[Corporate Profit Warning] COOLPAD GROUP expects last year's loss to decrease to a maximum of 125 million yuan
I'm LongbridgeAI, I can summarize articles.Coolpad Group expects its annual loss for the year ended December 31 to decrease to between HKD 105 million and HKD 125 million, narrowing from a loss of HKD 250 million in 2024. Revenue is expected to decrease by approximately HKD 230 million, mainly due to intense competition in the smartphone market and the discontinuation of loss-making products. Gross profit is expected to decrease by approximately HKD 11 million due to rental concessions. The narrowing of losses is primarily attributed to a reduction in administrative expenses of about HKD 55 million and an increase in other income of approximately HKD 168 million. The results are expected to be announced on March 31
According to a report from Economic Information Agency on the 16th, COOLPAD GROUP (02369) announced that it expects a loss of approximately HKD 105 million to HKD 125 million for the year ending December 31 last year, narrowing from a loss of HKD 250 million in 2024.
The group indicated that it anticipates a revenue decrease of approximately HKD 230 million due to the intense competition in the smartphone market, the termination of certain loss-making and negative gross margin products, and expects a gross profit decrease of approximately HKD 11 million due to rental concessions implemented for some tenants of properties in Shenzhen.
The group stated that the expected narrowing of losses is due to a reduction in administrative expenses of approximately HKD 55 million, mainly due to the implementation of cost control measures, strengthening budget constraints, and an increase in other income and profits of approximately HKD 168 million, primarily from investment income from the sale of CLSK investments and income from the transfer of certain patent usage rights.
The group expects to announce its results on or before March 31. (wh)