HXTL (01085) issued a profit warning, expecting an unaudited net loss of approximately 41 million to 43 million yuan for the year, compared to a profit year-on-year.

HXTL (01085) announced that the company expects to incur a net loss of approximately RMB 41 million to RMB 43 million for the year ending December 31, 2025, without audit. In the same period last year, the audited net profit was approximately RMB 73.3 million. The announcement stated that the company incurred a net loss without audit for the current reporting period, compared to an audited net profit in the same period last year. This was mainly due to: a decrease in revenue; an increase in impairment losses on trade receivables and other receivables; an increase in interest expenses; and an increase in income tax.