HERBS GROUP (02593) issues profit warning, expecting a year-on-year decrease in net profit for the year 2024 to around HK$11 million to HK$13 million.

Herbs Group (02593) announced that the group expects a profit of approximately HK$11-13 million for the year ending December 31, 2024 (2023: HK$39.5 million). This change is mainly due to the following factors: (i) Listing expenses of approximately HK$19 million incurred during the reporting period (2023: 0); (ii) Increase in depreciation expenses mainly due to the addition of self-operated stores by the group during the reporting period; and (iii) Decrease in total revenue and gross profit of the group during the reporting period, mainly due to a decrease in wholesale business sales.