CH INNOVATION (01217) has announced its interim results for the six months ended June 30, 2026, revealing a sharp swing into losses. The company recorded a turnover of HK$775 million, marking a 13.43% increase year-on-year, yet it posted a loss attributable to shareholders of HK$61.5 million, contrasting sharply with the HK$23.1 million profit reported in the corresponding period last year. Basic loss per share stood at 0.481 HK cents.
The shift from profit to loss is primarily attributed to a combination of volatile Hong Kong stock market conditions, deteriorating market sentiment, and a reversal in the performance of listed securities within the local internet and information technology sector. These factors collectively generated net realized and unrealized losses on investments measured at fair value through profit or loss. During the first half of 2026, the Hang Seng Internet and Technology Index declined by approximately 30%.