HK Stock Market Move | RAFFLESINTERIOR (01376) drops more than 13%, possible delay in publishing last year's performance results, expected trading halt from April 1st.

RAFFLESINTERIOR (01376) fell more than 13%, dropping by 13.39% to HK$0.11 at the time of writing, with a turnover of HK$481,600. On the news front, RAFFLESINTERIOR announced that the company may delay the publication of its 2025 annual performance. As a result, it is expected that trading of the company's shares will be suspended from April 1. The announcement stated that an external auditor has expressed doubts about the integrity of Zheng Nenghuan and raised significant concerns and uncertainties about Zheng Nenghuan's involvement in a series of actions that collectively raise doubts about the group's ongoing business capabilities. The auditor's report indicates that the audit procedures for last year's performance need to be adjusted and significantly expanded. Furthermore, if the investigation by the Independent Director's Committee is not able to be completed with conclusive evidence before the deadline set by the regulatory authorities, the auditor is likely to have doubts about the integrity of the management. These doubts have a broad impact on the overall financial statements and cannot be adequately addressed by issuing a simple or limited number of audit qualifications on the financial statements. The investigation by the Independent Director's Committee is still ongoing, and the management has not provided sufficient evidence to satisfy the auditor's expanded audit procedures.