BlockFin Holdings Limited Issues Significant Profit Warning for FY2025

Key Points from the Profit Warning Announcement

• Expected Loss for FY2025: The Group anticipates recording a loss attributable to shareholders of not more than HK\$68.0 million for the year ended 31 December 2025. This represents a substantial increase compared to the loss of approximately HK\$27.2 million reported for the same period in 2024.
• Main Reasons for Increased Loss:
  • Recognition of net unrealised loss on private equity investment: The Group has recognized a net unrealised loss related to an investment in a private equity fund, impacting the bottom line.
  • Increased provision for impairment losses: There has been a significant increase in provisions for impairment losses on financial assets, further contributing to the widened loss.
• Nature of the Financial Information: The figures are based on the Board’s preliminary assessment of unaudited consolidated management accounts for FY2025, and have not yet been confirmed or reviewed by auditors or the audit committee. The numbers are subject to finalisation and adjustments.
• Timing of Annual Results Announcement: The Company expects to publish its formal annual results announcement for FY2025 by the end of March 2026, in accordance with Hong Kong Stock Exchange Listing Rules.

Important Information for Shareholders & Investors

• Potential Impact on Share Price: The substantial increase in expected losses—from HK\$27.2 million to HK\$68.0 million—may be considered material and price-sensitive information. This could lead to negative investor sentiment and increased volatility in the share price.
• Risks Highlighted:
  • The Group’s exposure to private equity investments and financial assets has resulted in significant unrealised losses and increased impairment provisions, signalling risk factors that shareholders should monitor closely.
  • The actual financial results may differ from preliminary estimates, as the figures await audit review and finalisation.
• Investor Guidance: Shareholders and potential investors are urged to exercise caution when dealing with the Company’s shares and to carefully review the official annual results announcement when published.

Board Composition

• Chairman: Mr. SUN Lei
• Executive Directors: Mr. SUN Lei, Mr. ZHU Dong
• Non-Executive Director: Dr. YUAN HaiHai
• Independent Non-Executive Directors: Dr. QI Daqing, Mr. CHEN Yigong, Mr. FENG Zhonghua

Conclusion

BlockFin Holdings Limited has issued a profit warning indicating a much larger loss for FY2025 compared to the previous year, driven primarily by unrealised losses in private equity investments and higher impairment provisions. This development constitutes price-sensitive information and could impact the share price. Investors should monitor the situation closely and await the final audited results expected by end March 2026.

Disclaimer: This article is based on information provided in BlockFin Holdings Limited’s official profit warning announcement. The financial figures are preliminary and unaudited, subject to finalisation and adjustment. Investors are advised to consult the official annual results and seek professional advice before making any investment decisions.

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