Movement Alert|Kingdee International Falls 5.08% in Regular Trading, Pullback After Consecutive Profit-Alert-Driven Rally

Market Focus07-09

On July 9, Kingdee International fell 5.08% in regular trading, trading at HK$6.92 with turnover of HK$269 million. The stock had earlier surged to an intraday high of HK$7.35 before rapidly retreating, following two consecutive days of sharp gains driven by a positive profit alert.

On July 7, the company issued a profit warning indicating H1 revenue of RMB 3.608–3.639 billion, up 13%–14% YoY, and attributable profit of RMB 40–60 million versus a loss of RMB 98 million a year prior, marking a turnaround to profitability. Adjusted net profit is expected at RMB 105–125 million, compared with a loss of RMB 51 million in the prior period. The improvement was attributed to subscription business scale effects and AI-driven efficiency gains under the company's AI-first, subscription-first, globalization strategy.

Bank of America maintained a Buy rating with a HK$13.9 target, noting accelerating revenue growth driven by subscription income and strong AI-native product demand, with gross margin estimated to improve approximately 2 percentage points YoY.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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