471.25m, but its profit increased 5.62%. Other businesses, primarily smartphone related, grew turnover 7.53% to HK$4,319.18m and profit 21.23% to HK$45.10m.

As of June 30, 2025, the Group maintained a healthy financial position with net current assets of HK$2,976.75m and cash and bank balances amounting to HK$3,371.76m. The net gearing ratio stood at 3.59 times. The board did not recommend a dividend payment for the six months ended June 30, 2025.