China Boton (03318) Issues Profit Warning, Anticipates Goodwill Impairment Loss of No Less Than Approximately 750 Million Yuan for Tobacco Flavor Business in 2025

Stock News
Jan 16

CHINA BOTON (03318) announced that for the fiscal year ending December 31, 2025, the Group is considering recognizing a goodwill impairment loss of no less than approximately RMB 750 million for its tobacco flavor business. This consideration arises from a decrease in revenue from the Group's tobacco flavor business, attributed to the in-house development of tobacco flavors and a general deterioration in the overall market environment. Consequently, applying the relevant accounting principles, the Group has adopted a prudent forecast for the future sales of the tobacco flavor business, leading to the estimated goodwill impairment loss mentioned above. This goodwill impairment loss may result in the Company reporting a loss attributable to owners of the Company for the fiscal year ending December 31, 2025.

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