According to the latest data from the Hong Kong Stock Exchange, on August 27, a shareholder of BLOKS (00325) deposited shares into Futu Securities International Hong Kong, with a market value of HK$2.369 billion, representing 8.55% of the company.

Recently, BOC International released a research report stating that BLOKS needs time to prove its ability to deliver stable profits, but expects its strong IP portfolio to make it highly competitive in both domestic and overseas markets. The firm maintains a "Buy" rating while lowering the target price from HK$174.1 to HK$132.7, and reducing profit forecasts for fiscal years 2025-27 by 24%, 20% and 17% respectively.

BLOKS' first-half revenue grew 28% year-on-year, but adjusted net profit only increased 10%, falling short of higher market expectations. The firm believes that the company's delayed product launches dragged down revenue during the period, and the company's advance expenditures may affect its short-term profitability. However, as the company prepares to launch more products, second-half revenue growth is expected to accelerate to 70-80% year-on-year.