SUN HING PRINT (01975) issued a warning that it expects a decrease in mid-term profits of no less than 40% compared to the previous year.

SUN HING PRINT (01975) announced that the group expects a decrease in profit of not less than 40% compared to the same period ending on December 31, 2024. The announcement stated that the expected decrease in profit is mainly due to concerns over global economic slowdown and inflation, leading to a more conservative consumer behavior among general customers, resulting in reduced spending on printing and promotional projects, which in turn led to a decrease in company revenue. The company has slightly reduced the cost of sales goods and administrative expenses. However, the cost savings are offset by continued fixed sales and distribution expenses and financing costs, which will not decrease proportionately due to the decrease in revenue.