South Manganese Investment Limited (HKEX: 01091) released a positive profit alert, projecting a turnaround to a profit attributable to owners of not less than HK$140.00 million for the financial year ended 31 December 2025. The company reported a loss of approximately HK$725.00 million for FY2024.
Management attributed the expected swing to three main factors:
1. Product-Mix Optimisation: The trading division is anticipated to shift from a gross loss in FY2024 to a gross profit in FY2025 after the company re-aligned its trade product portfolio.
2. Cost Discipline: Comprehensive cost-control measures covering production, procurement, material management, tendering and operations delivered “notable results,” according to the board.
3. Reduced Impairments: Impairment losses on financial assets have declined year-on-year. In FY2024 the group booked a sizeable impairment related to settlement of guarantee liabilities for associate Dushan Jinmeng Manganese Industry Co., Ltd., a charge that is not expected to recur at the same magnitude in FY2025.
The figures are based on unaudited consolidated management accounts and remain subject to audit review. Final FY2025 results are scheduled for release on 13 March 2026. Shareholders and potential investors are advised to exercise caution when dealing in the company’s shares.