The Shenzhen Stock Exchange has issued a public reprimand and disciplinary action against Leo Group Co.,Ltd. (002131) and related parties. Legal experts indicate that affected investors can now initiate claims for compensation based on this decision.
The disciplinary decision, dated July 3, 2026, follows an investigation which found the company had committed violations.
The findings revealed that on January 31, 2026, Leo Group disclosed its 2025 annual performance forecast, projecting a net profit attributable to shareholders of between 1.9 billion and 2.5 billion yuan. However, on April 24, 2026, the company issued a corrected forecast, revising the estimated net profit for 2025 down to a range of 30 million to 45 million yuan. The audited annual report, released on April 29, 2026, showed the actual net profit for 2025 was 33.7444 million yuan. This constituted a significant discrepancy between the initially forecasted profit and the final audited figure.
The exchange determined that these actions violated multiple provisions of its Listing Rules. Consequently, the public reprimand was imposed.
Legal representatives have stated that batches of investor claims related to alleged misrepresentation by Leo Group have already been submitted and accepted for filing by the Shaoxing Intermediate People's Court. Legal teams are continuing to process subsequent claims and are accepting new mandates from other eligible investors.
Legal counsel has outlined a preliminary eligibility period for potential claimants. Investors who purchased Leo Group shares between January 31, 2026, and April 24, 2026, and who sold or continued to hold those shares after April 24, 2026, may have grounds to seek compensation. The final determination of eligibility and liability will be made by the court according to law.
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