Road King Infrastructure Issues Profit Warning, Anticipates Shareholder Losses to Widen in Fiscal 2025

Stock News
03/19

Road King Infrastructure (01098) announced that it expects to record an annual loss ranging between HK$5.2 billion and HK$5.5 billion for the fiscal year ending December 31, 2025. The net loss attributable to shareholders is projected to be approximately HK$5.8 billion to HK$6.1 billion. In comparison, the group reported a loss of HK$3.308 billion for the 2024 fiscal year, with shareholder losses amounting to HK$4.122 billion. The company attributed the projected losses primarily to continued weakness in the real estate market and challenging industry conditions, which have led to declining profit margins on property projects in mainland China and Hong Kong, as well as increased impairment provisions for properties and related assets. The larger loss compared to the previous year is mainly due to the absence of a one-time gain from the disposal of the group’s entire mainland China highway business in 2024, which had contributed an after-tax net gain of HK$1.49 billion (approximately HK$1.118 billion attributable to shareholders) and partially offset operating losses in that year.

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