TSUN YIP HLDGS (08356) announced that the Group expects to record an unaudited loss attributable to shareholders of approximately HK$8 million to HK$10 million for the six months ended September 30, 2025. This compares to an unaudited profit attributable to shareholders of about HK$4.4 million for the same period in 2024.

The Board attributes the expected shift from profit to loss primarily to the following factors: 1. No fair value gains were recognized in the interim period of 2025, whereas a non-recurring fair value gain of approximately HK$17.3 million was recorded in the interim period of 2024 due to amendments to certain terms of accepted notes. 2. A decline in gross profit, mainly due to additional engineering costs for projects entering maintenance phases or nearing completion, as well as increased costs related to project modifications. 3. These factors were partially offset by a reduction of around HK$5.8 million in expected credit loss provisions for trade receivables and contract assets, which had been recognized as credit-impaired receivables in the interim period of 2024.