Hong Kong-listed YTO International Express and Supply Chain Technology Limited reported a sharp reversal in operating performance for the year ended 31 December 2025.

Revenue and profitability • Group revenue fell 40.02% year on year to HK$3.19 billion, reflecting weaker volumes across all major segments. • Gross profit slid 45.63% to HK$201.39 million; gross margin narrowed to 6.3% from 7.0% in FY2024. • The company posted a net loss attributable to shareholders of HK$145.60 million, compared with a HK$40.77 million loss a year earlier. Basic and diluted losses per share widened to 34.84 Hong Kong cents (FY2024: 9.75 cents). • No final dividend was declared.

Segment performance • Air freight: revenue HK$1.97 billion (-39.8% YoY); segment loss HK$79.04 million versus a HK$34.18 million profit in FY2024. • International express & parcel: revenue HK$565.96 million (-45.5%); segment loss HK$43.41 million versus breakeven last year. • Ocean freight: revenue HK$492.91 million (-41.0%); segment profit HK$25.62 million, down 24.4%. • Logistics services: revenue HK$69.87 million (-13.8%); segment loss HK$4.43 million versus a HK$2.01 million profit in FY2024. • Other operations contributed HK$91.82 million revenue and HK$1.80 million profit.

Cost and expenses Cost of sales declined 39.64% to HK$2.99 billion, largely in line with revenue contraction. Administrative expenses eased 4.0% to HK$368.34 million, while expected-credit-loss provisions rose to HK$19.07 million from HK$12.88 million. Finance costs increased to HK$3.68 million.

Balance-sheet indicators • Cash and cash equivalents stood at HK$608.24 million (-9.5% YoY). • Net current assets slipped 22.7% to HK$888.51 million; current ratio decreased to 2.27x from 3.25x. • The group remained debt-free; gearing ratio stayed at 0%. • Capital expenditure commitments at year-end totalled HK$42.90 million. • Pledged bank deposits rose to HK$22.35 million from HK$14.68 million.

Operational highlights Management attributed the downturn to strategic withdrawal from low-margin parcel routes, volatile global freight rates and intensified competition, particularly in air and ocean freight markets. Cross-border e-commerce demand supported volume, yet heightened trade policy uncertainties and geopolitical risks weighed on profitability.

Outlook While acknowledging persistent external headwinds, the board expects Chinese enterprises’ continued global expansion and resilient cross-border e-commerce to underpin long-term demand for integrated logistics solutions. Key priorities include accelerating the “1+7” global hub strategy, expanding multimodal transport offerings, enhancing warehousing capacity, advancing digitalisation and strengthening the talent pipeline to rebuild growth momentum in 2026 and beyond.