PERFECT GROUP (03326) issues profit warning, expecting a decrease in annual profit of approximately 60% to 80% compared to the previous year.

PERFECT GROUP (03326) announced that, compared to the profit of approximately 34.2 million Hong Kong dollars reported for the 2023 fiscal year, it is expected that the profit obtained by the Group in the 2024 fiscal year will decrease by approximately 60% to 80%. This expected decrease is mainly due to the following factors: impairment loss recognized for the property held for sale located in the jewelry industry center in China in the 2024 fiscal year, causing a decline in the financial performance of the property business, with some of the impact offset by the reversal of excess provisions for Chinese taxes in previous years; weak customer confidence in the 2024 fiscal year and realized and unrealized losses on gold futures contracts, leading to a decline in the financial performance of the jewelry business; and the impact partially offset by the expansion of the photovoltaic power generation business, as more photovoltaic power generation projects will be launched in the 2024 fiscal year, generating more revenue from electricity sales.