Autostreets (02443) issued a profit warning, forecasting a net loss attributable to equity holders of no more than RMB 15 million for the six months ending June 30, 2026, a sharp reversal from a net profit of approximately RMB 12.8 million in the same period of 2025.

The expected net loss is primarily attributed to a weak domestic auto consumption market and intensified industry competition. As a result, some car dealers have withdrawn from dealer networks or scaled back operations, leading to a decline in the company's revenue and gross profit for the first half of 2026 compared to the same period last year.

In response to the changing market environment, the group will continue advancing the construction of a used car export platform and developing new auction models. Since these initiatives are still in the promotion and development phase, their anticipated benefits are expected to gradually materialize from the second half of 2026 onward.