GC Construction Holdings Limited has issued a profit warning, indicating a significant financial downturn for the fiscal year ending March 31, 2025. The company anticipates registering a net loss of at least HK$52.0 million, contrasting sharply with a net profit of HK$19.1 million reported for the previous year. This financial setback is largely attributed to a decline in gross profit margin and increased impairment losses on trade receivables and contract assets. The deterioration in gross profit margin is linked to rising construction costs due to unexpected changes in customer requests. Additionally, higher default risks have led to increased impairment losses, as customers are experiencing financial challenges, resulting in delayed or missed payments. Shareholders and potential investors are advised to exercise caution when dealing with the company's shares.