HK Stock Market Move | BEIJING N STAR (00588) fell more than 11% after issuing a profit warning. It is expected that the company's attributable profit for the first half of the year will continue to be in a loss.

BEIJING N STAR (00588) fell more than 11% after issuing a profit warning, with a drop of 10.38% as of the close of trading, at HK$0.95, with a trading volume of HK$28.4633 million. On the news front, on July 14th, BEIJING N STAR announced that it is expected to continue to incur losses for the first half of 2025 for the company's owners' share of profit (excluding gains or losses from fair value changes of investment properties). According to the preliminary calculations by the company's financial department: It is expected that the net loss attributable to the company owners (excluding gains or losses from fair value changes of investment properties) for the first half of 2025 will be between RMB 14.01 billion and 17.61 billion, compared to the same period last year, the losses are expected to continue. It is estimated that the net loss attributable to the company owners (excluding gains or losses from fair value changes of investment properties and deducting non-recurring gains) for the first half of 2025 will be between RMB 14.21 billion and 17.91 billion, compared to the same period last year, the losses are expected to continue. The estimated cash balance at the end of the period is about RMB 7.4 billion, the company has sufficient financial reserves, smooth financing channels, and safe operations. During the reporting period, the company's exhibition (including hotels) and commercial property sectors made efforts to improve operational capabilities, but due to the impact of real estate development business, the company as a whole incurred losses. The company's real estate development business adjusted marketing strategies based on market conditions, accelerated project sales and cash inflow, and due to market conditions, some real estate projects showed signs of impairment. The company conducted a preliminary impairment test on inventory in accordance with accounting standards and estimated a provision for impairment of some real estate projects based on the principle of prudence.