Cinese Intl (01620.HK) announced on August 27th that, according to the preliminary evaluation of the unaudited comprehensive management account for the six months ended June 30, 2024 (the 'period'), the group expects to record a loss before income tax of no less than 19 million Hong Kong dollars for the six months ended June 30, 2024, compared to a pre-tax surplus of approximately 1.8 million Hong Kong dollars for the six months ended June 30, 2023.

Based on the available information, the expected loss before income tax during the period is mainly attributable to the provision for expected credit losses on financial assets, which has changed from a reversal of expected credit losses of approximately 4.2 million Hong Kong dollars for the six months ended June 30, 2023 to a provision for expected credit losses of approximately 20.2 million Hong Kong dollars for the period. This change is mainly due to an increase in the outstanding balances of several debtors compared to June 30, 2023.