The Modern Traditional Chinese Medicine Group (01643) announced that it is expected to incur a net loss of approximately RMB 4.5 million-8.5 million in the first half of 2024, while the net income in the same period of 2023 was RMB 27.6 million.

The announcement stated that the group's expected shift from net profit to net loss is mainly due to temporary production stoppage and reduced revenue caused by repair work in the preparation workshop; property, plant, and equipment disposal losses caused by the dismantling of the preparation workshop. Nevertheless, the board of directors expects that the group's overall operation and cash flow will not be significantly adversely affected. As of the date of this announcement, the group has sufficient cash on hand to meet its current business needs.