HK Stock Market Move | GLOBAL NEW MAT (06616) fell over 3%, expecting to report a loss of up to 100 million yuan in the first half of the year due to the amortization of acquired assets and other expenses.

GLOBAL NEW MAT (06616) fell over 3%, and as of the time of writing, it has dropped by 3.59% to HKD 8.595, with a trading volume of HKD 8.111 million. On the news front, GLOBAL NEW MAT issued a profit warning last night, predicting that for the six months ending June 30, 2026, revenue will be approximately RMB 2.5 billion to 2.7 billion, marking a growth of about 180% to 200% compared to the same period in 2025, which reported revenue of approximately RMB 912 million; however, a loss of approximately RMB 50 million to 100 million is anticipated for the period, whereas a profit of about RMB 100 million was recorded in the same period of 2025, indicating a transition from profit to loss year-on-year. The loss is mainly attributed to the acquisition of Merck Group's global surface solutions business completed in July last year, which resulted in fair value adjustments and amortization of intangible assets amounting to approximately RMB 130 million to 140 million, transaction costs and professional fees of about RMB 20 million to 30 million, and business integration costs totaling around RMB 60 million to 70 million.