Man Wah Holdings Limited Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now

The analysts might have been a bit too bullish on Man Wah Holdings Limited (HKG:1999), given that the company fell short of expectations when it released its annual results last week. Man Wah Holdings missed earnings this time around, with HK$17b revenue coming in 4.1% below what the analysts had modelled. Statutory earnings per share (EPS) of HK$0.53 also fell short of expectations by 11%. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

Our free stock report includes 1 warning sign investors should be aware of before investing in Man Wah Holdings. Read for free now.

Following the latest results, Man Wah Holdings' eleven analysts are now forecasting revenues of HK$17.3b in 2026. This would be a modest 2.6% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to rise 7.1% to HK$0.57. Yet prior to the latest earnings, the analysts had been anticipated revenues of HK$18.4b and earnings per share (EPS) of HK$0.64 in 2026. From this we can that sentiment has definitely become more bearish after the latest results, leading to lower revenue forecasts and a real cut to earnings per share estimates.

Check out our latest analysis for Man Wah Holdings

The analysts made no major changes to their price target of HK$5.83, suggesting the downgrades are not expected to have a long-term impact on Man Wah Holdings' valuation. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic Man Wah Holdings analyst has a price target of HK$8.20 per share, while the most pessimistic values it at HK$4.50. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that Man Wah Holdings' revenue growth is expected to slow, with the forecast 2.6% annualised growth rate until the end of 2026 being well below the historical 3.7% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 8.4% per year. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Man Wah Holdings.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Unfortunately, they also downgraded their revenue estimates, and our data indicates underperformance compared to the wider industry. Even so, earnings per share are more important to the intrinsic value of the business. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for Man Wah Holdings going out to 2028, and you can see them free on our platform here..

Don't forget that there may still be risks. For instance, we've identified 1 warning sign for Man Wah Holdings that you should be aware of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.