Yongmao Holdings Limited: Profit Guidance and Outlook for 1H FY2026

Yongmao Holdings Limited has released a profit guidance for the six months ended 30 September 2025 (1H FY2026). This update provides insights into the expected financial performance and key considerations for shareholders and potential investors.

Profit Guidance Summary

Based on preliminary unaudited management accounts, Yongmao Holdings anticipates recording a net loss attributable to shareholders for 1H FY2026. The main factors contributing to this projected loss are:

• Lower revenue from Hong Kong operations.
• Reduced profit margin from sales of tower cranes.
• A fair value loss on financial assets measured at FVOCI, resulting in a total comprehensive loss for shareholders.

Key Financial Metrics and Trends

Due to the nature of the announcement, specific figures for revenue, net profit, EPS, and dividends are not disclosed. However, the outlook suggests a notable deterioration in financial performance compared to previous periods.

Exceptional Items and Events Impacting Performance

• Fair Value Loss: The company expects to report a fair value loss on financial assets measured at FVOCI, which will further impact total comprehensive income.
• Macroeconomic/Geographic Risks: Lower revenue from the Hong Kong operations suggests region-specific headwinds affecting the business.

Management Commentary and Tone

The announcement does not include a dedicated Chairman’s Statement. However, the tone of the update is cautious and prudent, emphasizing the need for shareholders to exercise caution when trading the company’s securities. The Chief Executive Officer, Tian Ruo Nan, reiterates the importance of consulting professional advisers if in doubt about trading actions.

Corporate Actions, Dividends, and Remuneration

No information on dividends, share buybacks, director remuneration, or other corporate actions is disclosed in the current report.

Events to Watch

• Further Financial Disclosure: The company will provide more detailed financial results for 1H FY2026 before 15 November 2025, which could clarify the extent of the net loss and operational challenges.
• Fair Value Adjustments: Investors should monitor for any additional fair value losses or asset revaluations in future releases.

Conclusion and Investment Recommendation

Overall Assessment: The financial outlook for Yongmao Holdings Limited appears weak based on the profit guidance. The company expects a net loss for the period and faces lower revenue and margins, with additional pressure from fair value losses on financial assets.

Recommendation for Current Shareholders

If you currently hold Yongmao Holdings shares, consider exercising caution. The announcement suggests near-term challenges and a negative outlook, so it may be prudent to review your portfolio allocation, await the full financial results, and seek advice from qualified professionals before making any decisions.

Recommendation for Potential Investors

If you do not currently hold shares, it may be wise to adopt a wait-and-see approach until the company releases its full unaudited financial results and provides more clarity on its operational and financial recovery plans.

Disclaimer

This analysis is based solely on information disclosed in the company’s profit guidance announcement. It does not constitute financial advice. Investors should conduct their own due diligence or consult a licensed financial adviser before making investment decisions.

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