GC CONSTRUCTION (01489.HK) Issues Positive Profit Alert, Expecting Interim Net Profit of Approximately HK$100,000 to HK$2 Million, Turning from Loss to Profit Year-on-Year

Zhitong Finance APP News, GC CONSTRUCTION (01489.HK) announced that the Group expects to record a net profit of approximately HK$100,000 to approximately HK$2 million for the six months ended September 30, 2026, compared with a net loss of approximately HK$9 million for the six months ended September 30, 2025. The turnaround from loss to profit was mainly due to an improvement in the Group's gross profit margin. The improvement in gross profit margin was mainly attributable to (i) the absence of certain low-margin plastering projects during the reporting period, which were completed in the corresponding period and had adversely affected the gross profit margin during that period; (ii) the commencement and progress of new projects awarded at more favorable contract prices, which contributed a higher gross profit margin during the reporting period; and (iii) the Group's implementation of effective cost control measures, including better management of subcontracting fees and material costs.