Coolpad Group (02369.HK) announced that the Group is expected to record an estimated net loss attributable to owners of the company of approximately HKD 220 million to HKD 225 million for the fiscal year 2023, compared to a net loss of approximately HKD 625 million in the same period in 2022.
The decrease in net loss is mainly due to the conversion of gross loss to gross profit, along with significant reductions in sales and distribution expenses, as well as administrative and other expenses. The improvement is attributed to the Group's adjustment of its product brand and sales incentive policies, restructuring of the diversified channel structure, and a focus on reshaping the operator channel and launching a low-cost e-commerce channel in 2023.
In addition, based on the preliminary review of the Group's unaudited interim consolidated financial statements for the six months ended June 30, 2024, the Group is expected to record an estimated net loss attributable to owners of the company of approximately HKD 90 million to HKD 95 million for the first half of 2024, compared to a net loss of approximately HKD 117 million in the same period in 2023. The decrease in net loss is mainly due to the reduction in the Group's share of losses from associated companies and joint ventures after the sale of equity interests in 2023.