Alpha Pro Holdings (00948.HK) announced that it is expected to record a loss of HKD 35 million to HKD 45 million for the year ending March 31, 2024, compared to a profit of approximately HKD 13 million (including continuing operations and discontinued operations) in the previous year.

The expected change from profit to loss is mainly due to the combined effects of the following factors: (i) Significant decrease in revenue compared with the previous year, mainly due to the decrease in milk powder sales; (ii) Impairment loss on financial assets recognized during the year in accordance with the Group's accounting policy on expected credit losses; (iii) In the previous year, a non-recurring purchase discount of approximately HKD 25.4 million was recognized for the zero-cost subscription of 9,541,620 shares of Bubs Australia Limited, while no such discount was recognized in the current year; and (iv) Write-back of overdue other payables and tax payable of approximately HKD 11.5 million in the current year.