China Modern Dairy Holdings Ltd (CH MODERN D) saw its stock price plummet by 5.17% in early trading on Wednesday, following the release of its annual financial results. The significant drop comes as investors react to the company's reported substantial loss for the year.
According to the financial report, China Modern Dairy suffered a loss of RMB1,469 million for the fiscal year. This considerable loss appears to be the primary driver behind the sharp decline in the company's stock price. Despite the challenging financial situation, the company reported annual revenue of RMB13,254 million.
In an unexpected move, China Modern Dairy announced a final dividend of RMB0.0122 per ordinary share, despite the reported loss. This decision to distribute dividends in the face of financial difficulties may have further contributed to investor concerns about the company's financial management and future prospects, potentially exacerbating the stock's downward movement.
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