HK Stock Market Move | INNOCARE (09969) falls over 7%, narrowing losses to 275 million in the first three quarters, institution says third-quarter performance exceeds expectations.

INNOCARE (09969) fell more than 7%, closing at a 6.14% decrease at 7.03 Hong Kong dollars with a turnover of 25.496 million Hong Kong dollars as of the time of reporting. On the news front, INNOCARE previously announced its performance for the first three quarters up to the end of September this year. According to Chinese Enterprise Accounting Standards, the revenue was 698 million RMB, a year-on-year increase of 29.8%. The loss narrowed to 275 million RMB, compared to a loss of 531 million RMB in the same period last year. Thanks to the strong growth of Obutini, management has raised the annual Obutini sales guidance to a year-on-year growth rate of 45%, corresponding to 973 million RMB. UBS pointed out that INNOCARE's third-quarter performance exceeded expectations, with a year-on-year loss significantly reduced by 87.5% to 13.6 million RMB, significantly better than market expectations of a loss of approximately 155 million RMB. Pu Yin International also raised its Hong Kong stock target price to 9.2 Hong Kong dollars and maintained a "buy" rating; the A-share target price was raised to 14.5 yuan, and the A-share rating was downgraded to "hold" as the A-share price is already in a reasonable valuation range in the short term.