SMART GLOBE (01481) issues a profit warning, expecting net profit for the first half of the year to increase to approximately HKD 15 million - HKD 21 million.

SMART GLOBE (01481) announced that the group expects to achieve a net profit of approximately HKD 15 million to HKD 21 million in the first half of 2026, compared to a net profit of approximately HKD 10.5 million in the same period of 2025. This improvement is attributed to the better financial performance of the groups supply chain management services division, which is expected to increase its revenue to no more than HKD 148 million in the first half of 2026 (first half of 2025: HKD 47.3 million), and to achieve a divisional profit of no more than HKD 29 million (first half of 2025: divisional profit HKD 14.8 million). The announcement stated that the anticipated improvement in the groups financial performance is mainly due to: the continuous growth in trade flow in the Copperbelt Area, and the increasing demand for logistics services from participants in the mineral value chain, especially along the major cross-border trade corridors in the region, which has enabled the groups supply chain management business in sub-Saharan Africa to expand rapidly; benefits from deepened cooperation with strategic business partners, allowing the group to secure more logistics projects and strengthen its market position, while the customer portfolio becomes more ideal and business volume increases; and the groups enhancement of logistics capabilities and expansion of service scope to include transportation and storage services for petroleum products, thereby broadening the groups revenue streams, increasing transportation volume, and further improving the utilization of its logistics network and infrastructure.