HK Stock Market Move | Q TECH (01478) surged nearly 14% at the opening, with a year-on-year increase in annual net profit expected to more than double by 2.8 times. India's tax payable has been lowered.

Q TECH (01478) opened nearly 14% higher. As of the time of writing, it was up 13.97% at HK$6.28, with a turnover of HK$53.757 million. In terms of news, Q TECH announced a profit alert, expecting the Group's comprehensive net profit for the year 2024 to increase by about 200% to 280% compared to 2023's HK$83.531 million. This is mainly due to the further integration of artificial intelligence into consumer scenarios, the continued improvement of the smartphone, smart driving, and IoT smart terminal markets. Additionally, the sales volume of the Group's related products has increased, driving revenue growth. The Group continues to adhere to its business strategy with a focus on mid- to high-end camera modules, with the sales proportion of camera modules of 32 megapixels and above significantly increasing, along with the improvement in the proportion of high-end products, contributing to the improvement in product value and further improving gross profit margins. Furthermore, Q TECH announced that on January 9, its wholly-owned subsidiary in India, Qutai, received a corrected assessment order from the tax department, resulting in a total reduction of approximately INR 503 million (approximately RMB 42.85 million) in income tax, including interest. As a result, the adjusted total amount payable is now INR 1.295 billion (approximately RMB 110 million). The correction process for the final assessment order is still ongoing, and the updated tax amounts may further be revised.