DEKON AGR

Dekon Food and Agriculture Group closed at HKD 47.46, up 1.4% from the previous close of HKD 46.82. The stock rose sharply in the morning session, hitting an intraday high of HKD 49.40, before retreating in the afternoon to narrow gains. The high was 30.8% above the 52-week low of HKD 37.76, but the stock still trades 56.9% below the 52-week high of HKD 110 and below the 60-day moving average of HKD 57.29. Q4 2025 net profit plunged 89.4% YoY to HKD 78.3 million, with revenue down 8.2% YoY. Despite this, CICC and Huatai Securities maintained Buy ratings, while the controlling shareholder recently raised its H-share stake. However, full-year net profit fell 54.6% and no dividend was declared, and April hog and poultry sales faced price pressure, weighing on sentiment.

Sichuan Dekon Food and Agriculture Group gapped up in the morning session and accelerated in the afternoon, reaching an intraday high of HKD 47.78 before closing at HKD 46.82, a 13.97% surge from yesterday's close of HKD 41.08. Recent confidence was boosted by the controlling shareholder raising H-Share stakes and a maintained buy rating from CICC. Despite the price rally, Q4 2025 net profit slumped 89.44% YoY to just HKD 78 million with a net margin of 1.23%, highlighting persistent earnings weakness. The stock is still 57.44% below its 52-week high of HKD 110 and trails its 60-day moving average of HKD 57.54, while YTD remains down 32.44%. The share price advance comes even as the company reported softer hog and broiler pricing in its January and February operating updates.