HK Stock Market Move | FIT HON TENG (06088) rises more than 4%, net profit for the first three quarters increases by 1.18 times, and strong growth in network infrastructure business

FIT HON TENG (06088) rose more than 4%, up 4.21% to HK$2.97 as of the time of publication, with a trading volume of HK$88.4676 million. In terms of news, FIT HON TENG recently announced its performance for the nine months ending September 30, 2024, with revenue and other operating income totaling $3.241 billion, an increase of 9.91% year-on-year; net profit from continuing operations was $101 million, an increase of 117.79% year-on-year. In the third quarter alone, net profit from continuing operations was $68.005 million, a year-on-year increase of 23.86%; revenue and other operating income were $1.174 billion, a year-on-year increase of 0.83%. EB SECURITIES pointed out that strong demand for AI is driving rapid growth in network infrastructure revenue, with mainboard connectors and cable sales tripling year-on-year. The company expects network infrastructure business revenue in the fourth quarter of 2024 to maintain high double-digit growth, with annual revenue growth expected to exceed 30%. China International Capital Corporation expressed that it maintains a "buy" rating for FIT HON TENG, raising FY25/26E EPS forecast by 3%/5% to reflect the 3Q24 performance and very positive performance guidance, with a new target price of HK$4.38 (previous value: HK$4.25).