EASY SMART GP (02442) announced that the group expects to record a consolidated loss and total comprehensive income of approximately HK$0.5-5 million for the year ending June 30, 2025, compared to a consolidated profit and total comprehensive income of approximately HK$35.8 million for the same period in 2024.

According to the announcement, the decline in performance is mainly attributed to: (i) an increase of approximately HK$33.4 million in subcontractor costs due to certain clients requesting acceleration of progress on some project works; (ii) reduced profit margins on new tender projects undertaken by the group during the year; and (iii) a write-off of approximately HK$2 million in trade receivables from a client who was ordered by the High Court to be wound up in March 2025.