Eagle Nice (International) Holdings reported mixed results for the year ended 31 March 2026. Revenue inched up 4.4% to HK$5.02 billion, supported by ramp-up of the Long An (Vietnam) facility and initial contributions from the new Bandung (Indonesia) plant. However, higher operating costs—driven by U.S. tariff headwinds, RMB appreciation and increased investment in high-end product capability—compressed profitability.

Profit attributable to owners fell 20.1% year on year to HK$173.56 million, pushing the net margin down to 3.5% from 4.5% a year earlier. Earnings per share declined to HK30.2 cents from HK38.5 cents.

Gross profit slid 9.9% to HK$696.08 million, and the gross margin narrowed by 2.2 percentage points to 13.9%. Profit before tax decreased 21.6% to HK$253.82 million, while finance costs eased 7.7% to HK$63.72 million on slightly lower borrowing levels and reduced interest rates. Selling and distribution expenses fell 38.9% to HK$24.31 million after a major customer assumed logistics costs, whereas administrative expenses were broadly stable at HK$358.27 million.

The Board recommended a final dividend of HK2 cents per share (FY25: HK4 cents). Combined with the interim dividend of HK24 cents, the full-year payout remains HK26 cents, equating to an 86.0% payout ratio (FY25: 68.7%).

Cash and bank balances rose to HK$700.24 million, up from HK$387.39 million, while total interest-bearing bank borrowings stood at HK$1.43 billion. Net gearing improved to 37.6%, down from 58.1% a year earlier. Inventories declined 14.3% to HK$824.78 million, and net current assets increased to HK$289.88 million (FY25: HK$48.25 million).

By geography, Mainland China contributed HK$2.55 billion, or 50.9% of group sales; the United States and Europe accounted for HK$1.15 billion and HK$0.58 billion respectively, bringing the three regions’ combined share to 85.3% of total revenue. Customer concentration remained high, with the top three clients generating 94.3% of sales.

Looking ahead, management plans to optimise its globally diversified manufacturing footprint—spanning five plants in China, three in Vietnam and two in Indonesia—while accelerating automation via its newly launched “Intelligent Factory” in Jingmen. The group intends to deepen partnerships with leading international sportswear brands, target emerging premium labels and pursue sustainable, AI-enabled production to support long-term growth.