Understanding the Market | TIME INTERCON rose over 7% after earnings, reaching a new high. The interim profit attributable to shareholders increased by 47.6% year-on-year, planning to acquire Dejin Chang Investment for HKD 460 million
After releasing its mid-term results for 2025, TIME INTERCON's stock price rose over 7%, reaching a new high of HKD 14.2 for the year, with a cumulative increase of over 2.46 times in the past three months. The company's revenue grew by 82.1% year-on-year, and the profit attributable to shareholders increased by 47.6%. In addition, TIME INTERCON plans to acquire Dejin Chang Investment for HKD 460 million, aiming to diversify copper wire supply risks and ensure business continuity
According to Zhitong Finance APP, TIME INTERCON (01729) rose over 7% after its earnings report, with an intraday high of HKD 14.2, setting a new high for the year, and a cumulative increase of over 2.46 times in the past three months. As of the time of writing, it is up 6.03%, trading at HKD 14.07, with a transaction volume of HKD 73.8113 million.
On the news front, on August 28, TIME INTERCON announced its mid-term results for 2025, with revenue of HKD 4.854 billion, a year-on-year increase of 82.1%; profit attributable to shareholders was HKD 314 million, a year-on-year increase of 47.6%; basic earnings per share were HKD 0.161. The announcement stated that the increase in revenue during the period was mainly due to the AI boom driving increased data center revenue in the server and wire components segment.
It is noteworthy that TIME INTERCON announced that on August 28, 2025 (after trading hours), the company, the seller (Jin’s Investment Limited), and the guarantor entered into a sales agreement, under which the company conditionally agreed to acquire from the seller shares equivalent to all issued share capital of Dejin Chang Investment Limited (the target company) for a price of HKD 460 million, subject to the terms and conditions of the sales agreement. The price for the shares will be paid in cash of HKD 130 million, while HKD 330 million will be paid through the issuance of consideration shares to the seller under the company's general authorization.
The acquisition will enable the group to diversify its reliance on a single country's key copper wire supply. The production bases of the target group located in neighboring countries of China will also significantly mitigate the risk of supply chain disruptions. Since copper wire is a fundamental raw material for the group's cable products, any disruption in supply could lead to production halts, delays in order deliveries, and significant financial losses. By ensuring a multinational copper supply, the group will establish a robust and resilient supply chain, ensuring business continuity and effectively diversifying geographic and political risks
