Town Ray flags 37–47% profit drop on rising costs and price pressure

Town Ray Holdings Limited ( (HK:1692) ) has provided an announcement.

Town Ray Holdings Limited has warned that net profit attributable to shareholders for the year ended 31 December 2025 is expected to fall to between HK$57 million and HK$68 million, down from about HK$107.6 million a year earlier. The decline, representing a drop of roughly 37% to 47%, is mainly driven by higher direct labour and material costs and a strategic shift toward more competitively priced products to address customer price sensitivity.

These moves have compressed the group’s gross profit and margins, highlighting the profit pressure from cost inflation and price competition even as the company seeks to defend its market share. The figures are based on unaudited management accounts and may be adjusted when the audited annual results are released in late March 2026, prompting the company to urge shareholders and potential investors to exercise caution when trading its shares.

The most recent analyst rating on (HK:1692) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Town Ray Holdings Limited stock, see the HK:1692 Stock Forecast page.

More about Town Ray Holdings Limited

Town Ray Holdings Limited is a Hong Kong-listed company engaged in manufacturing and selling consumer products, with a focus on maintaining market share through competitively priced offerings. The group operates through various subsidiaries and is overseen by a board comprising executive, non-executive and independent non-executive directors.

Average Trading Volume: 68,113

Technical Sentiment Signal: Sell

Current Market Cap: HK$635.4M

See more data about 1692 stock on TipRanks’ Stock Analysis page.