Zhejiang Anxian Yuan Company Limited, an indirectly wholly-owned subsidiary of ANXIANYUAN CH, has received a tax notice from the Hangzhou Tax Inspection Bureau requiring a self-investigation for 1 January 2023–31 December 2025 and payment of an estimated HK$89.00 million in additional tax by 15 June 2026.

Management will recognise this one-off expense in the results for the financial year ended 31 March 2026 (FY2026). Based on unaudited management accounts, the Group now expects:

• Transition from a FY2025 net profit of HK$52.30 million to a FY2026 net loss between HK$113.00 million and HK$120.00 million, implying a year-on-year swing of HK$165.00 million–HK$172.00 million.

Key drivers behind the projected loss: 1. Additional tax expense: HK$89.00 million. 2. Settlement of prior value-added tax (1 June 2020–31 March 2025): HK$13.00 million. 3. Gross profit decline: approximately HK$47.00 million due to a 20 % drop in average tomb selling prices. 4. Goodwill and non-financial asset impairments: roughly HK$16.00 million.

The company intends to fund the additional tax through internal resources and/or available bank facilities, and does not expect a material impact on ongoing operations or financial position beyond FY2026. Final audited figures will be released in the annual results announcement targeted for end-June 2026.

Shareholders and prospective investors are advised to exercise caution when dealing in the company’s shares until audited results are published.