BYD Electronic (00285) fell nearly 6% in Hong Kong trading. At the time of writing, the stock was down 5.22% to HK$27.26, with a turnover of HK$206 million.
A recent IDC report indicated that global smartphone shipments declined 4.1% year-over-year in the first quarter of 2026, totaling 289.7 million units. This marks an end to the market's ten consecutive quarters of growth since mid-2023. The report suggests that tight supply and rising prices in memory components are expected to further constrain market growth.
A research report from CLSA noted that BYD Electronic's first-quarter net profit was RMB 28 million, primarily impacted by foreign exchange fluctuations. Management anticipates that the smart device assembly business will face pressure throughout the year, as increasing memory prices affect Android phone shipments. The company's components business is expected to perform in line with last year's levels. The report views these factors as presenting short-term headwinds for BYD Electronic's operations.
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