HK Stock Market Move | Great Wall Motor (02333) fell more than 4% in the afternoon, with a 46% year-on-year decline in net profit in the first quarter. The performance of the company fell short of expectations.

Great Wall Motor (02333) fell more than 4% in the afternoon, dropping by 4.34% to HK$11.9 with a trading volume of HK$2.33 billion. In terms of news, Great Wall Motor released its first quarter performance report, reporting a revenue of 45.109 billion yuan, a year-on-year increase of 12.72%; the net profit attributable to shareholders of the listed company was 945 million yuan, a year-on-year decrease of 46.01%. The decrease in net profit compared to the same period last year was mainly due to exchange rate fluctuations that brought about exchange gains in the previous year. Dahua Jixian released a research report stating that Great Wall Motor's first quarter net profit fell by 46% to 945 million yuan, down 23% from the previous quarter, which was below expectations and only equivalent to 9% of the bank's annual forecast. Morgan Stanley believes that the foreign exchange dilution factor is already within market expectations, and the delayed Russian tax refund will eventually be accounted for. However, short-term volatility and lack of surprises in the company's full-year profit forecast will put downward pressure on the stock price.