CHUANG'S CHINA (00298) has issued an announcement stating that the group expects a significant reduction in its loss for the financial year ending March 31, 2026. The company anticipates a net loss attributable to equity holders in the range of approximately HK$50 million to HK$80 million. This compares to a loss of about HK$395 million recorded in the previous financial year.

Based on a preliminary analysis of currently available unaudited financial information, the reduction in loss for the year ending March 31, 2026, is primarily attributed to two factors. Firstly, there is a decrease in the fair value loss recognized on the group's investment properties. Secondly, the group did not make impairment provisions this year that were present in the prior period. These previous provisions were related to properties under development and a specific development project in Anshan City, which had been classified as deposits.

The announcement provides this preliminary financial outlook ahead of the formal release of the annual results.