Mainland Holdings (01100) issues a profit warning, expecting a year-on-year decrease in shareholders' attributable comprehensive profits of not less than 50%.

MAINLAND HOLD (01100) announces that it is expected that the Group's owners' share of comprehensive profit for the year ended December 31, 2024 will decrease by at least 50% compared to the same period in 2023. The decrease in profit is mainly due to the following reasons: (1) The Group's shareholders' share of profit for the interim period decreased by 45.8% compared to the same period in 2023, mainly due to weak consumer confidence in the European and American markets, combined with major customers still digesting a large amount of pre-ordered and hoarded inventory. In the second half of 2024, the Group's trading business continued to face challenges of weak retail consumer market and major customer inventory backlog. (2) The Group completed the construction project of a new factory and warehouse in Mexico with the aim of diversifying its manufacturing business geographically and better serving its American customers. In the year ended December 31, 2024, the operation of the new factory incurred losses as it was training enough new workers to meet the company's quality standards and customer order requirements. (3) The newly acquired Dutch subsidiary Difuzed B.V. has been operating at a loss since its acquisition on August 23, 2024. (4) In the fiscal year ended December 31, 2023, the Group gained a one-time profit (after tax) of HK$39.30 million from the sale of US properties, while no such profit-generating transactions occurred in 2024.