SMC Electric Profit Drops on Lower Revenue and Margin Pressure in 2025

An announcement from SMC Electric Limited ( (HK:2381) ) is now available.

SMC Electric Limited reported audited consolidated results for the year ended 31 December 2025, showing revenue of HK$217.8 million, down from HK$257.3 million a year earlier, and gross profit of HK$51.4 million versus HK$71.1 million in 2024. Net profit attributable to shareholders declined to HK$9.5 million from HK$26.4 million, reflecting margin pressure and higher finance costs, and earnings per share fell to 0.474 Hong Kong cents, signaling a weaker profitability profile that may concern investors despite modest growth in other income and a small foreign exchange gain.

The company’s profit before tax decreased sharply to HK$11.2 million from HK$31.1 million, as administrative and other operating expenses remained broadly flat while revenue contracted. While the group maintained positive earnings and a small increase in other income, the deterioration in earnings metrics, including a lower comprehensive income of HK$9.8 million, suggests more challenging operating conditions and could weigh on market perceptions of its near-term growth and efficiency.

The most recent analyst rating on (HK:2381) stock is a Hold with a HK$0.21 price target. To see the full list of analyst forecasts on SMC Electric Limited stock, see the HK:2381 Stock Forecast page.

More about SMC Electric Limited

SMC Electric Limited, incorporated in the Cayman Islands and listed in Hong Kong, operates in the electrical products sector, generating revenue from the sale of electric and related equipment. The group focuses on manufacturing and distributing its products through its subsidiaries, with a primary market presence in Hong Kong and overseas operations that contribute to its consolidated results.

Average Trading Volume: 2,463,211

Technical Sentiment Signal: Buy

Current Market Cap: HK$278M

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