Herbs Group (02593) issued a profit warning, expecting a net loss of no less than approximately HK$23 million in 2025, compared to a profit in the same period.

The Caohui Group (02593) announced that the expected net loss for the year ending December 31, 2025 (reporting period) will be no less than approximately 23 million Hong Kong dollars, compared to a net profit of approximately 13 million Hong Kong dollars for the year ending December 31, 2024. This change is mainly due to the decrease in revenue and gross profit of the group during the reporting period, primarily due to an increase in promotional discounts during the reporting period; an increase in advertising and promotional expenses during the reporting period (including but not limited to online advertising, offline advertising, and engaging artists and KOLs); and an increase in employee costs during the reporting period.