SC Holdings (00413) issues profit warning: Expected to incur a significant loss of approximately HK$1.5 billion to HK$1.8 billion in 2025, turning from profit to loss year-on-year.

South China Group Holdings (00413) announced that it is expected to incur a significant loss of approximately 1.5 billion to 1.8 billion Hong Kong dollars in 2025, while its net profit in 2024 was approximately 12.2 million Hong Kong dollars. The expected loss is mainly due to: (i) a net loss in fair value of investment properties, reflecting a weakening property market; (ii) a decrease in sales orders from major customers and a reduction in orders from overseas customers due to the impact of U.S. tariffs, resulting in operational losses in trade and manufacturing businesses.