LH GROUP Issues Profit Alert, Anticipates Turning Loss into Profit for Fiscal 2025

Stock News
Mar 16

LH GROUP (01978) has announced that the Group expects to record a profit attributable to shareholders not exceeding HK$2 million for the current review year (the year ending December 31, 2025). This represents a significant turnaround compared to the shareholder loss of approximately HK$32.1 million reported for the year ended December 31, 2024.

The Board of Directors attributes the shift from loss to profit in the current review year primarily to the following factors: 1. An increase in revenue, driven by the Group's ongoing efforts to optimize its restaurant network. The introduction of new concepts and brand development has diversified the brand portfolio, supporting revenue growth during the review year. 2. A decrease in operating costs, resulting from effective cost control measures and improved operational efficiency implemented during the period. These measures were carried out while maintaining and continuing to prioritize the delivery of high-quality food and service to customers. 3. A reduction in impairment provisions for property, plant, equipment, and right-of-use assets associated with certain underperforming outlets during the review year. This positive development is largely due to the improved revenue performance of the Group in the current period. The improvement stems from the Group's proactive optimization of its store portfolio, including decisive adjustments to underperforming locations, and the revitalization of menus to adapt to the evolving market landscape, thereby enhancing customer experience and competitiveness.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10