Understanding the Market | NATURAL FOOD IH rose over 5% after announcing positive earnings, expecting annual net profit to increase by approximately 28% year-on-year, with significant growth in offline channel sales
After the earnings surprise, NATURAL FOOD IH rose over 5%. As of the time of writing, it is up 5.36%, trading at HKD 0.59, with a transaction volume of HKD 1.4009 million. In terms of news, on March 11, NATURAL FOOD IH announced that due to adjustments in the operating strategy of one of the group's important retail channels, and based on the company's preliminary estimates, a total of 210 offline counters under this channel may be closed by 2025, and it is expected that the group's total revenue for the fiscal year 2025 will decrease by approximately RMB 50 million to RMB 80 million accordingly. The announcement stated that the group expects to achieve a net profit of approximately RMB 180 million to RMB 194 million for the year ending December 31, 2024, compared to a net profit of approximately RMB 152 million for the same period in 2023, representing an increase of about 18% to 28%. The increase in net profit is mainly attributed to: effective implementation of business development strategies, steady overall revenue growth, especially significant growth in sales in offline channels compared to 2023; and effective implementation of various budget and cost control policies, reasonably and effectively controlling the increase in sales costs
According to Zhitong Finance APP, NATURAL FOOD IH (01837) rose over 5% after announcing a positive profit forecast. As of the time of writing, it has increased by 5.36%, trading at HKD 0.59, with a transaction volume of HKD 1.4009 million.
In terms of news, on March 11, NATURAL FOOD IH announced that due to adjustments in the operating strategy of one of the group's important retail channels, and based on the company's preliminary estimates, a total of 210 offline counters under this channel may be closed by 2025, and it is expected that the group's total revenue for the fiscal year 2025 will decrease by approximately RMB 50 million to RMB 80 million accordingly.
The announcement stated that the group expects to achieve a net profit of approximately RMB 180 million to RMB 194 million for the year ending December 31, 2024, compared to a net profit of approximately RMB 152 million for the same period in 2023, representing an increase of about 18% to 28%. The increase in net profit is mainly attributed to: effective implementation of business development strategies, steady overall revenue growth, particularly a significant increase in sales in offline channels compared to 2023; and effective implementation of various budget and cost control policies, reasonably and effectively controlling the increase in sales costs
