GALA TECH HOLD (02458) issued a positive profit forecast,1.381.47157%174%

GALA TECH HOLD(02458) issued an announcement, stating that the group's revenue for the six months ending June 30, 2026, is expected to be between RMB 573 million and RMB 608 million, representing an increase of approximately 22% to 29% compared to the same period in 2025; the profit for the period is expected to be between RMB 138 million and RMB 147 million, reflecting an increase of approximately 157% to 174% compared to the same period in 2025. The growth is mainly attributed to: growth in core business operating profit: (i) the group's core game "Best Club" has fully capitalized on the opportunity presented by the World Cup, with core operating metrics reaching historical highs, and has enhanced its product competitiveness and commercialization performance by continuously expanding its copyright matrix, advancing core technology iterations, upgrading its brand strategy, and deepening its overseas market presence; and (ii) the group's core game "NBA Showdown" has undergone systemic optimization through a commercialization system and active event strategies, strengthening product competitiveness and user stickiness, which has significantly increased its revenue. Fair value gains on financial assets measured at fair value through profit or loss: During the reporting period, the market value of the groups equity investment portfolio saw a significant increase, recording realized and unrealized gains totaling approximately RMB 74 million to RMB 79 million, accounting for about 52% to 55% of net profit, making a major contribution to the profits for this reporting period. The substantial increase in profit for this period includes non-cash unrealized fair value gains arising from the increase in the market value of financial assets, which are susceptible to fluctuations in the capital markets and do not represent the actual cash inflows of the groups core business; thus, they should not be used as a basis for predicting the groups future sustainable profitability. At the same time, the business growth of the core game during this reporting period has benefited to some extent from external opportunities offered by large-scale sporting events like the World Cup. Given the objective fluctuations of sporting event cycles and the uncertainties in the capital markets, the board of directors believes that the market value of the group's equity investment portfolio is influenced by several irregular factors and market factors. The group has consistently focused on the development of its core business, continuously strengthening its capacity building and resource investment in core business areas such as sports game R&D, copyright matrix construction, and long-life cycle product operations, to promote the long-term and sustainable development of the group's business.