GUANGNAN (HOLD) (01203) issues profit warning, expecting a loss of approximately HK$8 to HK$9 million for the first quarter attributable to equity holders of the company.

GUANGNAN (HOLD) (01203) announced that it is expecting an unaudited comprehensive loss attributable to shareholders of the company of approximately HK$80 million to HK$90 million for the three months ending on March 31, 2026, while an unaudited comprehensive profit of HK$34.77 million was recorded for the three months ending on March 31, 2025. The main factors affecting the expected performance of the Group for the three months ending on March 31, 2026, are as follows: the performance of a joint venture company engaged in the operation of pig farming and sales has turned into a loss due to the decline in pig prices in the first quarter of 2026, leading to a significant increase in the Group's share of the joint venture company's losses year-on-year; in addition, the profits from the pig supply business to Hong Kong have decreased compared to the previous year due to the decline in pig prices; and the fierce competition in the horse mouth iron industry has led to a decrease in sales volume and selling price of horse mouth iron products, resulting in a decrease in profit from the horse mouth iron business year-on-year.