BBMG Corporation (02009) issues profit warning, expecting a net loss attributable to shareholders of 300-600 million yuan in 2024, a year-on-year turnaround from profit to loss.

BBMG Corporation (02009) announced that it is expected to incur a net loss attributable to shareholders of the listed company of 300-600 million yuan in 2024, a year-on-year change from profit to loss; it is expected to incur a non-recurring net loss of approximately 2.8-3.1 billion yuan, a year-on-year increase. During the reporting period, the cement industry faced overcapacity, with the company being affected by weak overall market demand and intensified competition. The average annual sales price and sales volume of cement and clinker decreased year-on-year. However, the company implemented various cost reduction and efficiency improvement measures, continued to promote lean operations management, and saw a slight improvement in operating profit for its cement business. The real estate market is currently still undergoing a deep adjustment period, with sales prices of the company's real estate projects falling below expectations and project gross profit margins decreasing to some extent, which has impacted the operating profit of the real estate business. During the reporting period, the company's total comprehensive sales volume of cement and clinker was approximately 84.4 million tons (accounting standard basis), a decrease of about 9.5% from the same period last year; the area of real estate projects completed and transferred by the company was approximately 1.104 million square meters, a decrease of about 5.3% from the same period last year.