SINCERE (00244) issues profit warning, expecting a net loss attributable to shareholders of HK$63 million to HK$65 million in 2025.

SINCERE (00244) announced that the group is expected to incur a net loss attributable to shareholders of HK$63-65 million for the fiscal year 2025, compared to a net loss of approximately HK$40.1 million for the fiscal year 2024. The announcement stated that the increase in expected net loss is primarily due to the absence of property sale proceeds completed in July 2024 (approximately HK$30.6 million in the fiscal year 2024). Despite a decrease in gross profit by approximately HK$5.6 million to around HK$63.6 million (fiscal year 2024: approximately HK$69.2 million), the group's revenue is expected to increase by approximately HK$2.9 million to around HK$1.342 billion for the fiscal year 2025. In addition, (i) general and administrative expenses for the fiscal year 2025 are expected to decrease by approximately HK$7.3 million to around HK$42.7 million; and (ii) financial costs for the fiscal year 2025 are expected to decrease by approximately HK$7.1 million to around HK$16 million, helping to partially offset the aforementioned impacts.