Fu Shou Yuan reports sharp revenue decline and net loss amid challenging economy

Fu Shou Yuan International Group Limited announced its interim results for the six months ended June 30, 2025, reporting total revenue of 610.9 million yuan. This marks a significant decrease of approximately 44.5% compared to the same period in 2024. The group incurred a loss attributable to owners of the company of 261.4 million yuan, a sharp reversal from the 298.8 million yuan profit in the prior year, representing a decrease of 187.5%. Basic loss per share for the period was 11.5 cents.

Operating expenditure increased by 252.3 million yuan or 42.9%, primarily due to 217.6 million yuan in impairment losses recognized on goodwill and related assets from several cemetery projects. Staff costs decreased by 75.3 million yuan (29.5%) due to reduced salaries and bonuses in line with lower revenue. The board declared an interim dividend of HK$7.00 cents per share for the six months ended June 30, 2025.

Revenue from burial services, the largest segment, decreased by 47.3% to 477.4 million yuan, while funeral services revenue fell by 33.8% to 121.9 million yuan. The decline in burial services revenue was attributed to customers' cautious consumption behavior and adjustments in product mix. The group's net cash generated from operating activities amounted to 63.7 million yuan, an 82.1% decrease from the previous year. As of June 30, 2025, the group's gearing ratio was 0.6%.