Hung Hing Printing reports HK$61.15 million interim loss; revenue up 10.51 % and HK1-cent dividend declared

Bulletin Express
Sep 11

Hung Hing Printing Group announced unaudited results for the six months ended 30 June 2026.

Revenue and profitability • Group revenue rose 10.51 % year-on-year to HK$1.03 billion, driven mainly by the Book & Package Printing and Consumer Product Packaging segments. • Gross profit increased 2.55 % to HK$107.73 million; gross margin slipped to 10.4 % from 11.2 %. • Operating loss widened to HK$62.30 million (1H 2025: HK$48.88 million). • Loss attributable to equity shareholders expanded to HK$61.15 million, equivalent to a basic and diluted loss per share of HK6.7 cents (1H 2025: HK5.4 cents).

Segment review • Book & Package Printing: revenue HK$710.26 million (+9.72 %); segment loss HK$52.81 million (1H 2025: HK$22.14 million). • Consumer Product Packaging: revenue HK$171.73 million (+18.83 %); segment loss narrowed to HK$9.00 million (1H 2025: HK$17.62 million). • Corrugated Box: revenue HK$111.06 million (-3.78 %); segment loss HK$7.98 million (1H 2025: HK$6.05 million). • Paper Trading: revenue HK$65.56 million (+26.30 %); segment profit HK$3.01 million versus a HK$3.90 million loss a year earlier.

Cash flow and balance sheet • Total cash, bank balances and structured deposits amounted to HK$548.39 million at period-end; net cash stood at approximately HK$535 million. • Gearing ratio declined to 0.5 % (31 December 2025: 1.6 %). • Capital expenditure during the period totalled HK$57.58 million, with further commitments of HK$23.44 million.

Dividend The Board declared an interim dividend of HK1 cent per share (1H 2025: HK3 cents), payable on 16 October 2026 to shareholders on record as of 24 September 2026.

Operating highlights and outlook Management cited persistent geopolitical tension, tariff volatility and subdued mainland China growth as key headwinds. Strategic responses included: • Scaling up the second Vietnam plant to capture diversified international orders. • Installing a new digital press at the Tai Po headquarters, targeted to be operational by end-2026, to address short-run demand. • Replacing the corrugated line at Guangdong Lianhe and consolidating Shenzhen, Shunde and Zhongshan operations to lift efficiency. • Continuous ESG initiatives, with installed solar capacity rising to 11.82 MWp and a 97 % waste-recycling rate.

Hung Hing Printing will continue selective investment in growth projects while tightening cost controls and preserving a strong cash position to navigate a challenging trading environment.

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