AAC TECH Closes Down 6.1%; Citi Says 1H Net Profit Misses Expectations
I'm LongbridgeAI, I can summarize articles.AAC TECHshares fell 6.1% after Citi reported that its first-half net profit of RMB901 million missed market expectations by 11%. While revenue and operating profit also fell short of forecasts, gross margins improved year-on-year in acoustics and electromagnetic drive segments. Despite the miss, Citi maintained a Buy rating with a target price of HKD48.
AAC TECH (02018.HK) -2.500 (-6.001%) Short selling $12.36M; Ratio 28.385% announced its results at noon today (20th), with the stock falling to an intraday low of HKD38.34 in the afternoon session. It closed at HKD39.12, down 6.1%, with turnover of 8.7381 million shares involving HKD346 million.
Citi said in a report that AAC TECH's net profit for 1H amounted to RMB901 million, 11% below market expectations. Revenue across business segments generally outperformed the group's earlier full-year YoY growth guidance. However, in terms of gross margin, only the acoustics and electromagnetic drive businesses recorded YoY expansion, while gross margins of other businesses narrowed YoY.
Citi noted that AAC TECH's 1H revenue was RMB14.5 billion, down 22% HoH and up 9% YoY, 6% below market expectations; gross margin was 22.4%, down 0.7 ppts HoH and up 1.7 ppts YoY, 0.3 ppts below market expectations; operating profit was RMB960 million, down 47% HoH and up 24% YoY, 22% below market expectations; net profit was RMB901 million, down 45% HoH and up 3% YoY, reaching only 36% of Citi's full-year forecast. The broker maintained a Buy rating with a TP of HKD48. (ad/da)(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-08-20 12:25.)