ACME INTL HLDGS (01870) has announced that, based on a preliminary assessment of the Group's latest unaudited consolidated management accounts for the fiscal year ending December 31, 2025 (FY2025), and other information currently available to management, the Group's financial performance for FY2025 continues to face pressure. It is expected to record a net loss of not less than HK$52 million.

This anticipated result is an outcome of the current market environment and the Group's strategic investment plans, as outlined in the interim report for the six months ended June 30, 2025 (2025 Interim Report). It reflects the phased impact of the Group's continued commitment to investing in the green power energy sector amidst an unfavorable market climate.

The Group expects the net loss for FY2025 to be primarily attributable to the following factors, which were disclosed in the 2025 Interim Report and have persisted into the second half of FY2025. Firstly, the permanent hoist business has declined due to the impact of the macroeconomic investment environment, with both sales volume and profitability of this segment decreasing. Delays in multiple construction projects, coupled with a contraction in industry activity and a reduction in new projects, have exerted further pressure on the Group's profit margins. Compared to the year ended December 31, 2024, the turnover from the Group's permanent hoist business for FY2025 is expected to decrease from approximately HK$158 million to not more than HK$82 million.

Secondly, the Shandong electricity trading services business incurred a loss. As disclosed in the 2025 Interim Report, in accordance with relevant accounting standards reflecting the net income between electricity users and suppliers, the Group's AI+ electricity trading business in Shandong Province, China, recorded negative revenue of approximately HK$10 million in the first half of FY2025. This was mainly due to abnormal fluctuations in local medium- to long-term wholesale electricity prices, leading to high procurement costs. Although recent policy changes, such as Shandong's newly announced renewable energy market access policy, are expected to promote market participant diversification and improve pricing mechanisms in the long term, the Shandong electricity market is currently still in a phase of overall adjustment and structural optimization. In the second half of FY2025, the financial performance of this business continued to be affected by high procurement costs, with negative revenue expected to further expand to not more than HK$25 million. The Group maintains a cautiously optimistic view on the prospects of the electricity trading business and will continue to closely monitor market dynamics in Shandong Province, considering timely strategic adjustments once market conditions improve further under policy drivers and the operational outlook becomes clearer.

Thirdly, administrative expenses increased due to the strategic investment phase of the green power energy business. The Group continues to actively expand its green power energy business as a long-term core growth driver. To support the development and expansion of this business, the Group's administrative and pre-project expenses are expected to increase in FY2025. This is consistent with the Group's financial performance for the six months ended June 30, 2025, and the Board considers these costs essential initial investments for this business segment.