KAI YUAN HLDGS(01215) announces profit increase, expected annual net profit attributable to shareholders approximately HK$35.8 million, turning loss into profit year-on-year.

Kai Yuan Holdings (01215) announced that the group is expected to achieve a profit attributable to owners of the company of approximately HK$35.8 million for the year ending December 31, 2024 (current year), compared to a loss of approximately HK$2.4 million for the year ending December 31, 2023 (prior year). The turnaround from loss to profit in the current year is mainly due to the increased revenue and gross profit contributed by the Paris Marriott Hotel Champs-Elysees, which amounted to approximately HK$323.5 million and HK$86.7 million respectively (prior year: revenue of approximately HK$293.6 million and gross profit of approximately HK$70.5 million); the full repayment of outstanding convertible bonds principal and accrued interest received in the current year, resulting in a reversal of impairment provision of approximately HK$12 million for the three-year convertible bonds subscribed by the group; no impairment provision for loans provided to associates in the current year (prior year: approximately HK$8.2 million), offset by a provision for income tax of approximately HK$13.2 million (prior year: approximately HK$3.3 million).