Theme International (990) H1 2026 earnings summary

Executive summary

• Revenue from continuing operations rose 49% year-over-year to HK$14,963.9 million for H1 2026, driven by higher iron ore trading volumes and increased financial services activity.

• Net profit increased to HK$513.4 million from HK$369.9 million, with basic EPS up to HK2.58 cents from HK2.39 cents.

• Gross profit improved to HK$452.4 million, reflecting stable growth in both core segments.

• Discontinued operations contributed HK$73.5 million in profit, with a major sale of subsidiaries in progress.

• The Group is advancing strategic transformation, focusing on the lithium value chain and AI infrastructure, while maintaining core businesses in commodities and financial services.

Financial highlights

• Distribution, trading, and processing revenue grew to HK$14,540.4 million (2025: HK$9,737.1 million), mainly from iron ore.

• Financial services revenue increased to HK$423.5 million (2025: HK$274.4 million).

• Other gains included HK$31.9 million in interest income and HK$170.9 million net realized gain on derivatives, offset by HK$108.1 million loss on fair value changes of financial assets.

• Administrative expenses rose to HK$132.2 million due to higher staff costs; finance costs doubled to HK$16.7 million.

• Share of profits from associates was HK$134.5 million.

Outlook and guidance

• Strategic transformation underway, focusing on the lithium value chain and AI infrastructure.

• Continued expansion in financial services and commodities trading, with M&A opportunities targeted in China, Indonesia, Australia, and Malaysia.

• Remaining proceeds from recent share issues are earmarked for business expansion and joint ventures, particularly in Indonesia and Australia.

• No interim dividend declared for H1 2026.