Lerado Financial Group Issues Positive Profit Alert: Net Profit Expected for FY2025

Key Highlights

• Turnaround in Financial Performance: Lerado Financial Group Company Limited has announced a positive profit alert, indicating an expected net profit of approximately HK\$83 million for the year ended 31 December 2025. This marks a significant turnaround from a net loss of approximately HK\$174 million in the previous financial year (2024).
• Primary Drivers of Profit: The expected profit is mainly attributed to:
  • Fair Value Gains on Financial Assets: The Group recorded fair value gains of financial assets at fair value through profit or loss (FVTPL) amounting to approximately HK\$48 million.
  • Reversal of Impairment Loss on Loan Receivables: A substantial reversal of impairment loss recognised on loan receivables, amounting to approximately HK\$50 million, contributed positively to the results.
• Preliminary Nature of Information: The figures disclosed are based on the Group’s unaudited consolidated management accounts and financial information currently available. These have not yet been reviewed or confirmed by the Company’s auditors or the audit committee.
• Disclosure of Detailed Financials: The Company will publish its annual results announcement for the year ended 31 December 2025 as soon as practicable, in compliance with the Listing Rules.

Implications for Shareholders & Investors

• Price Sensitive Information: The dramatic shift from a substantial loss in 2024 to a strong profit in 2025 is highly price sensitive and may significantly impact investor sentiment and share value.
• Sources of Profit Growth: The main gains stem from non-operational factors (fair value gains and impairment reversals) rather than core business expansion, which investors should consider when evaluating the sustainability of earnings.
• Exercise Caution: Shareholders and potential investors are advised to exercise caution when dealing in the shares of the Company, as the information is preliminary and subject to final audit confirmation.

Leadership & Board Details

The announcement was authorised by the Board of Lerado Financial Group Company Limited, with Ms. Ho Kuan Lai serving as Executive Director. The Company’s board comprises three executive directors: Mr. Chen Chun Chieh, Ms. Ho Kuan Lai, and Mr. Leung Kam Por Ken; and three independent non-executive directors: Mr. Yu Tat Chi Michael, Mr. Yang Haihui, and Mr. Lam Williamson.

Summary

Lerado Financial Group’s positive profit alert signals a major financial turnaround for FY2025, driven largely by fair value gains and the reversal of previous impairment losses. While these developments are likely to be price sensitive and may impact share value, investors are urged to await the audited results for final confirmation and exercise caution in their investment decisions.

Disclaimer: The information in this article is based on preliminary unaudited financial data provided by Lerado Financial Group Company Limited. Actual results may differ upon audit and further review. Investors should exercise their own judgment and seek professional advice before making investment decisions. This article does not constitute financial advice or a recommendation to buy or sell securities.

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