Zhi Tong Cai Jing·2025-11-18 03:23Core Viewpoint - China Duty Free Group (中国中免) experienced a significant decline in stock price after releasing disappointing financial results for the third quarter, indicating potential challenges ahead for the company [1] Financial Performance - For the first three quarters, the company reported revenue of 39.862 billion yuan, a year-on-year decrease of 7.34% [1] - The net profit attributable to shareholders was 3.052 billion yuan, down 22.13% year-on-year [1] - In the third quarter alone, revenue was 11.711 billion yuan, reflecting a slight decline of 0.38% year-on-year, while net profit was 0.452 billion yuan, a significant drop of 28.94% year-on-year [1] Market Reaction - Following the earnings announcement, the stock price fell over 5% in early trading, settling at 73.8 Hong Kong dollars, with a trading volume of 214 million Hong Kong dollars [1] Future Outlook - CICC noted that the disappointing performance was primarily due to foreign exchange losses and disturbances in minority shareholder rights [1] - The upcoming full island closure of Hainan Free Trade Port on November 18 is expected to impact sales, with a focus on the fourth quarter of 2025 for potential recovery in duty-free sales [1] - According to Founder Securities, if sales continue to improve, the company may see an upward turning point in operations, maintaining a neutral to optimistic outlook for 2026 performance, supported by recent favorable duty-free sales policies [1]