Tailam Tech Construction Holdings Limited Issues Positive Profit Alert for FY2025

Key Highlights

• Expected Turnaround: Tailam Tech Construction Holdings Limited (“Tailam Tech” or the “Company”) has announced a positive profit alert, forecasting a consolidated profit in the range of RMB4.8 million to RMB6.5 million for the year ended 31 December 2025. This is a significant turnaround from the audited consolidated loss of approximately RMB11.0 million reported for the year ended 31 December 2024.
• Strategic and Operational Improvements: The Company attributes this expected turnaround to strategic adjustments and ongoing operational optimization throughout FY2025.
• Recovery in Key Markets: Gradual recovery of infrastructure-related activities in Nantong has led to progressive implementation of major construction projects. This has increased demand for Tailam Tech’s PHC piles and commercial concrete products, resulting in steady growth in business volume and revenue.
• Strengthened Partnerships: The Group enhanced its upstream and downstream cooperation, notably consolidating long-term partnerships with construction companies and strategic collaboration with subsidiaries of Anhui Conch Cement Company Limited. These actions have strengthened raw material supply stability and quality, improved production planning and procurement coordination, and enhanced overall cost management efficiency.
• Improved Operational Management: Tailam Tech optimized order selection by focusing on projects with sustainable margins, strictly implemented cost control measures, and improved resource allocation. These measures have supported improved operating efficiency and financial performance.
• Reversal of Impairment Losses: The Group recognized a reversal of impairment losses on financial assets of approximately RMB5.2 million, mainly relating to trade receivables. This improvement is attributed to a better ageing profile, improved collection of outstanding receivables, and strengthened management and credit control over trade receivables.

Important Information for Shareholders and Investors

• Price Sensitive Information: The anticipated shift from a substantial loss to a profit is a material event and is likely to be price sensitive. Investors should expect potential volatility in the Company’s share price as the market reacts to this positive turnaround.
• Preliminary Figures: The profit figures are based on unaudited consolidated management accounts and a preliminary review by the Board. These numbers have not been audited or reviewed by the audit committee, and the actual results may differ from what is currently disclosed.
• Final Results Timing: The Company expects to announce its final audited results for the year ended 31 December 2025 by the end of March 2026.
• Caution Advised: Shareholders and potential investors are strongly advised to exercise caution when dealing in the securities of the Company, as the final figures may vary from the preliminary estimates.

Additional Details

• Leadership: The announcement was issued by Ms. Wong Han Yu Alice, Chairperson, Executive Director, and Chief Executive Officer, on behalf of the Board.
• Board Composition: As of the announcement date, the board consists of three executive directors (Ms. Wong Han Yu Alice, Mr. Wong Chiu Wai, and Ms. Jiang Yin Juan), one non-executive director (Mr. Wong Leung Yau), and three independent non-executive directors (Ms. Wong Siu Yin Rosella, Mr. Lai Chun Yu, and Mr. Wong Kit Wai).

Conclusion

Tailam Tech Construction Holdings Limited’s positive profit alert signals a strong turnaround in its financial performance for FY2025. The combination of strategic recovery in core markets, strengthened supplier and partner relationships, operational efficiencies, and improved credit controls collectively contribute to this expected improvement. This news is likely to have a direct impact on investor sentiment and share price.

Disclaimer

The information presented above is based on preliminary unaudited management accounts and the Company’s own assessment. Actual results may differ. Investors should refer to the official final results announcement expected by March 2026 and exercise caution when trading in the Company’s securities. This article does not constitute investment advice.

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