"Profit Warning" SUNART RETAIL forecasts a loss of at least 110 million RMB in the first half of the year

SUNART RETAIL (06808.HK) issued a profit warning, expecting a loss of between RMB 110 million and RMB 140 million for the six months ending in September, compared to a net profit of RMB 206 million in the same period last year. The shift from profit to loss is mainly due to intensified market competition and weak consumer spending, resulting in a double-digit decline in revenue; and one-time factors including a decrease in income during the proactive adjustment process of shopping streets, approximately RMB 150 million attributed to organizational optimization in the Central China region, and a decline in profit due to reduced interest income