HUABAO INTL (00336) saw its stock price soar by 7.30% in Tuesday's trading session, following the announcement of impressive financial results for the first half of 2025. The company reported a substantial increase in profit and declared both interim and special dividends, sparking investor enthusiasm.
According to the company's latest financial report, HUABAO INTL's revenue for the six months ended June 30, 2025, reached RMB 1.621 billion, marking a 2.5% year-on-year increase. More notably, the profit attributable to equity holders surged by 298.1% compared to the same period last year, reaching RMB 118 million. The basic earnings per share stood at 3.66 cents. In light of these strong results, the company proposed an interim dividend of 1.2 HK cents per share, coupled with a special dividend of 3.2 HK cents per share, totaling 4.4 HK cents per share.
The significant growth in HUABAO INTL's performance can be attributed to several factors. The company experienced rapid growth in its overseas business for tobacco new materials during the reporting period. The tobacco materials segment saw a remarkable 45.3% year-on-year increase in revenue, reaching RMB 238 million. Additionally, the fragrance materials segment contributed to the overall growth, with its revenue rising by 7.6% year-on-year to RMB 405 million. This growth was driven by gradual capacity release and the successful development of new customer relationships, positioning HUABAO INTL for continued success in the market.