GLOBAL CORN GP issued a profit warning, expecting a mid-term net loss of approximately HKD 65 million to HKD 85 million, a year-on-year turnaround from profit to loss
GLOBAL CORN GP issued a profit warning, expecting a mid-term net loss of approximately HKD 65 million to HKD 85 million for the period ending June 30, 2025, compared to a net profit of approximately HKD 166 million for the same period last year. The loss is mainly due to the failure to recognize one-time gains related to debt restructuring and the sale of wholly-owned subsidiaries
According to the Zhitong Finance APP, GLOBAL CORN GP (03889) announced that the group expects to incur a net loss of approximately HKD 65 million to HKD 85 million for the period ending June 30, 2025 (reporting period), compared to a net profit of approximately HKD 166 million for the period ending June 30, 2024 (same period last year).
The change is mainly due to the absence of the recognition of the following one-time gains during the reporting period, which were obtained after the completion of a debt restructuring agreement in January 2024 with China Cinda Asset Management Co., Ltd. Jilin Branch (as creditor), Jinzhou Yuancheng Biochemical Technology Co., Ltd. (as debtor), and Shanghai Haocheng Food Development Co., Ltd. (as guarantor) (the latter two are both indirect wholly-owned subsidiaries of the company), resulting in an unaudited one-time gain of approximately HKD 167.6 million; and an unaudited one-time gain of approximately HKD 54.1 million from the sale of the company's former wholly-owned subsidiary, GLOBAL RETAIL INVESTMENT LIMITED, and its subsidiaries in April 2024
