Movement Alert|NONGFU SPRING Rises 3.11% in Regular Trading, H1 Earnings Beat Expectations with Tea Segment Surging 30%

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On August 26, NONGFU SPRING rose 3.11% in regular trading, trading at 43.06 HKD/share, with turnover of approximately 36.88 million HKD.

On the news front, the company released its interim results on August 25, reporting H1 revenue of 29.718 billion yuan, up 16.0% year-over-year, and net profit of 8.887 billion yuan, up 16.6% year-over-year, beating market expectations. Gross margin improved 0.6 percentage points to 60.9%. EPS rose to 0.79 yuan from 0.677 yuan a year earlier.

By segment, the tea beverage business was the core growth engine, generating revenue of 13.122 billion yuan, up 30.1% year-over-year, now accounting for 44.2% of total revenue. The company noted it continued to expand its multi-specification product matrix and upgrade formulations toward healthier options. Packaged drinking water returned to growth with revenue of 9.641 billion yuan, up 2.1%, while juice beverages contributed 2.922 billion yuan, up 14.0%.

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