"Earnings Warning" ZO FUTURE GROUP forecasts annual loss to expand to 320 million yuan

ZO FUTURE GROUP (02309.HK) issued a profit warning, expecting a loss of approximately HKD 320 million for the fiscal year ending in June, compared to a loss of HKD 183 million in the previous year. The increase in losses is mainly due to the relegation of the club Birmingham City Football Club during the year, leading to a decrease in broadcasting revenue; increased loans driving up financing costs; increased operating expenses of the club; increased amortization of intangible assets due to the purchase of new players; increased losses from joint ventures; and increased expenses in the automotive business