Core Viewpoint - Tongda Group (00698) shares rose over 7%, currently up 7.38% at HKD 3.93, with a trading volume of HKD 1.7588 million. The company announced a profit warning on February 5, expecting a profit attributable to shareholders between approximately HKD 115 million and HKD 125 million for the fiscal year ending December 31, 2025, following a loss of approximately HKD 3.942 billion in 2024. The turnaround to profitability is primarily due to a reduction in one-time non-cash asset impairment provisions, which amounted to approximately HKD 2.35 billion in 2024, with no significant one-time impairment expected in the previous year. The overall gross margin is expected to improve significantly from a gross loss margin of 5.9% in 2024 to an anticipated gross margin of approximately 15.5% to 16.5% for the previous year, alongside optimized operating expenses and R&D costs [1]. Summary by Categories - Stock Performance - Tongda Group's stock increased by 7.38%, reaching HKD 3.93, with a trading volume of HKD 1.7588 million [1]. - Earnings Forecast - The company expects a profit attributable to shareholders between approximately HKD 115 million and HKD 125 million for the fiscal year ending December 31, 2025 [1]. - In contrast, a loss of approximately HKD 3.942 billion is anticipated for the fiscal year 2024 [1]. - Factors Influencing Profitability - The expected turnaround to profitability is mainly attributed to a reduction in one-time non-cash asset impairment provisions, which were approximately HKD 2.35 billion in 2024 [1]. - The company does not expect to incur significant one-time impairment charges in the previous year [1]. - Gross Margin Improvement - The overall gross margin is projected to improve from a gross loss margin of 5.9% in 2024 to an anticipated gross margin of approximately 15.5% to 16.5% for the previous year [1]. - Cost Optimization - The company has optimized its operating expenses and R&D costs, contributing to the expected improvement in profitability [1].
通达集团涨超7% 预计去年扭亏为盈最多赚1.25亿港元