Grandall News Nov 20th | Hongji Group Holdings (01718.HK) announced that the group expects to record a net loss of not less than about 11,000,000 Hong Kong dollars for the six months ending September 30, 2024, while in the same period in 2023 it was a net profit of about 18,378,000 Hong Kong dollars.

The group's expected net loss is mainly due to (i) the recognition of impairment loss provisions for financial and contract assets during the reporting period, while in the same period in 2023, there was a reversal of impairment loss provisions for financial and contract assets; and (ii) as the company expands its existing business to maintain the stability and sustainability of group operations, selling expenses and general and administrative expenses (including director's remuneration and employee salaries, depreciation of right-of-use assets, and other operating expenses) increase.