"Profit Warning" CG SERVICES forecasts last year's core profit to drop to a maximum of 2.7 billion RMB

CG SERVICES (06098.HK) issued a profit warning, expecting the net profit attributable to shareholders for the fiscal year 2025 to be between RMB 500 million and RMB 700 million, compared to RMB 1.808 billion recorded in the previous year. The decline in profit is mainly due to an increase in credit impairment losses on trade receivables and a decrease in the fair value change gains of contingent consideration arising from past acquisitions.

During the year, the core net profit attributable to shareholders is expected to be between RMB 2.4 billion and RMB 2.7 billion, compared to approximately RMB 3.038 billion in the previous year. The dividend target for the fiscal year 2025 will be based on 60% of the core net profit attributable to shareholders for cash distribution