HK Stock Market Move | TECHTRONIC IND (00669) is currently down nearly 3% as tariffs and non-core business have slowed down revenue growth, but profitability continues to improve.

TECHTRONIC IND (00669) opened nearly 5% lower this morning, but the decline narrowed afterwards. As of the time of writing, it is down 2.75% at 120.1 Hong Kong dollars, with a turnover of 5.62 billion Hong Kong dollars. On the news side, TECHTRONIC IND announced its performance for 2025, with sales increasing by 4.4% to 15.3 billion US dollars, net profit increasing by 6.8% to 1.2 billion US dollars, basic earnings per share at 65.61 US cents, and a final dividend of 132.00 Hong Kong cents per share. TECHTRONIC IND's free cash flow in 2025 is close to 1.4 billion US dollars, breaking the 1.2 billion US dollars free cash flow mark for three consecutive years, and ending the year with a net cash position of 700 million US dollars. The board plans to conduct share buybacks of up to 500 million US dollars in the next eighteen months at their discretion. Sinolink pointed out that the company's core business is growing steadily, with revenue deceleration mainly due to tariffs and shrinkage of non-core businesses. In addition, the business structure continues to be optimized, and profitability continues to improve. The bank believes that as the leader in the power tool industry, with significant competitive advantages, the demand for tools is expected to continue to rebound in North America during the interest rate lowering cycle, and the company's market share and profitability are expected to continue to increase, maintaining a "buy" rating.