FOUNTAIN SET (00420) expects mid-term profits to increase by 35.8 million Hong Kong dollars.

FOUNTAIN SET (00420) announced that the Group's profit significantly improved in the six months ending June 30, 2025. The Company's attributable profit changed from a loss of HK$9.9 million in the same period in 2024 to a profit of HK$30.7 million in 2025, achieving a turnaround. The Group's profit for the period increased from HK$4.2 million in the same period of 2024 to HK$35.8 million in the current period, showing significant growth. The announcement stated that the improvement in performance was mainly due to: 1. Procurement and sales cooperation: Stabilizing existing customers, developing new customers, actively reducing procurement costs, and enhancing overall business gross profit and profit contribution; 2. Strengthening cost control: Using an information system as a management tool, aiming to improve product quality, continuously reducing factory production consumption, and lowering production costs; and 3. Enhancing management and control: The Group continues to promote fine management, reduce costs, further decrease expenses such as transportation and labor costs, actively conduct inventory monitoring, formulate reasonable procurement plans, and actively reduce aged inventory.