Core Viewpoint - China Tian Gong Holdings (00428.HK) expects a profit of approximately HKD 2.5 million to HKD 3.5 million for the six months ending June 30, 2025, compared to a net loss of approximately HKD 19.0 million for the same period in 2024 [1] Summary by Relevant Categories Financial Performance - The company is projected to turn from a loss to a profit, primarily due to a reduction in unrealized net losses on listed securities and an increase in realized gains from the sale of certain publicly traded securities during the reporting period [1]

Group 1 - The company expects a post-tax loss of approximately HKD 60 million for the six months ending June 30, 2025, an improvement from a post-tax loss of HKD 86 million for the same period last year [1] Group 2 - The estimated reduction in post-tax loss is primarily due to the high fashion retail business achieving an operating profit of approximately HKD 7 million, a significant improvement of HKD 59 million compared to an operating loss of HKD 52 million in the same period last year [2] - The turnaround to profitability in the high fashion retail segment is attributed to the introduction of franchise stores for a rapidly growing brand, enhancing growth and profitability [2] - The sportswear production business incurred an operating loss of approximately HKD 19 million, compared to an operating profit of HKD 1 million in the same period last year, partially offsetting the positive impact from the high fashion retail segment [2] - The operating loss in the sportswear segment is mainly due to issues with raw materials at the company's Southeast Asian production facilities, leading to higher-than-expected production and transportation costs [2]