E-Commodities Holdings warns of significant profit decline

E-Commodities Holdings (HKEX:1733) has issued a profit warning, forecasting a substantial decrease in net profit for the year ended December 31, 2024. The Group expects net profit to range from HK$900 million to HK$1 billion, compared to 2023. The primary driver is a sluggish market leading to a continuous decline in coking coal prices and reduced gross profit margins. Despite challenges, the company reported a 20% increase in total coal sales volume, reaching nearly 23 million tons. The company also revealed that Mongolia's coal import volume reached a record high of nearly 83 million tons, representing an increase of approximately 18% as compared with last year. The group achieved a total of approximately 17 million tons of storage volume at the ports, representing an increase of approximately 7% as compared with last year. The company is still in the process of finalising the annual results of the Group for the financial year ended 31 December 2024.