Hisense HA (00921) shares plummeted 6.50% during the intraday trading session, as investors reacted to the company's latest financial results. The stock was trading at HK$22.62 with a turnover of HK$103 million by press time, reflecting market concerns over the company's performance.

The appliance manufacturer reported mixed results for the first three quarters of the year. While overall revenue increased by 1.35% year-on-year to RMB71.53 billion, and net profit attributable to shareholders rose slightly by 0.67% to RMB2.81 billion, the third quarter results painted a different picture. Q3 revenue saw a modest increase of 1.16% year-on-year to RMB22.19 billion, but net profit declined by 5.4% to RMB740 million compared to the same period last year.

Analysts attribute the pressure on Q3 revenue and profit to weaker performance in the central air-conditioning segment and volatility in overseas sales. Industry data revealed diverging trends across product categories, with domestic sales remaining relatively stable while overseas markets faced short-term challenges. Multi-split air conditioner sales grew by 2.1% year-on-year in July-August, with domestic sales up 2.7% but overseas sales down 3.1%. Household air conditioner sales increased by 4.7%, showing strong domestic growth of 40.7% but a 19.8% decline in overseas markets. Similarly, refrigerator sales rose by 3.4%, with domestic sales surging 25.9% while overseas sales fell by 7.6%. The contrasting performance between domestic and international markets, coupled with the weaker central air-conditioning segment, appears to have dampened investor sentiment, leading to the sharp decline in Hisense HA's stock price.