Golden Leaf International Group Limited reported audited results for the year ended 31 March 2026, showing flat top-line performance but a swing to net loss as one-off listing charges and rising operating costs weighed on earnings.

Revenue and Gross Margin • Full-year revenue edged up 0.26% to HK$154.93 million (FY25: HK$154.53 million), supported by stable demand for electrical and mechanical (E&M) engineering and maintenance services in Hong Kong. • Gross profit fell 28.1% to HK$22.61 million; gross margin narrowed to 14.6% from 20.4%, mainly reflecting a HK$4.10 million rise in subcontracting fees and higher direct labour costs.

Profitability Reversal • The Group recorded a net loss of HK$9.08 million, reversing a HK$14.07 million profit a year earlier. • Key drivers included HK$9.52 million in non-recurring listing expenses and a 69.6% jump in administrative expenses to HK$21.49 million, attributable to expanded headcount, professional fees and infrastructure investments. • Finance costs declined 58.1% to HK$0.21 million following repayment of a prime-linked bank loan in September 2025.

Segment and Contract Mix • HVAC projects remained the core revenue source, contributing HK$148.71 million (96% of total). Electrical and plumbing works added HK$3.27 million and HK$2.96 million respectively. • By contract type, lump-sum projects generated HK$96.67 million, maintenance contracts HK$43.24 million, and term contracts HK$15.02 million. • Commercial properties accounted for 78.5% of revenue, rising to HK$121.68 million, while residential revenue fell to HK$21.92 million amid timing of project completions.

Balance Sheet and Liquidity • Cash and cash equivalents rose to HK$27.75 million (FY25: HK$16.07 million), supported by IPO proceeds. • Net current assets improved to HK$66.29 million from HK$44.31 million; net assets expanded to HK$86.66 million. • Bank borrowings decreased sharply to HK$0.65 million (FY25: HK$6.19 million), and total lease liabilities stood at HK$4.62 million. With cash exceeding interest-bearing debt, the company remains in a net cash position. • Capital expenditure increased to HK$4.36 million (FY25: HK$0.25 million), reflecting investment in property, plant and equipment. • Performance bond and letter-of-credit guarantees totalled HK$2.22 million and HK$2.15 million, respectively.

Earnings per Share and Dividend • Basic and diluted loss per share were HK$0.03 (FY25 EPS: HK$0.05). • No final dividend was proposed; management prioritises liquidity for future expansion.

Strategic Outlook Management plans to pursue larger-scale E&M projects, strengthen project execution capacity through additional hires, and enhance physical and digital infrastructure. Renewed multi-year maintenance contracts and recent project wins—such as at Hong Kong Science Park and major commercial complexes—provide a visible order book, but margins will hinge on controlling subcontractor and labour costs following industry-wide wage pressures.