YAU LEE HOLD released its annual performance, with a loss attributable to shareholders of HKD 98.884 million, turning from profit to loss year-on-year
YAU LEE HOLD released its annual performance for the year ending March 31, 2025, with revenue of HKD 9.623 billion, a year-on-year increase of 23.19%. However, the loss attributable to shareholders was HKD 98.884 million, compared to a profit of HKD 67.093 million in the same period last year, resulting in a loss per share of HKD 0.2257. Despite business growth, profitability faced challenges, mainly due to a significant decline in gross profit from the construction segment, project losses, and a decrease in orders leading to insufficient revenue to cover indirect costs. The profit margin in the electromechanical segment remained stable
According to the Zhitong Finance APP, YAU LEE HOLD (00406) released its annual performance report for the year ending March 31, 2025, reporting revenue of HKD 9.623 billion, an increase of 23.19% year-on-year; the loss attributable to equity holders of the company was HKD 98.884 million, compared to a profit of HKD 67.093 million in the same period last year; the loss per share was HKD 0.2257.
Despite our business growth showing outstanding performance, our profitability has faced unprecedented challenges. The group's consolidated gross profit fell from HKD 682 million to HKD 135 million, primarily due to the construction division. In terms of new projects, the projects acquired during the COVID-19 pandemic incurred losses due to two key factors: intense market competition at the time led to low profit margins, coupled with a decline in material prices, resulting in a downward adjustment of the final contract value. Additionally, some projects were more complex than expected, leading to costs far exceeding estimates. Furthermore, there was a significant decline in engineering orders for maintenance and renovation services in several regular maintenance contracts, resulting in final profits being far below expectations. The customer orders for such public building maintenance contracts significantly decreased this year, leading to insufficient revenue to cover the indirect costs for the year. As for the electromechanical division, profit margins remained stable compared to last year
