High Mountain Enterprise (00616.HK) issues profit warning with expected annual comprehensive net loss to increase by not less than HK$300 million compared to the previous year.

The Financial News App reported that Gaoshan Enterprise (00616.HK) announced that compared to a comprehensive net loss of approximately 213 million Hong Kong dollars for the fiscal year ending March 31, 2024, the group expects to achieve a comprehensive net loss of no less than 300 million Hong Kong dollars in the current fiscal year. The expected increase in comprehensive net loss is mainly due to (including): (i) increase in fair value loss on investment properties; (ii) increase in loss on sale of investment properties; (iii) increase in impairment loss on properties held for sale; (iv) increase in fair value loss on financial assets recorded at fair value through profit or loss; (v) increase in losses from modifying the terms of convertible notes; and (vi) increase in financing costs, partially offset by a decrease in tax expenses.