Brilliance CHI (01114) opened down more than 8% in Hong Kong trading. At the time of writing, the stock was down 8.24% to HK$3.12, with a turnover of HK$11.8997 million. The decline follows the company's issuance of a profit warning. Brilliance CHI anticipates that its audited profit before income tax expense for the fiscal year ending December 31, 2025, will decrease by no more than 50% compared to the previous year. The expected decrease is primarily attributed to a decline in performance from the group's main associate, BMW Brilliance Automotive Ltd., and operating losses incurred by its key operating subsidiary, Jinbei (Shenyang) Automotive Co., Ltd., which resumed production only in the second half of 2025. Although the group's withholding tax in 2025 is expected to decrease by no less than 69% compared to 2024, the company still forecasts that its audited profit after income tax expense for the period will be down by no more than 40% year-on-year. The group anticipates its net profit for 2025 to decrease by no more than 40% compared to the net profit of approximately RMB 3.101 billion recorded in the 2024 fiscal year.
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