Easyknit International Holdings Ltd. has issued a profit warning, indicating that the company is expected to record a consolidated net loss of not less than HK$700 million for the year ended 31 March 2025. This marks a significant increase compared to the consolidated net loss of approximately HK$408.6 million for the previous year. The anticipated rise in net loss is primarily attributed to the loss on deemed disposal of subsidiaries. However, this was partially offset by several factors, including a decrease in write-down on properties held for sale, a decrease in loss on change in fair value of investment properties, a gain on the modification of terms of a convertible note, and a gain on bargain purchase at the date of deemed acquisition of an associate. The company is in the process of finalizing its annual results, which are based on unaudited management accounts. Shareholders and potential investors are advised to exercise caution when dealing with the company's shares and to review the forthcoming annual results announcement expected by 30 June 2025.