DAMAI ENT (01060) Surges Over 16% as "Letter to Grandma" Continues Box Office Success, Passing 5 Billion Mark

Stock News
05/18

DAMAI ENT (01060) has surged more than 16%. At the time of writing, the stock is up 16.67% to HKD 0.77, with a turnover of HKD 231 million. The catalyst is the ongoing success of the film "Letter to Grandma." With a production cost of only RMB 14 million, a cast of non-professional actors, and entirely in the Chaoshan dialect, the film's popularity continues to grow. According to Maoyan Professional data, as of the evening of May 17th, this May Day holiday release has seen its single-day box office exceed RMB 100 million for two consecutive days. Since its release, its total box office (including pre-sales) has surpassed RMB 5 billion. The latest forecast from Maoyan Professional predicts the film's total box office will reach RMB 14 billion. It is reported that Beijing DAMAI ENT Culture Co., Ltd. is among the film's co-producers. Furthermore, DAMAI ENT recently announced an expectation that the net profit attributable to the company's owners for the 12 months ending March 31, 2026, will be no less than RMB 700 million, compared to approximately RMB 364 million in the same period last year. Goldman Sachs research notes that DAMAI ENT will release its results in late May, with the bank forecasting a robust 25% growth each for the company's core business (IP and ticketing revenue) and profit for the 2026-2027 fiscal year, alongside narrowing losses in the film business and stable profit margins.

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