Wan Kei Group released its audited results for the year ended 31 March 2026, showing a notable rebound in top-line performance but the company remained loss-making.

Financial Highlights • Revenue rose 33.7% year on year to HK$402.59 million, propelled mainly by higher contributions from foundation construction projects. • Gross profit increased 32.8% to HK$70.32 million; gross margin stabilised at 17.5% (FY 2025: 17.6%). • Loss attributable to shareholders narrowed to HK$29.22 million, versus a HK$51.43 million loss a year earlier. Basic loss per share improved to HK12.44 cents (FY 2025: HK40.10 cents). • Cash and cash equivalents expanded to HK$117.41 million (FY 2025: HK$106.97 million). • Net assets strengthened to HK$65.51 million from HK$49.70 million. • The Board proposed no final dividend.

Segment Performance • Foundation construction works generated HK$332.63 million, up 58.2% and accounting for 82.6% of group revenue; margin edged up to 14.4%. • Ground investigation services revenue fell 19.4% to HK$37.54 million; margin compressed to 18.9%. • E-commerce sales declined 40.0% to HK$20.90 million but margin rose to 51.9% following business restructuring and acquisitions. • Financial services contributed HK$0.28 million (0.1% of revenue); trading of consumer products added HK$2.82 million, while the newly launched food & beverage operation recorded HK$1.57 million.

Cost & Expenses Selling expenses surged to HK$12.85 million (FY 2025: HK$4.09 million) due to commissions from new e-commerce units, while general and administrative expenses fell 18.5% to HK$79.72 million. Finance costs eased slightly to HK$10.15 million.

Balance Sheet & Liquidity The group reported net current assets of HK$34.45 million and a current ratio of 1.15. Gearing (net debt to capital plus net debt) improved to 63.0% (FY 2025: 68.0%).

Corporate Actions & Investments • Capital raisings: rights issue (May 2025) raised HK$21.70 million; share subscription (Aug 2025) raised HK$4.80 million; placing (Feb 2026) raised HK$12.50 million, of which HK$10.28 million remains unutilised for general working capital. • M&A: acquired 51% of Wanyou Technology (HK) for HK$15.00 million with a profit guarantee of at least HK$2.35 million for FY 2026 and HK$3.90 million for FY 2027; target met FY 2026 guarantee. Acquired 70% of House Clover Ventures for HK$2.31 million, marking entry into premium coffee shop and online coffee sales in Mainland China. • Portfolio adjustment: disposed of 2.48 million Zhongshen Jianye shares for HK$3.80 million, realising a HK$1.34 million gain.

Outlook Management flagged continued caution on Hong Kong’s construction market amid intense tender competition, while accelerating diversification through financial services expansion, e-commerce optimisation and selective acquisitions to bolster long-term resilience.