DAIDO GROUP Issues Profit Warning, Anticipates Widening Net Loss for FY2025

Stock News03-23

DAIDO GROUP (00544) has announced that the group expects to record a net loss attributable to its owners of not less than approximately HKD 72.1 million for the fiscal year ending December 31, 2025. This compares to a net loss attributable to owners of approximately HKD 40.2 million for the year ended December 31, 2024. The board of directors attributes the anticipated increase in net loss for the 2025 fiscal year primarily to (i) a decrease of approximately 26% in revenue from the cold storage and related services business; (ii) a decrease of approximately 57% in revenue from the food and beverage trading and sales operations in Mainland China; and (iii) a decrease of approximately 54% in other service revenues. These declines are mainly due to a challenging macroeconomic environment, which has weakened demand for the group's products and services. Furthermore, the extension of a cold storage lease agreement at the end of 2024 led to increased financial expenses, and the resulting accounting impact has further exacerbated the expected net loss.

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