On June 30th, Huabao International (0336.HK) rose 23.5% to HK $6.19, a five-month high, and the total market value returned to HK $20 billion.
The company issued a profit warning on the 28th and expects to make a pre-tax profit of about 407 million yuan for the five months ended May 31, 2022, down about 27% compared with the same period last year. Mainly due to the impact of the epidemic and the international situation during the period, resulting in reduced market demand and rising cost of raw materials.
It is worth mentioning that at the end of May, the group members received further purchase orders from Guangdong China Tobacco Co., Ltd.