TSE SUI LUEN (00417) Issues Positive Profit Alert, Expects Interim Profit of Not Less Than HK$90 Million, Turning from Loss to Profit Year-on-Year

TSE SUI LUEN (00417) announced that the Group expects to record a profit of not less than HK$90 million for the six months ended September 30, 2026 (the current period), compared with a loss of HK$35.3 million for the six months ended September 30, 2025. The expected turnaround from loss to profit for the year is primarily attributable to the Group's successful implementation of its business transformation strategy, including: improvement in same-store sales performance and increased profit contribution from the franchising business in mainland China; and a reduction in selling, distribution and administrative expenses through effective cost optimization strategies, and a decrease in restructuring costs as the Group's restructuring plan nears completion, since the second half of the fiscal year ended March 31, 2026; together with an increase in fair value arising from the settlement of trade payables in gold commodities, and gains from inventory realization driven by changes in gold prices; and a decrease in non-cash impairment provisions for retail store-related assets and other assets as the operating performance and profitability of retail stores improved. Together with other relatively minor favorable factors, the Group achieved significant improvement and successfully turned around from loss to profit.