East Buy (01797) surged 5.21% during intraday trading on Tuesday, extending its rally as investors reacted to the company's upbeat profit forecast and a reiterated Buy rating from Citi.

The company previously issued a positive profit alert, guiding for FY2026 total revenue of 5.6 billion to 5.8 billion RMB, representing year-over-year growth of approximately 27.3% to 31.8%. Net profit is expected to reach 5.2 billion to 5.5 billion RMB, a staggering increase of over 85 times from just 6 million RMB in the prior fiscal year. Citi reiterated its Buy rating with a target price of 33 HKD, noting that at the guidance midpoint, revenue exceeds market consensus by roughly 9%, while net profit also surpasses the street estimate of 4.8 billion RMB.

Management attributed the dramatic profit surge primarily to the continued expansion of its private-label product portfolio and ongoing product mix optimization. The company's audited full-year results are scheduled for release on August 21, which could serve as another potential catalyst for the stock.