MTT Group Holdings (2350) H1 2026 earnings summary

Executive summary

• H1 FY2026 revenue rose 43.2% YoY to HK$315.375m; net loss narrowed to HK$14.536m from HK$18.222m.

• AI server-led distribution growth more than offset lower System Integration Solutions revenue, while gross margin contracted amid lower selling prices and weak demand.

Financial highlights

• Revenue was HK$315.375m versus HK$220.276m; cost of sales and services rose to HK$291.285m from HK$198.745m.

• Gross profit increased to HK$24.090m from HK$21.531m; gross margin fell to 7.6% from 9.8%.

• Loss before tax was HK$16.061m versus HK$19.268m; net loss was HK$14.536m versus HK$18.222m, and basic loss per share was HK2.33 cents versus HK2.92 cents.

• Selling and distribution expenses declined 23.5% to HK$13.0m; administrative expenses rose 49.7% to HK$22.9m, partly due to SI expert hiring from August 2024.

Segment performance

• Distribution revenue increased 106.8% to HK$219.425m from HK$106.072m, mainly on AI server equipment; segment result rose to HK$10.549m from HK$3.891m.

• System Integration Solutions revenue fell 15.9% to HK$95.950m from HK$114.204m due to fewer orders; segment result declined to HK$13.541m from HK$17.640m.

• Distribution revenue included HK$218.0m from IT product distribution and HK$1.4m from implementation services; SI solutions revenue included HK$86.8m IT procurement.