Huasheng International issues profit warning on expected net loss

Huasheng International Holding Limited (HKEX:1323) has issued a profit warning, indicating that it expects to record an unaudited net loss attributable to owners of the Company of around HKD95.0 million for the year ended March 31, 2025. This compares to a loss of approximately HKD31.4 million for the previous year. The projected loss is primarily due to the decreased gross profit in the concrete business, amounting to a HKD71.1 million decrease compared to the previous year. This decline is attributed to a slump in the real estate sector, moderated infrastructure spending, and lower selling prices for ready-mixed commercial concrete products. Additionally, the company cited increased impairment losses on trade, retention and other receivables, by approximately HKD7.9 million, and a one-off loss of approximately HKD14.8 million from the disposal of a subsidiary in the money lending business. The company advises shareholders and potential investors to exercise caution when dealing in the shares of the Company. The audited annual results for the year ending March 31, 2025, are expected to be published by the end of June 2025.