WAH WO HOLDINGS has announced a forecast indicating a shift to a loss for the fiscal year ending March 31, 2026.

The company expects to record a pre-tax loss of not less than approximately HK$1.8 million.

This result contrasts sharply with the audited pre-tax profit of around HK$24 million achieved in the previous financial year ending March 31, 2025.

Key Factors Behind the Loss

The anticipated swing from profit to loss is primarily attributed to four main contributing elements.

Firstly, the construction and supporting services division is expected to see a gross profit reduction of about HK$8.2 million, influenced by the current progress stage of existing projects.

Secondly, the fair value loss on investment properties is projected to increase by HK$1.7 million.

Thirdly, administrative expenses are forecast to rise by HK$5.8 million, largely due to increased salaries and bonuses for directors and employees.

Finally, a decrease in the reversal of impairment loss provisions, amounting to roughly HK$8.7 million, further contributes to the expected downturn in profitability.