HK Stock Market Move | MEILAN AIRPORT (00357) dropped nearly 7% as its performance in the first half of the year fell short of institutional expectations. It plans to sell a 6% stake in Hainan Airport Holdings.

MEILAN AIRPORT (00357) fell nearly 7%, and as of the time of writing, it is down 6.76%, reported at HKD 5.24, with a transaction value of HKD 1.6757 million. In terms of news, on the evening of August 21, MEILAN AIRPORT announced its mid-year results for 2026, with total revenue of approximately 1.092 billion yuan, a year-on-year increase of 1.14%; the net loss attributable to shareholders of the parent company was about 66.8786 million yuan, narrowing by 4.73% compared to the previous year. Notably, MEILAN AIRPORT also disclosed two transactional matters: first, its wholly-owned subsidiary, Ruigang Logistics, plans to sell a 6% stake in Hainan Airport Holdings to Hainan Airport Development; second, the fulfillment entity of the duty-free concession agreement for Haikou Meilan International Airport has been changed to Hainan HNA Zhongmin Duty-Free Goods Co., Ltd. Huatai commented that MEILAN AIRPORT's performance in the first half of the year was below the bank's expectations, primarily due to aviation demand being suppressed by high oil prices and high fuel surcharges. The company's passenger throughput in the first half increased only slightly by 1.3% year-on-year, and non-aviation businesses have not shown significant improvement overall. However, looking forward, the sale of the 6% stake in Hainan Airport Holdings is expected to confirm investment income of approximately 540 million yuan for the company, and if the delivery goes smoothly, it is anticipated to break even for the year.