Guangzhou Xiao Noodles Catering Management Co., Ltd. (Stock Code: 2408) released an announcement indicating an expected profit for the year ended December 31, 2025, of approximately RMB100.0 million to RMB115.0 million. This projection represents an estimated increase of 64.7% to 89.5% compared to the RMB60.7 million recorded in the previous year.
The announcement further shows that adjusted net profit (a non-IFRS measure) is anticipated to range between RMB125.0 million and RMB140.0 million, up 95.6% to 119.1% from RMB63.9 million in 2024. The improvement in profitability is attributed to the expanded network of self-operated and franchised restaurants, which grew from 360 outlets at the end of 2024 to 503 by December 31, 2025. The announcement also highlights the strategy of gradually moving from city centers to surrounding areas, resulting in lower rental costs and higher margins, alongside increasing contributions from Hong Kong SAR operations and a further dilution of headquarters costs.
The company clarifies that this non-IFRS measure excludes equity-settled share-based payment expenses, listing expenses, net foreign exchange differences, and relevant tax effects. According to the announcement, these figures are based on unaudited management accounts, and the final audited results may differ. The formal annual results announcement for the year ended December 31, 2025, is expected in March 2026. Shareholders and potential investors are advised to exercise caution when dealing in the company’s shares.
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