EAST BUY (01797) saw its shares rise more than 6% during the afternoon trading session, extending its cumulative gain to nearly 40% following the release of its financial results. At the time of writing, the stock was up 5.1%, trading at HK$30.1, with a turnover of HK$656 million.
The company recently announced its interim results for the period ending November 2025. Total revenue reached RMB 2.3 billion, representing a 5.7% year-on-year increase. The profit attributable to owners of the company was RMB 239 million, a turnaround from a loss in the same period last year. Gross profit for the period amounted to RMB 841.6 million, up 14.5% compared to the previous year.
Analysts noted that the company's active push towards a multi-livestreaming room and multi-host strategy, coupled with the continuous development of high-margin self-operated products, has strengthened its content advantage in the GEO marketing environment. This contributed to a robust improvement in the gross profit margin for the first half of fiscal year 2026.
Daiwa Capital Markets issued a research report stating that it has turned more positive on the group following the earnings release. The report indicated that the company has overcome its operational challenges, with strong development of its own brand, structural reductions in operating costs, and the launch of non-Douyin sales channels providing significant options for future growth. Daiwa believes the risk-reward profile of the stock has improved.