Tian Chang Group Holdings Ltd. (Hong Kong: 02182) has issued a profit warning, projecting a sharp deterioration in first-half 2026 results amid subdued global demand.

For the six months ended 30 June 2026, management expects revenue of HK$170.00 million–HK$175.00 million, down 31%–33% from HK$254.20 million a year earlier. Loss before tax is anticipated at HK$30.00 million–HK$35.00 million, widening 233%–289% from the HK$9.00 million loss recorded in the prior-year period.

Management attributes the downturn to two factors: 1) Persistent global economic uncertainty that weakened customer sentiment and order volumes, directly compressing top-line performance. 2) A lower gross margin caused by reduced production, which spread fixed manufacturing overhead across a smaller output base and lifted unit costs.

Despite the challenging first half, the company continued to invest in its integrated plastic solutions segment, acquiring plastic injection moulding machines in May 2026 to enhance capacity and efficiency. Tian Chang has also begun collaborations with new customers, with certain product lines targeted for mass production and delivery in the second half of 2026, subject to market conditions.

The Board does not foresee material changes in credit or liquidity exposure for the remainder of the financial year but will maintain close oversight of market developments. Final unaudited interim results are scheduled for release by the end of August 2026. Shareholders and potential investors are advised to exercise caution when dealing in the company’s securities.