ST Huaxi: It is expected that the net profit will amount to a loss of 240 million yuan in 2025.

ST Huaxi Announcement: It is expected that the net loss for the year 2025 will be 240 million yuan, compared to a loss of 348 million yuan in the same period last year. Due to the fact that the company's internal controls in the year 2024 received an audit report from the accounting firm stating an "unable to express opinion," the company's stock trading has been subject to other risk warnings, which have had varying degrees of impact on the company's market image, financing, outstanding orders, and execution of major projects. Completed delivery of products has decreased year-on-year, leading to a decrease in revenue. The high amount of interest-bearing liabilities and high financial expenses are important factors affecting the company's profitability. Influenced by macroeconomic factors and funding issues, some customers have delayed payments, resulting in a longer accounts receivable collection period and an increase in account age. In accordance with accounting policies, the company has made corresponding provisions for asset impairment. Due to the long time cycle for pre-project work such as filing, approval, and arranging of owner funds, the progress of initiating and executing new contracts has been slow, which has had a certain degree of impact on revenue.