Net Profit Expected to Grow by More Than 30%, Driven by Strong Momentum in North America

PAX Global Technology Limited (“PAX”, HKSE stock code: 00327.HK), one of the world’s leading providers of electronic payment terminal solutions and related services, is pleased to announce that based on the preliminary assessment by the Board of the unaudited consolidated management accounts of the Group and the information currently available to the Board, the Group is expected to record an increase of not less than 30% in net profit for the six months ending 30 June 2026 (the “Reporting Period”) as compared to HK$391 million for the six months ended 30 June 2025, notwithstanding the impairment loss on goodwill in respect of Pax Technology Australia Pty Ltd. of approximately HK$50 million and the unfavourable foreign exchange impacts, which are expected to be recognised during the Reporting Period.

The Board considers that the expected increase in net profit is mainly attributable to the revenue growth recorded in the first half of the year, notably driven by growing market demand in the United States of America and Canada (USCA) region, together with the Group’s operational savings from enhanced expense control measures.

Despite the expected improvement in the Group’s results for the Reporting Period, the Board remains cautious regarding the potential challenges in the second half of the year, particularly upward pricing pressure on certain components. Amid shifts in global semiconductor supply and demand, the rising price trend for certain components, particularly memory chips, may persist and could have negative influence on the Group’s gross margins and sales performance. Notwithstanding these challenges, the Board remains confident in the ongoing resilience of the Group’s operations.

Information contained in this announcement is based on the preliminary review by the Board of the unaudited consolidated management accounts of the Group which has not been reviewed nor audited by the auditor of the Company and the information currently available to the Board which has not been discussed with the auditor of the Company.

Further details and the financial results of the Group for the Reporting Period will be disclosed when the Group publishes its interim results which is expected to be released in August 2026.

For more information, please refer to the announcement.