HK Stock Market Move | Red Star Macalline Group Corporation (01528) rose nearly 5% after profit exceeded expectations. The expected net profit for the first half of the year is at most 27 million yuan. The rental rate of self-operated shopping malls is gradually stabilizing.

Red Star Macalline Group Corporation (01528) rose nearly 5% after the announcement, reaching 4.9% at the time of publication, closing at 1.07 Hong Kong dollars with a trading volume of 2.9317 million Hong Kong dollars. On the news front, on July 14, Red Star Macalline Group Corporation announced that the group expects a net profit of approximately RMB 18 million to RMB 27 million for the first half of 2026, while the group recorded a loss of RMB 2.108 billion for the six months ending June 30, 2025 (the first half of 2025). It is expected that the group's net profit attributable to shareholders for the first half of 2026 will be approximately RMB 13 million to RMB 20 million, compared to a net loss of approximately RMB 1.955 billion for the first half of 2025, achieving a turn from a loss to a profit. In the first half of 2026, the company focused on its core business, with the self-operated shopping mall rental rate gradually stabilizing. With continued efforts to reduce costs and increase efficiency, expenses during the first half of 2026 were significantly reduced. The operating quality of individual shopping malls improved significantly, and both profitability and cash flow were improved. Additionally, according to data from the National Bureau of Statistics, housing price indicators in May 2026 continued to improve marginally, stabilizing market valuations for investment real estate. During the first half of 2026, the fair value changes and impairment losses of investment real estate assets narrowed significantly compared to the previous period. Taking all of these factors into account, the company achieved a turnaround from loss to profit in the first half of 2026.