Sinohope Revenue Surges on Crypto Trading Boom but Margins Collapse Into Annual Loss

New Huo Technology Holdings Limited ( (HK:1611) ) has provided an announcement.

Sinohope Technology Holdings reported a more than fourfold surge in revenue to HK$8.66 billion for the year ended 30 September 2025, driven almost entirely by explosive growth in its crypto asset trading business, which jumped 466.5% year-on-year to HK$8.61 billion. Despite the sharp revenue increase and a modest rise in gross profit to HK$47.6 million, the company swung from a profit of HK$56.3 million in the prior year to a loss before tax of HK$9.6 million, as gross margin collapsed from 2.8% to 0.6% and fair value losses on crypto assets, higher operating expenses and reduced net cash weighed on results. A provisional gain on bargain purchase and other income provided some offset, while total equity more than doubled to HK$757.1 million, indicating a strengthened balance sheet even as earnings per share turned negative, underscoring the high-volume but thin-margin and volatile nature of its crypto trading model for shareholders.

The most recent analyst rating on (HK:1611) stock is a Hold with a HK$4.50 price target. To see the full list of analyst forecasts on New Huo Technology Holdings Limited stock, see the HK:1611 Stock Forecast page.

More about New Huo Technology Holdings Limited

Sinohope Technology Holdings Limited is a Hong Kong-listed company (stock code: 1611) incorporated in the British Virgin Islands, primarily engaged in the crypto asset trading business, with additional revenue from other ancillary business lines. The group operates within the digital asset and financial technology space, focusing on facilitating high-volume crypto trading activities in global markets.

Average Trading Volume: 2,180,705

Technical Sentiment Signal: Strong Sell

Current Market Cap: HK$1.96B

Learn more about 1611 stock on TipRanks’ Stock Analysis page.