PRODUCTIVE TECH (00650) is expected to reduce its mid-term losses compared to the previous year.

Productive Tech (00650) announced that the Group is expected to incur a net loss attributable to equity shareholders of approximately 87.7 million Hong Kong dollars for the six months ending September 30, 2025 (loss of 160.7 million Hong Kong dollars for the six months ending September 30, 2024). The net loss attributed to equity shareholders of the Company during the reporting period mainly stems from the development and expansion of the semiconductor and CECEP Solar Energy industries, resulting in research and development (R&D) and administrative expenses of approximately 93.5 million Hong Kong dollars. The loss decreased by approximately 73 million Hong Kong dollars compared to the same period in 2024, mainly due to: an improvement in operating and investment performance in the same period in 2024, including a reduction in administrative and R&D expenses by approximately 37.7 million Hong Kong dollars from around 131.1 million Hong Kong dollars, mainly attributed to cost control measures implemented to address the weak market environment, as well as a decrease in R&D material costs after the completion of major product development; investment income generated from changes in fair value of fund investments increased by approximately 9.6 million Hong Kong dollars from a loss of about 0.9 million Hong Kong dollars; impairment losses on investments in an associated company decreased from approximately 40.4 million Hong Kong dollars to no impairment loss recognized; and a decrease in gross profit contribution from the Company's crude oil and equipment business of approximately 20 million Hong Kong dollars offsetting the decline in total revenue during the reporting period.