ZTE initially fell 8.2%, last year's net profit dropped 33%, and Zhao Zheng stated: gross profit margin is under temporary pressure

ZTE Corporation (00763.HK) opened down 3.93% this morning (9th), and as the market decline expanded in the early session, it hit a low of HKD 23.28. It is currently reported at HKD 23.34, down 8.18%, with a trading volume of 9.0336 million shares, involving HKD 213 million. ZTE (000063.SZ) A shares are currently down 6.6%, reported at RMB 34.93, with a trading volume of RMB 2.47 billion.

The company recently announced its full-year results for the year ending December last year, with operating revenue of RMB 133.896 billion, an annual increase of 10.4%; operating costs of RMB 93.391 billion, an increase of 24%. The net profit attributable to shareholders was RMB 5.618 billion, a decline of 33.3%, with earnings per share of RMB 1.17. The final dividend is HKD 4.11 per 10 shares.

CITIC Securities stated that under the dual impact of industry cycle switching and changes in business structure, ZTE's gross profit margin is under phased pressure, and profit forecasts have been adjusted downward