Infinity Development Holdings reported a 13.8 per cent slide in net profit to HK$48.8 million for the six months ended Mar 31 2026, as weaker sales and foreign-exchange losses offset tight cost controls.

Basic earnings per share fell to HK16.02 cents from HK20.10 cents a year earlier. The board declared an interim dividend of HK7.9 cents a share, down from HK10.2 cents a year ago, payable on Jun 18 2026 to shareholders on record as at Jun 8 2026.

Group revenue edged down 1.9 per cent year-on-year (YoY) to HK$401.5 million. Profit before tax dropped 12.3 per cent to HK$61.1 million, reflecting a HK$1.3 million net foreign-exchange loss versus a HK$5.9 million gain a year ago, and a 4.5 per cent decline in gross profit to HK$146.6 million.

Geographically, Vietnam remained the largest contributor with HK$237.9 million in revenue (up 1.1 per cent YoY), followed by Indonesia at HK$61.6 million (down 5.5 per cent) and mainland China at HK$53.2 million (up 4.6 per cent). Sales to Bangladesh fell 16.7 per cent to HK$45.2 million.

Operating cash flow rose to HK$113.5 million from HK$72.2 million, supporting a net cash position of HK$425.4 million at end-March. Capital expenditure reached HK$12.1 million, mainly for the group’s new Indonesian plant.

Management said it will maintain a “highly prudent” stance amid raw-material cost volatility linked to Middle-East tensions. Key initiatives include completing licensing for the new Indonesian factory in the first half of calendar 2026, expanding Southeast-Asia capacity and intensifying research into water-based, environmentally friendly adhesives.

While visibility for the rest of the financial year remains limited, the group expects medium-to-long-term demand for high-quality footwear adhesives to stay firm, driven by rising environmental standards and ongoing partnerships with global shoe manufacturers.