Yue Yuen Industrial (Holdings) Ltd. (00551) fell more than 6% after reporting its earnings. As of the latest update, it dropped by 4.97%, trading at HKD 17.2, with a turnover of HKD 22.0617 million.
According to Zhitong Finance, Yue Yuen Industrial (Holdings) Ltd. (00551) fell more than 6% after the earnings release. As of the time of writing, it was down 4.97%, trading at HKD 17.2, with a turnover of HKD 22.0617 million.
In terms of news, Yue Yuen Industrial (Holdings) Ltd. announced its annual results, with revenue of approximately USD 8.031 billion, representing a year-on-year decrease of 1.8%; recurring profit attributable to owners of the company was about USD 367 million, a year-on-year decrease of 3.1%; profit attributable to owners of the company was approximately USD 381 million, a year-on-year decrease of 2.9%; basic earnings per share were 23.76 US cents, and a final dividend of HKD 0.9 per share has been proposed.
The announcement stated that during the period, the order fulfillment rate and capacity utilization rate in some manufacturing regions showed significant deviations from the average levels, leading to uneven capacity loads. Additionally, the initial investment for capacity ramp-up and the tariff allocation starting in the second half of the year negatively impacted the operational efficiency of the group's manufacturing business. Furthermore, within this fiscal year, the number of employees in the group’s manufacturing business increased by 4.3% year-on-year, while salary increases in various regions reached high single-digit percentages, significantly driving up labor costs and further pressuring the short-term profitability performance of the group’s manufacturing business.
