TECHNOVATOR(01206) issued a profit warning, expecting an annual loss of about 495 million to 505 million yuan, which is an increase compared to the same period last year.

TECHNOVATOR (01206) announced that the group expects to incur a loss of approximately RMB 495 million to RMB 505 million for the year ending December 31, 2025, compared to a loss of approximately RMB 265 million for the year ending December 31, 2024. The increase in losses for the year ending December 31, 2025 is mainly attributed to the impact of weak market recovery and increasingly fierce industry competition, which significantly squeezed the gross profit margin of the company's winning projects. Additionally, factors such as additional costs incurred during the execution of certain projects in the current year further squeezed the group's profit margin, leading to a significant decline in gross profit margin during the period and posing a significant challenge to the overall profitability of the group. At the same time, against the backdrop of insufficient effective demand in the domestic economy, the group, taking into consideration factors such as project settlement cycles and changes in the industry environment, made additional impairment provisions for certain projects and assets, further negatively impacting the group's net profit for the year ending December 31, 2025.