MINISO Group Holding Limited (09896) saw its shares decline more than 6% following the release of its financial results. At the time of writing, the stock was down 6.78% to HK$24.2, with a turnover of HK$734.5 million.

The company announced that first-quarter group revenue reached RMB 5.688 billion, a year-on-year increase of 28.5%. Adjusted net profit was RMB 551 million, down 6.1% compared to the same period last year. Excluding exchange gains and losses, the figure was RMB 633 million, an increase of 8.1% year-on-year. The adjusted net profit margin stood at 9.7%, compared to 13.3% in the prior-year period. Excluding exchange effects, the margin was 11.1%, versus 13.2% a year earlier.

An analysis noted that impairment losses from earlier investments, financial expenses related to convertible bonds, and cost pressures from the expansion of overseas directly operated stores were largely reflected in the 2025 results, weighing on the profit base for the period. Starting in 2026, as domestic store optimization continues to drive same-store sales improvements and scale effects from overseas directly operated stores gradually materialize, operating leverage is expected to recover.