Shares of BAMA TEA (06980) have surged more than 13%. At the time of writing, the stock is up 13.15% to HK$23.58, with a turnover of HK$9.03 million.

The catalyst for this movement is the company's recently released profit forecast for the first half of 2026. Analysis indicates the company expects H1 2026 revenue growth of no less than 30% and net profit growth of no less than 60%, exceeding market expectations.

A review of recent performance shows that revenue declined by 4.2% year-on-year in H1 2025, grew by 9.6% in H2 2025, and is now projected to increase by at least 30% in H1 2026. This trajectory indicates that after a period of strategic adjustment in early 2025, the company resumed solid growth in the latter half of that year and is now experiencing robust expansion in the first half of 2026. This strong performance is primarily attributed to the continuous expansion of its franchise, online, and key account channels.

Furthermore, the net profit growth of no less than 60% for H1 2026 suggests a net sales margin of at least 13.9%, representing a year-on-year improvement of 2.6 percentage points and signaling steady enhancement in profitability.

Market observers note that since 2025, BAMA TEA has deepened its focus on key accounts within its channel strategy. It has also integrated the tea-tasting experience with spatial design to create urban social hubs, and has actively embraced new trends in digital operations. The positive feedback from these channel and operational innovations is now being effectively realized.

With the company's current valuation considered to be in a low range, its short-term operational momentum is seen as persistently positive. In the medium to long term, leveraging its strong brand heritage, standardized quality control capabilities, and comprehensive omni-channel strategy, BAMA TEA is well-positioned to further increase its brand concentration and market share.