KONTA CHINA released its interim results, with a loss attributable to shareholders of HKD 282 million, turning from profit to loss year-on-year
KONTA CHINA released its interim results for the period ending June 30, 2025, with revenue of HKD 453 million, a year-on-year decrease of 1.3%. The company's loss attributable to shareholders was HKD 282 million, compared to a profit of HKD 4.745 million in the same period last year. The basic loss per share was HKD 5.06 cents. The loss was mainly due to poor performance in the fitness business franchise, an uncertain economic outlook, and intensified competition, leading to credit losses and impairment of intangible assets
According to the Zhitong Finance APP, KONTA CHINA (01312) released its interim results for the six months ending June 30, 2025, reporting revenue of HKD 453 million, a year-on-year decrease of 1.3%; the loss attributable to shareholders was HKD 282 million, compared to a profit of HKD 4.745 million in the same period last year; basic loss per share was HKD 0.0506.
The announcement stated that the Group recorded a significant increase in net loss, primarily due to a series of changes in the performance of its fitness business's franchising operations. Factors such as an uncertain economic outlook and intensified competition have led to a slower-than-expected recovery of the business. Additionally, the Group's joint venture operating franchising business in Taiwan faced operational difficulties and financial constraints, resulting in an expected credit loss model impairment loss of approximately HKD 159 million for financial assets (2024: approximately HKD 25.5 million); an impairment loss of approximately HKD 124 million for intangible assets (2024: approximately HKD 13.6 million); and an impairment loss of approximately HKD 88.4 million for goodwill in the fitness business segment (2024: none)
