LEGION CONSO(02129) Issues Profit Warning, Expected pre-tax loss for fiscal year 2025 not less than 5.1 million Singapore dollars, turning from profit to loss year-on-year.

CONSO (02129) announced that it is expected to incur a pre-tax loss of not less than SGD 5.1 million for the fiscal year 2025, while it achieved a pre-tax profit of approximately SGD 5.9 million for the fiscal year 2024. The announcement stated that the expected loss in fiscal year 2025 is mainly due to: (i) a decrease in revenue from approximately SGD 66.1 million in fiscal year 2024 to approximately SGD 61.2 million in fiscal year 2025. The decrease in revenue is mainly attributed to a decrease in market demand, leading to a significant decrease in sales of truck transportation and freight forwarding services; (ii) an increase in operating costs, including maintenance and logistics-related expenses, leading to a compression of profit margins and impacting profitability; (iii) a decrease in other income, especially a decrease in interest income from fixed deposits and the impact of exchange rate fluctuations; (iv) an increase in operating expenses, including additional professional fees, bank charges, and other administrative costs; and (v) recognition of impairment losses on intangible assets and trade receivables.