Kai Chun Co., Ltd.: Net profit is expected to be negative in 2025.

Kechun Stock announced that it is expected to have negative net profit for the year 2025. The net profit attributable to the shareholders of the listed company is expected to be between -14 million and -9 million RMB, and the net profit after deducting non-recurring gains and losses is expected to be between -19 million and -14 million RMB. Due to changes in market demand structure, some projects of the company have shown signs of overstock. Based on prudence principle and in accordance with the relevant provisions of the "Enterprise Accounting Standards", the company has made corresponding impairment provisions for inventory with impairment indicators. At the same time, during the reporting period, the company actively promoted strategic transformation and upgrading, increased research and development investment in the field of "AI+ e-commerce" fusion, and also focused on exploring the establishment of vertical and deep AI applications on multiple levels, including intelligence appraisal analysis system, AI customer service application, AI public opinion management and digital operation platform. The above strategic investments have caused certain pressure on profits in the short term, resulting in a year-on-year pressure on net profit for the reporting period.