TR Interiors Falls 10.81% as 40-for-1 Share Consolidation Raises Liquidity Fears

Deep News10-06

TR Interiors declined 10.81% during the session, with the current price at HK$0.03.

The share consolidation shock is scheduled to take effect on October 23, combining every 40 shares into 1 share and changing the board lot size from 8,000 shares to 1,000 shares. The market is concerned about the dilution effect of the consolidation and weakening liquidity, and the stock price has fallen sharply for two consecutive days.

Fundamentals are under pressure. In the 2026 interim report, revenue was RMB 161 million, while the gross margin dropped from 13.5% to 11.9%. Profitability in the heavy truck business declined, and combined with the sluggish industry environment, the fundamentals are unable to support the current valuation.

Sector divergence is obvious. Today, the auto parts sector edged down 0.03%, but the company's share price has fallen more than 90% year to date, performing far weaker than the sector. This indicates that the decline is driven by company-specific negative factors rather than common industry factors.

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