Shares of Zhaojin Mining Industry Co. (01818.HK) plunged 5.01% during Friday's intraday trading session, as investors reacted to the company's recently released full-year financial results and a significant new investment announcement.

The gold mining company reported a full-year profit attributable of RMB1.45 billion and revenue of RMB11.55 billion. Despite maintaining a gross margin of 39.15%, the market's response suggests that these figures may have fallen short of investor expectations. Adding to the downward pressure, Zhaojin Mining declared a modest full-year dividend of RMB 0.05 per share, which might have disappointed shareholders looking for higher returns.

Further contributing to the stock's decline was the company's announcement of a RMB482.35 million contribution to Shandong Ruiyin Mining Industry, increasing its registered capital from RMB1,441.17 million to RMB2,130.24 million. While this investment aims to strengthen Zhaojin's position in the mining sector, some investors may view it as a significant cash outlay that could impact short-term financial flexibility, potentially explaining the sharp sell-off in the stock.