BOCI Securities: Lowering target price of China Oilfield (02883) to HK$9.39, lowering earnings estimate for this fiscal year.

Bank of China International released a research report stating that CHINA OILFIELD (02883) saw a sharp increase of 40% in profit in the first quarter of the 2025 fiscal year compared to the same period last year, roughly in line with the bank's expectations. The improvement in profit margin, decrease in financial expenses, and lower effective tax rate were the main drivers of the profit growth. The bank expects that China Oilfield Services' profit in the second quarter will further increase quarter by quarter, as the second quarter is the company's traditional peak season. Although the bank lowered its profit forecast for China Oilfield Services in the 2025 fiscal year by 3%, it maintains a "buy" rating on the stock, with a reduced H-share target price of HK$9.39.