CAI CORP (00080) has issued a profit warning, indicating that its shareholders' attributable loss for the six months ending June 30, 2026, is expected to reach approximately HK$61 million.

This compares to an unaudited loss of about HK$4.3 million for the same period in the prior year, based on a preliminary review of the group's unaudited consolidated management accounts and information currently available to the board.

The anticipated increase in losses is primarily due to net fair value losses on financial assets measured at fair value through profit or loss, particularly listed equity securities. Following the completion of a rights issue in November 2025, the group's listed securities portfolio expanded significantly.

As of June 30, 2026, the carrying value of the group's listed securities was approximately HK$130 million, compared to just HK$10,000 on June 30, 2025. During the period, the Hong Kong stock market remained weak, with the Hang Seng Index and Hang Seng Tech Index falling by about 10.7% and 18.9%, respectively.

The general market weakness adversely affected the market prices of the group's listed securities portfolio, resulting in substantial net unrealized fair value losses for the period.