WING FUNG GROUP (08526) announced its annual results for the period ended December 31, 2025. Revenue amounted to HK$145.6 million, representing a decrease of 17.6% compared to the previous year. The company recorded a net loss of HK$22.009 million, a significant shift from the net profit of HK$1.073 million reported in the same period last year. The basic loss per share was HK13.56 cents.
The transition from profit to loss during the period was primarily attributed to several factors: (i) a revenue decline of approximately HK$31.2 million due to project delays caused by an economic downturn; (ii) significant cost overruns and a notable decrease in the expected project gross profit margin resulting from delays in the completion of several group projects; (iii) a reduction of roughly HK$2 million in the reversal of impairment losses on trade receivables and contract assets; and (iv) a write-off of approximately HK$5.3 million in contract assets recognized upon the final settlement of the Taipa project in Macau during the period.
Despite the loss for the period, the group maintains a vigilant and proactive approach and has successfully secured new projects with substantial contract values. In the second half of 2025, the group was awarded a new project with an initial contract value exceeding HK$175 million, among other projects. The group will continue to regularly and closely monitor the progress of its ongoing projects and will persistently seek suitable tender opportunities and submit bids for potential projects to maximize profitability and enhance shareholder returns.
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