LANCANG TEA (06911) announced that the group expects to generate revenue between approximately RMB 205 million and RMB 230 million for the 2025 fiscal year. This represents a decrease of about 36.34% to 43.26% compared to the revenue of RMB 361 million recorded for the year ended December 31, 2024 (fiscal year 2024). Concurrently, the net loss attributable to owners of the company is projected to be between approximately RMB 80 million and RMB 100 million. This signifies a substantial reduction of about 67.48% to 73.98% compared to the net loss attributable to owners of RMB 307.5 million in fiscal year 2024.

The board of directors attributes the significant decrease in the net loss attributable to owners, despite the decline in revenue for 2025, primarily to the following factors. The revenue decrease is due to operational challenges faced by the group's offline physical stores, impacted by the "slow recovery" of the consumer market. The reduction in net loss is mainly a result of a large asset impairment loss recognized in fiscal year 2024, which was substantially lower in the 2025 fiscal year. Additionally, the group has effectively reduced costs and expenses through measures aimed at enhancing efficiency and cutting expenditures.