China's data centers operator GDS drops most in 8 weeks after Q1 results

GDS Holdings

23/05/2024 03:49

** Hong Kong-listed shares of GDS Holdings  9698.HK  drop
15.1% to HK$7.60, on course for biggest one-day decline since
March 27
    ** Stock set to fall for third straight session; biggest
loser on Hang Seng Composite Index  .HSCI  and index tracking
information technology firms  .HSCIIT 
    ** The U.S.-listed stock of the Chinese high-performance
data centers developer and operator  GDS.N  fall 13.9% on
Wednesday
    ** GDS Q1 net revenue up 9.1% Y/Y to 2.6 bln yuan ($363.1
mln), adjusted EBITDA up 4.7% Y/Y to 1.2 bln yuan and net loss
narrowing to 344.9 mln yuan from 1Q2023's net loss of 474.6 mln
yuan  
    ** Jefferies keeps "Buy" rating, saying 1Q24's revenue and
EBITA slightly missed, but expansion of its international
operation is on the right track 
    ** Hang Seng Composite Index  .HSCI  declines 2.1%, index
tracking information technology firms  .HSCIIT  drops 2.5% and
Hang Seng Index  .HSI  falls 2.2%
    ** Hong Kong-listed stock fell 15% YTD, U.S. shares down
12.2% YTD  


($1 = 7.2442 Chinese yuan renminbi)

 (Reporting by Donny Kwok)
 ((donny.kwok@thomsonreuters.com))