DYNASTY DIGITAL (00451) has issued a positive profit alert, indicating a significant shift in financial performance.
The company announced that it expects to record a net profit of no more than 5 million yuan for the six months ending June 30, 2026. This marks a sharp turnaround from the same period a year earlier, when the group reported a net loss of approximately 240 million yuan for the six months ended June 30, 2025.
Based on available information, the anticipated swing to profitability is attributed to two main factors. First, a one-off impairment loss of about 295 million yuan recognized in the prior period under the expected credit loss model did not recur in the reporting period. Second, administrative expenses were reduced as a result of the group's cost-control measures.
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