(Yicai Global) Aug. 27 -- Shares of Transsion Holdings jumped after the Chinese owner of big-in-Africa phone brands Tecno,Itel, andInfinix said net profit surged in the first half despite the Covid-19 pandemic.
Transsion's stock price [SHA: 688036] climbed more than 7 percent this morning, and ended the day 4 percent higher at CNY111.04 (USD16.12).The firm went public on Shanghai's tech-focused Star Market last September, pricing its shares at CNY35.15 apiece.
Net profit climbed 33 percent to CNY1.1 billion (USD158.3 million) in the six months ended June 30 from a year earlier, Shenzhen-based Transsion said in an earnings report published yesterday. Revenue jumped 32 percent to CNY13.8 billion (USD2 billion).
Smartphone shipments rose 32 percent to 12 million units in the period, indicating thatTranssionbucked a worldwide trend. Global phone shipments fell 16 percent to 331.8 million, based on data from Omdia. Revenue from Transsion's mobile phone business rose 32 percent to CNY12.8 billion.
Transsion has one particular region to thank for its solid performance. The firm's shares of Africa’s mobile phone market has reached 40 percent, according to IDC. Some of its advantages lie in cameras calibrated fordarker skintonesand an anti-corrosion technology that keeps the handsets going in hot and humid climates, according to the report.
But Transsion is also focusing on its ecosystem. The firm has branched out to establish three additional brands: Oraimo for handset accessories; Carlcare for after-sales service; and Syinix for home appliances.
The company has also joined hands on content with Chinese tech giants such as Tencent Holdings, NetEase, and China Literature. By the end of June, Transsion had developed seven apps with more than 10 million monthly active users each.
Editor: Emmi Laine