BOSA Technology (8140) H1 25/26 earnings summary

Executive summary

• Revenue for the six months ended 31 December 2025 declined 26.8% year-over-year to HK$29.2 million, mainly due to fewer new projects and customers.

• Net profit increased 18.8% year-over-year to HK$11.8 million, driven by higher other/interest income and reduced administrative expenses.

• The company operates solely in Hong Kong, focusing on mechanical splicing services for reinforced concrete construction, with public sector projects providing stability amid weak private sector demand.

Financial highlights

• Revenue: HK$29.2 million (down 26.8% YoY); Gross profit: HK$15.7 million (down 26.0% YoY).

• Net profit: HK$11.8 million (up 18.8% YoY); EPS: 1.47 HK cents (up 18.5% YoY).

• Other income rose 42.8% to HK$4.5 million, mainly from increased fixed deposit interest.

• Administrative expenses fell 27% to HK$8.3 million, mainly due to lower staff costs.

• Cash and bank balances at period end: HK$32.2 million; time deposits: HK$174.4 million.

Outlook and guidance

• Construction sector expected to remain steady to slow in the short to medium term.

• Public sector infrastructure spending to underpin demand; private sector remains cautious.

• Risks include interest rate trends, geopolitical tensions, US-China relations, and currency/material price fluctuations.