HK Stock Market Move | LEOCH INT'L (00842) fell more than 9%, expected to switch from profit to loss by up to 300 million yuan in 2025.

LEOCH INT'L (00842) fell more than 9%, dropping by 9.68% to HK$0.56 at the time of reporting, with a turnover of HK$22.863 million. On the news front, LEOCH INT'L announced this morning that for the twelve months ended December 31, 2025, the attributable profit of the parent company turned negative compared to the previous year. The expected loss amount is not expected to exceed approximately RMB 300 million, mainly due to the continued impact of additional import tariffs imposed by the US government since the second quarter of 2025, changes in the group's order structure leading to significantly increased export costs to the US; the group is in the stage of improving quality and expanding production in 2025, with new products being launched, leading to increased raw material consumption and a year-on-year increase in unit production costs; and the attributable profit of the parent company for the first half of 2025 decreased by approximately 61.7% compared to the same period last year, which is part of the reason for the decline in full-year performance in 2025.