EPI Posts HK$15.31 Million Interim Loss Despite 10% Revenue Rise on Money-Lending Surge

Bulletin Express
Aug 28

Hong Kong – 28 August 2026 – EPI (Holdings) Ltd reported a HK$15.31 million attributable loss for the six months ended 30 June 2026 (HY2026), reversing the prior-year profit of HK$11.12 million as one-off share-based payment charges and a sharp swing to foreign-exchange losses offset higher revenue.

Revenue climbed 9.8% year on year to HK$41.92 million, driven by a thirteen-fold jump in money-lending income to HK$4.51 million following the rapid scale-up of the Group’s New Zealand loan book (loan and interest receivables: HK$214.58 million, +225% versus end-2025). Petroleum sales, the largest contributor, held broadly stable at HK$33.29 million, while solar electricity sales eased 5% to HK$4.13 million amid lower sunshine hours. The newly launched motor-vehicle dealership and leasing business has yet to generate revenue and booked a HK$0.09 million operating loss.

Group profitability was hit by: • HK$8.54 million of non-cash share-based payment expenses linked to 52.40 million options granted on 5 May 2026; • A HK$8.62 million unrealised foreign-exchange loss, versus an HK$8.14 million gain in HY2025, reflecting Canadian dollar and New Zealand dollar weakness.

EBITDA from petroleum operations slipped 6% to HK$18.01 million as sales volumes fell 13% to 73,400 barrels, though the average realised price rose to C$93.5/bbl from C$79.7/bbl. Solar projects delivered EBITDA of HK$2.92 million (-31.7% y-o-y) after a HK$0.91 million one-off operating charge. Money lending generated HK$4.71 million operating profit versus a HK$0.21 million loss a year earlier.

EPI fortified its balance sheet with April’s fully subscribed rights issue, raising net proceeds of HK$194.88 million. Cash and cash equivalents stood at HK$188.94 million at 30 June 2026 (31 Dec 2025: HK$154.10 million). Net assets increased 44% to HK$607.79 million, while the gearing ratio improved to 7%, supported by a current ratio of 26.7.

No interim dividend was declared (HY2025: nil).

Management reiterated its strategy of balancing conventional oil production with renewable energy, expanding the New Zealand lending portfolio, and launching a commercial electric-vehicle dealership under a distribution agreement with BAIC Foton. Remaining rights-issue funds earmarked for Canadian well development, further lending growth and vehicle inventory are expected to be deployed by end-2027.

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