Crypto Flow Technology Limited issued a profit warning for the six months ended 30 June 2026, signalling a net loss of not less than HK$54.00 million. This compares with a HK$33.00 million loss in the prior-year period, implying an expansion of no less than HK$21.00 million, or around 63.64%.
Management attributes the larger deficit to three main factors:
1. Contracting gross profit: Higher amortisation charges from newly added intangible assets linked to the ChainStream on-chain data analysis platform, combined with lower electricity consumption at the Group’s U.S. data centre, weighed on gross margins.
2. Start-up cost ramp-up: The recently launched Analysis Platform and Exchange and OTC businesses incurred substantial subscription, maintenance, technical support and staff expenses.
3. Elevated overheads: Administrative and operating costs—including staff benefits, lease payments, and professional fees tied to due-diligence work on prospective investments and Web3.0 projects—rose markedly.
The interim results are scheduled for release on or about 28 August 2026. Shareholders and potential investors are advised to exercise caution when dealing in the Company’s shares.
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