Citigroup's report stated that vtech holdings (00303.HK) performed slightly below expectations for the 2025 fiscal year, with a 4.5% decrease in revenue, mainly due to adjustments in Gigaset sales after being included in the group's accounts; net profit fell by 6.6% to $87.4 million. The bank estimates Gigaset's initial contribution to the group to be about 4%. Management mentioned that Gigaset's running rate had improved to pre-acquisition levels in October, so Gigaset has started to reach a break-even point.

The bank maintains a 'buy' rating on vtech holdings with a target price of 65 yuan, expecting a dividend yield of about 10% in 2025, and keeping its profit forecasts for 2025 to 2027 unchanged.