LOCO HK posts 27% interim profit growth; revenue tops HK$10.28 b amid metals strength

Bulletin Express
Aug 19

Loco Hong Kong Holdings Limited (LOCO HK) released its unaudited 2026 interim results for the six months ended 30 June 2026.

Revenue and Earnings • Group revenue edged up 1.07% year-on-year to HK$10.28 billion, driven by the core metals trading segment. • Net profit attributable to shareholders advanced 27.02% to HK$22.09 million. • Basic and diluted earnings per share rose to 2.22 HK cents from 1.78 HK cents a year earlier.

Segment Performance • Metals business remained dominant, contributing HK$10.26 billion in revenue (up 1.08%) and HK$27.23 million in segment profit, a 22.0% increase. • Education management services generated HK$15.04 million in revenue, broadly flat year-on-year, with segment profit of HK$11.47 million. • Money-lending services recorded no revenue and a marginal segment loss of HK$0.07 million.

Financial Position • Cash and cash equivalents climbed to HK$123.52 million from HK$64.64 million at 31 December 2025, aided by higher profits and the release of HK$360.39 million in previously pledged time deposits. • Net current assets improved to HK$231.18 million (31 December 2025: HK$202.84 million), with a current ratio of 1.42. • The Group reported no outstanding borrowings; gearing ratio remained at zero. • Total equity attributable to shareholders increased to HK$242.73 million (31 December 2025: HK$217.58 million).

Capital Management • No interim dividend was declared. • Available banking facilities totalled HK$1.25 billion as at 30 June 2026.

Operational Highlights • The Group emphasised risk control in its metals trading activities amid volatile global commodity markets and expanded its customer and supplier network across Mainland China, Hong Kong and Singapore. • Education management services continue to focus on arts, sports and holistic education, serving nine institutions in Chengdu.

Main Board Transfer Application • On 26 June 2026, LOCO HK submitted a formal application to transfer its listing from GEM to the Main Board of the Hong Kong Stock Exchange; the application is under review.

Compliance and Governance • The company reported full compliance with the Hong Kong Corporate Governance Code during the period. • The audit, remuneration, nomination and executive committees continued to discharge their oversight responsibilities, and no material contingent liabilities or post-period events were reported.

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