Industrial and commercial east Asia said 2000.HK 's full-year results were weaker than expected, with net profit down 40 per cent from the previous year and expected to fall 20 per cent, due to reduced profit margins as a result of increased competition. Given the slowdown in the Chinese economy and the global recession, 2009 will be a tough year for the company, the bank said. Earnings are unlikely to recover significantly. Industrial and Commercial East Asia maintained its neutral rating, lowering its target price to HK $0.58 from HK $0.70, based on a price-to-earnings ratio of 6 times forecast earnings for fiscal 2009, after cutting its profit forecast for fiscal 2009 by 20 per cent.

As Morning News Technology was hit by weak performance, the stock fell 17.46 per cent to HK $0.52 yesterday.