HK Stock Movement | DAMAI ENT (01060) Surges Over 6% as Profit Alert Exceeds Market Expectations, IP Expansion Drives Growth

Stock News
11/10

DAMAI ENT (01060) rose more than 6%, reaching a 5.32% increase at the time of writing, trading at HKD 0.99 with a turnover of HKD 49.24 million. The surge follows the company's recent profit alert, with Morgan Stanley noting that DAMAI ENT's IP expansion and new retail initiatives are expected to drive higher growth rates. Goldman Sachs highlighted that DAMAI ENT's H1 FY2026 profit forecast anticipates attributable net profit of no less than RMB 500 million, surpassing Goldman's estimates by 7%. The company attributed the significant profit growth to strong year-on-year performance in its Aliyu business and a narrowing of investment losses. For the upcoming H1 FY2026 results (April–September period), set for release after market close on November 13, Goldman Sachs projects total revenue of RMB 3.7 billion, up 20% YoY, primarily driven by an 84% YoY increase in the IP business segment. Goldman expects sustained strong contributions from Sanrio China, while newly introduced IPs (including Chiikawa) will double the gross merchandise volume (GMV) of Aliyu. The bank believes Aliyu's growth will outpace Sanrio China, given the new IP contributions and expanded product sales.

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