MEIHAO GROUP (01947) issued a profit warning, expecting a net loss of approximately 13.1 million to approximately 19.8 million for the year, a decrease from the previous year.

MEIHAO GROUP (01947) announced that it expects to incur a net loss of approximately RMB 13.1 million to RMB 19.8 million for the year ending December 31, 2025, compared to a loss of approximately RMB 32.6 million for the year ending December 31, 2024. The Board of Directors believes that the reduction in losses is mainly attributed to (including) the net impact of the following factors: significant increase in the group's income scale, continuous expansion of business scale driving gradual manifestation of scale effects, effective dilution of fixed costs such as depreciation and rent, significant improvement in overall profit capability; significant decrease in expenditure based on shares; continuous optimization of human resource allocation and personnel structure, reasonable improvement in labor efficiency, leading to a steady decrease in the proportion of employee compensation to revenue, outstanding results in controlling human resource costs; and continuous strengthening of cost control measures, continuous improvement in internal operating efficiency, further strict control of various operating expenses, achieving effective reduction in operating costs, and continuous optimization of operational quality.