HK Stock Market Move | HEALTHYWAY INC(02587) rose more than 14% after the earnings, with expected annual profit no less than 50 million RMB. AI software products have contributed 30 million RMB in revenue.
The stock of Health Road (02587) rose more than 14% after the earnings announcement, and as of the time of writing, it was up 12.3% to HK$5.04, with a turnover of HK$351.5 million.
HEALTHYWAY INC (02587) rose more than 14% after the earnings announcement, up 12.3% as of the press release, with a price of HK$5.04 and a turnover of HK$35.15 million.
On the news front, on February 12, HEALTHYWAY INC announced that they expect the Group's revenue for the year 2025 to be no less than RMB 1.5 billion, an increase of at least 25% compared to the year ending December 31, 2024. They also expect a profit of not less than RMB 50 million for 2025, while recording a net loss of RMB 269 million in 2024.
The announcement stated that the positive performance expectation is mainly due to the following reasons:
1) Content service revenue is expected to increase from RMB 577 million in 2024 to no less than RMB 800 million in 2025, driven by strategic adjustments based on market dynamics such as resource integration and new service models.
2) Information technology service revenue is expected to increase from RMB 296 million in 2024 to no less than RMB 350 million in 2025, mainly benefiting from the growth of the Group's big data technology service revenue and the introduction of artificial intelligence (AI) software products. It is worth noting that the AI software products developed by the Group contributed approximately RMB 30 million in revenue in the first year of listing in 2025.
3) Continued improvement in operational efficiency. In 2024, the total operating expenses (including administrative expenses, sales expenses, and research and development expenses) accounted for about 29% of revenue. In 2025, with business expansion, this percentage has decreased.
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