Scholar Education Group has announced that it expects to record a net loss attributable to owners of the company ranging from RMB70.0 million to RMB80.0 million for the year ended 31 December 2025, compared to a net profit attributable to owners of the company of RMB145.6 million for the previous year. The company attributed the anticipated loss primarily to the expansion of new literacy learning centres, which are still in the ramp-up phase and have generated limited revenue while incurring substantial direct operating costs. Additionally, the group faced fair value losses from financial assets amounting to approximately RMB30.0 million due to default by certain counterparties.

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