AUSNUTRIA (01717) announced its interim results, reporting a loss attributable to equity holders of approximately 705 million yuan, a significant shift from profit to loss compared to the same period last year.

AUSNUTRIA (01717) announced its interim results for 2026, with revenue approximately 3.163 billion yuan, a year-on-year decrease of 18.6%; gross profit approximately 519 million yuan, a year-on-year decrease of 68.1%; and a loss attributable to equity holders of approximately 705 million yuan, a shift from profit to loss year-on-year; the loss per share was 39.69 cents. The announcement stated that the revenue decline was mainly due to a one-time proactive operational adjustment during the period and external factors such as the declining birth rate in China, which led to intensified industry competition. The loss was primarily attributed to the following adverse impacts: (i) one-time inventory-related adjustments, leading to a significant drop in gross margin; (ii) impairment of non-cash assets related to goodwill and other intangible assets due to prudent management evaluation principles aimed at further enhancing asset quality; and (iii) other one-time costs arising from the optimization of the group's organizational structure and efficiency improvements.