Kwung’s Aroma Holdings Limited released its audited results for the year ended 31 December 2025.

Financial performance • Revenue fell 11.9% to RMB0.88 billion, mainly due to lower orders from EU customers following provisional anti-dumping duties introduced in August 2025 and a weaker USD/RMB exchange rate. • Gross profit declined 15.6% to RMB189.32 million; gross margin slipped 0.9 percentage points to 21.5%. • Net profit attributable to shareholders dropped 69.9% to RMB35.88 million; basic and diluted EPS decreased to RMB0.09. • No final dividend was proposed; a HKD0.05 special dividend (about RMB18.15 million) was declared on 25 November 2025.

Cost structure and expenses • Administrative expenses rose 19.0% to RMB120.40 million, reflecting additional staff and depreciation linked to new facilities in Vietnam and Wuhu, Anhui. • Selling and marketing expenses increased 26.3% to RMB39.05 million, driven by higher promotion spending and customer claims. • Other items swung from a RMB33.51 million gain to a RMB1.26 million loss, as the prior-year disposal gain and FX gains were not repeated; 2025 incurred FX losses due to USD depreciation. • Net finance income narrowed to RMB0.80 million (2024: RMB3.90 million) as higher mainland borrowings lifted interest expense.

Balance sheet highlights • Total assets grew 18.3% to RMB1.19 billion, supported by a 66.2% increase in cash to RMB591.0 million, funded largely by higher short-term bank borrowings (up 75.1% to RMB474.46 million). • Property, plant and equipment expanded by RMB25.73 million to RMB223.24 million, reflecting the new Vietnam plant and Wuhu base. • Trade receivables fell 19.6% to RMB134.26 million, in line with lower sales; inventory rose 10.8% to RMB112.24 million on raw-material stocking near year-end. • Equity attributable to owners reached RMB547.76 million, representing a 3.4% year-on-year increase.

Operational developments • In response to the EU investigation, a Vietnam production base commenced operations in 2025. • The European Commission set a definitive anti-dumping duty of 56.7% in January 2026, lower than the provisional 70.9%. • The company invested RMB50 million in a PRC fund in January 2026 to enhance returns on surplus cash. • Plans are under way to establish an additional overseas manufacturing site in Thailand; land selection has begun.

Regulatory and governance notes • The company maintained overall compliance with Hong Kong’s Corporate Governance Code, with the exception of combining chairman and CEO roles. • No shares were repurchased, sold or redeemed during 2025.

The annual general meeting is scheduled for 26 June 2026, with the share register closing from 23 to 26 June 2026.