UB Group Holdings (08529) fell more than 15%. The stock has been trending down since its listing on Monday, and has fallen nearly 40% in three trading days, dropping below the issue price of HKD 0.5.
According to the Wisdom Finance app, UB Group Holdings (08529) fell more than 15%. The stock has been trending down since its listing on Monday, and has fallen nearly 40% in three trading days, dropping below the issue price of HKD 0.5. As of the time of publication, it fell by 14.74%, to HKD 0.405, with a turnover of HKD 6.4878 million.
It is reported that UB Group Holdings is a manufacturer of precision engineering plastic castings for back-end semiconductor transmission media. The company's revenue mainly comes from the sales of back-end semiconductor transmission media products, trays and tray-related products, and carrier tapes. It is worth mentioning that the part of UB Group Holdings' public offering received 2,503.03 times oversubscription, making it the fifth largest new share in Hong Kong history. In addition, it is also the first listed company on Hong Kong's Growth Enterprise Market (GEM) in nearly three and a half years.
However, the company's performance is not optimistic, as tray products have seen reduced sales due to semiconductor slowdown and the US procurement ban and the average selling price of tray products is also declining. The prospectus shows that from 2021 to 2023, UB Group Holdings' revenue will be about HKD 203 million, HKD 258 million, and HKD 189 million respectively, with a compound annual growth rate of -3.51%; gross profit will be about HKD 87 million, HKD 102 million, and HKD 72 million respectively; net income has shown a cliff-like decline, with about HKD 26 million, HKD 22 million, and HKD 5 million respectively, with a compound annual growth rate of -56.31%.