BOSA Technology (8140) H1 24/25 earnings summary

Executive summary

• Revenue for the six months ended 31 December 2024 was HK$39.9 million, down 19.3% year-over-year due to fewer new projects and customers.

• Net profit and total comprehensive income fell 28.4% to HK$9.9 million compared to the same period last year.

• The Group remains focused on mechanical splicing services for reinforced concrete construction in Hong Kong, serving both public and private sector projects.

• No dividend was declared for the period.

Financial highlights

• Revenue decreased from HK$49.5 million to HK$39.9 million, a 19.3% decline year-over-year.

• Gross profit dropped 10.9% to HK$21.2 million.

• Net profit and total comprehensive income attributable to owners was HK$9.9 million, down 28.4%.

• Earnings per share were 1.24 HK cents, compared to 1.73 HK cents a year earlier.

• Administrative expenses increased by 10.2% to HK$11.4 million, mainly due to higher staff costs.

Outlook and guidance

• The construction business in Hong Kong is expected to remain steady to slow in the short to medium term.

• Government stimulus and infrastructure initiatives may provide growth opportunities, but high interest rates, US-China relations, and geopolitical tensions pose uncertainties.

• Fluctuations in TWD and steel prices may impact material costs and gross margin.

• The Group will continue to monitor pricing and costs to maintain reasonable margins.