Goldstream Investment (01328) has released a positive profit alert, forecasting a substantial increase in earnings for the first half of its fiscal year.

The company announced in a filing that it expects profit attributable to equity holders for the six months ending June 30, 2026, to be between approximately HKD 176 million and HKD 185 million. This represents a remarkable year-over-year growth of approximately 500% to 530% compared to the profit of about HKD 29.3 million recorded in the same period last year.

According to the company, the sharp rise in profit is primarily driven by two key factors. First, the group has seen increased returns from its investments in companies that are integrating artificial intelligence into their products to accelerate innovation cycles and enhance customer experiences. Second, the group has adopted AI within its own investment management business, which has not only improved its investment research and decision-making capabilities but also spurred growth in revenue from investment services. The company stated it will continue to leverage AI to empower and optimize all its business segments, including investment decisions, risk management, and portfolio construction. This strategic move is intended to gradually transform the company from a traditional diversified asset manager into an AI-driven provider of asset management technology solutions and services.

The directors attributed the net profit increase to several specific factors. These include: (i) a net fair value gain on financial assets and liabilities at fair value through profit or loss from direct investments under the SDI segment, rising from HKD 23.5 million in the prior period to between HKD 115 million and HKD 130 million; (ii) a net fair value gain from strategic investments under the SDI segment, increasing from HKD 5.9 million to between HKD 52 million and HKD 62 million; (iii) revenue from investment management services under the IM segment, growing from HKD 11.6 million to between HKD 20 million and HKD 21 million; (iv) share of profits from associates, rising from HKD 6.2 million to between HKD 20 million and HKD 30 million; and (v) operating expenses, which increased from HKD 18.1 million to between HKD 30 million and HKD 32 million, mainly due to the recognition of impairment losses on intangible assets.