Keen Ocean International Holding Limited (Keen Ocean, 08070) reported audited results for the year ended 31 December 2025, highlighting a strong rebound in both top- and bottom-line performance.
Revenue advanced 35.3% year-on-year to HK$388.47 million, driven mainly by higher demand for electronic parts and components, which contributed 60.0% of total sales. Transformers remained the second-largest product line, accounting for 39.0%, while switching-mode power supplies made up the balance.
Cost of sales rose 27.2% to HK$293.63 million, slower than the revenue growth, lifting gross profit 68.1% to HK$94.83 million. Gross margin expanded to 24.4% from 19.6% a year earlier, reflecting a more favourable product mix.
Selling and distribution expenses increased 36.2% to HK$9.39 million, while administrative expenses rose 21.5% to HK$36.73 million. Finance costs fell 48.0% to HK$0.93 million on lower bank borrowings. Profit from operations more than doubled to HK$49.55 million.
After accounting for a 144.7% rise in income tax to HK$7.66 million, profit attributable to owners of the Company jumped 133.5% to HK$40.96 million. Basic earnings per share rose to 20.48 HK cents from 8.78 HK cents.
Geographically, Europe remained Keen Ocean’s largest market, generating HK$212.54 million in revenue (54.8% of total). India contributed HK$81.18 million (20.9%), while mainland China and Hong Kong together accounted for HK$53.69 million (13.8%).
The balance sheet strengthened, with net assets at HK$126.23 million, up 49.0% from year-end 2024. Net current assets improved to HK$79.68 million, and the gearing ratio fell to zero after the repayment of interest-bearing debt. Cash and bank balances, including short-term deposits, stood at HK$83.80 million.
Capital expenditure totalled HK$11.51 million, mainly for new plant and machinery. No final dividend was proposed, following a HK$30.00 million special interim dividend declared in 2024.
Management intends to deploy up to 30% of idle cash into short-term, low-risk investments in listed securities or bank products, subject to Board approval, while continuing to monitor macro risks and demand trends in clean-energy and electric-vehicle segments.