SIM TECH has announced that the group expects to record a net loss attributable to its owners in the range of approximately HK$5 million to HK$20 million for the 2025 fiscal year. This compares to a net loss attributable to owners of about HK$95 million for the 2024 fiscal year ended December 31, 2024. The board of directors attributes the significant reduction in the projected loss for 2025 compared to 2024 primarily to several factors. First, systematic enhancements in operational awareness across the entire group and optimizations in performance evaluation and incentive mechanisms have led to continued effective cost control, with personnel costs being further reduced from the previous year. Second, increased utilization rates at factories have driven the realization of economies of scale. Third, the proactive discontinuation of projects with negative gross margins and low efficiency has contributed to a gradual optimization of the product portfolio. Fourth, a one-time foreign exchange loss of approximately HK$30.8 million was incurred in 2024 due to the deregistration of several subsidiaries in the People's Republic of China.