ZT HN GROUP (02433) issues profit warning. It is expected that the net loss for the year 2025 will increase by about 70 million to 78 million yuan compared to the previous year.

ZT HN GROUP (02433) announced that the Group is expected to incur a net loss of approximately RMB 70 million to RMB 78 million for the year ending December 31, 2025, while a net loss of approximately RMB 26.4 million was incurred for the year ending December 31, 2024 (the previous year). The Board of Directors believes that the significant increase in net loss for the current year compared to the previous year is mainly due to the decrease in revenue from approximately RMB 930.8 million in the previous year to approximately RMB 586.3 million in the current year, mainly as a result of the overall economic slowdown and a decrease in construction projects; and the net impairment of financial and contract assets has significantly increased from approximately RMB 37.6 million in the previous year to approximately RMB 74 million in the current year, due to extended customer settlement periods and corresponding provisions for expected credit losses.