SINOFORTUNE FIN (08123) issued a profit warning, expecting a loss for 2025 not exceeding approximately HK$14.8 million, a narrowing compared to the previous year.

SINOFORTUNE FIN (08123) announced that it is expected to incur a loss of approximately 148 million Hong Kong dollars for the financial year ending on December 31, 2025 (2025 financial year), compared to a loss of about 990 million Hong Kong dollars for the financial year ending on December 31, 2024 (2024 financial year). The significant decrease in the loss is mainly attributed to (i) a significant reversal of impairment loss on prepayments for car purchases of about 188 million Hong Kong dollars (2024 financial year: impairment loss of about 758 million Hong Kong dollars); and (ii) recognition of significant income of about 143 million Hong Kong dollars from the sale of a subsidiary of the group (2024 financial year: none). However, the positive impact of the above items is partially offset by a significant impairment loss of about 252 million Hong Kong dollars on other receivables recognized in the 2025 financial year (2024 financial year: none), to some extent alleviating the extent of the group's reduced loss.