SUN HING PRINT (01975) announced that it expects to record a loss for the year ending June 30, 2025, ranging between approximately HK$80 million and HK$95 million, compared to a profit of approximately HK$17.1 million achieved by the group in the same period last year.

The board believes that the expected shift from profit to loss during the year is primarily attributed to the following factors: Due to losses incurred during the current year, management conducted impairment assessments in accordance with appropriate accounting principles, resulting in impairment losses on property, plant and equipment, and right-of-use assets ranging between approximately HK$80 million and HK$95 million.

Concerns over the global economic slowdown and widespread inflation have prompted consumers to adopt more conservative spending behaviors, leading to cautious expenditure on printing and promotional products, ultimately resulting in declining revenue. The company has marginally reduced the cost of goods sold and administrative expenses. However, these cost savings have been offset by persistent fixed selling and distribution expenses as well as financing costs, which do not decrease correspondingly with reduced revenue.