Petro-King Oilfield Services Limited Issues Positive Profit Alert for FY2025

Petro-King Oilfield Services Limited (Stock Code: 2178), incorporated in the British Virgin Islands and listed on the Hong Kong Stock Exchange, has released a Positive Profit Alert that may significantly impact the company’s share price.

Key Points from the Announcement

• Expected Profit Turnaround: The Group anticipates a profit attributable to owners of the Company of not more than HK\$25.0 million for the year ended 31 December 2025. This marks a substantial improvement compared to a loss of approximately HK\$17.8 million for the previous year ended 31 December 2024.
• Factors Driving Profitability:
  • Decrease in Depreciation Expenses: The reduction stems from certain plant and machinery assets depreciating to their residual value during 2024, resulting in lower depreciation charges in 2025.
  • Increase in Government Subsidies: The Group received greater government subsidies during the reporting period, directly contributing to improved profitability.
  • Turnaround in Associate Results: The Group’s share of results from associates switched from a loss to a profit position during the reporting period, further boosting bottom-line performance.
• Preliminary Figures: The profit alert is based on unaudited consolidated management accounts and other information currently available to the Board. These figures have not yet been confirmed or reviewed by the Company’s auditors or audit committee, and may be subject to adjustments.
• Annual Results Announcement: Investors should note that the final audited results for FY2025 are expected to be published on 25 March 2026.

Important Information for Shareholders and Investors

• Material Price-Sensitive Information: The anticipated swing from a loss to a profit is substantial and may significantly affect the share value of Petro-King Oilfield Services Limited.
• Reasons for Caution: As the figures are preliminary and unaudited, there remains a possibility of adjustments before the final results are released. Shareholders and investors are advised to exercise caution when dealing in the shares of the Company.
• Board Composition: The Company’s Board currently consists of three executive directors (Mr. Zhao Jindong, Mr. Lin Jingyu, and Ms. Zhou Sisi), one non-executive director (Mr. Wang Jinlong, Chairman), and three independent non-executive directors (Mr. Leung Lin Cheong, Mr. Xin Junhe, and Mr. Zhang Dawei).

Potential Impact on Share Price

• This announcement signals a major turnaround in the Company’s financial performance, which is likely to be viewed very positively by the market. The combination of reduced expenses, increased subsidies, and improved associate performance could drive investor confidence and potentially result in an upward movement in the Company’s share price.
• Investors should monitor further disclosures and the upcoming annual results announcement for confirmation of these preliminary figures.

Disclaimer

The information contained in this article is based on Petro-King Oilfield Services Limited’s official announcement and preliminary unaudited accounts. The actual audited results may differ and are subject to review by the Company’s auditors and audit committee. Investors are strongly advised to review the upcoming annual results announcement and exercise caution before making any investment decisions related to the Company’s shares. This article does not constitute investment advice.

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