Ruisen Life Service Co, Limited Issues Positive Profit Alert for FY2025

Ruisen Life Service Co, Limited (Stock Code: 1922) has issued a significant positive profit alert, signaling a dramatic turnaround in its financial performance for the year ended 31 December 2025. The announcement, made pursuant to Hong Kong Stock Exchange Listing Rules and Inside Information Provisions, contains several key developments that may be highly relevant for shareholders and investors.

Key Points in the Report

• Expected Return to Profitability: The Group anticipates recording a profit of not less than RMB 65 million for the year ended 31 December 2025. This marks a substantial recovery from a loss of approximately RMB 20.6 million reported for the previous year ended 31 December 2024.
• Main Drivers of Turnaround:
  • Significant Decrease in Impairment Losses: Impairment losses on financial assets, net, decreased by around RMB 45.9 million compared to the prior year.
  • No Major One-Off Impairment: In 2024, the company suffered an impairment loss on parking lot deposits of about RMB 53.7 million. This loss did not recur in 2025, contributing to the improved financial results.
• Preliminary Nature of Results: The profit figures are based on unaudited consolidated management accounts and have not yet been reviewed or audited by the company’s auditors or audit committee. The final audited results will be released on 31 March 2026.
• Continued Suspension of Trading: Trading in Ruisen Life Service’s shares has been suspended since 9:04 a.m. on 28 August 2024 and will remain suspended until further notice. The company will provide further updates in accordance with the Listing Rules.

Important Information for Shareholders

• Potential Price Sensitivity: The anticipated shift from a significant loss in 2024 to a notable profit in 2025 is material information that could impact the share price once trading resumes. The elimination of large one-off impairment charges and the reduction in impairment losses on financial assets are key contributors to this turnaround.
• Uncertainty Remains: As the results have not yet been audited, there is a possibility that the final figures announced on 31 March 2026 may differ from the preliminary numbers disclosed.
• Suspension of Trading: Shareholders should note that the shares remain suspended and should monitor further company announcements for updates regarding trading resumption or additional financial information.

Additional Details

• The announcement was authorized by the Board of Directors, with Mr. Pan Xiaohu as Chairman. The Board includes both executive and non-executive directors, as well as independent non-executive directors.
• The company is incorporated in the Cayman Islands with limited liability.
• The positive profit development is primarily driven by improved asset quality and the absence of large impairment losses which negatively impacted prior year results.

Conclusion

The positive profit alert from Ruisen Life Service Co, Limited signals a major improvement in operational and financial health, primarily due to the reduction of impairment losses and absence of large one-off charges. This development is likely to be price sensitive and could have a significant impact on the company’s share price once trading resumes. However, investors should remain cautious as the results are preliminary and subject to audit.

Disclaimer: This article is for informational purposes only. The information has been derived from the company’s official public filing and is subject to change upon audit. Investors are advised to exercise caution and refer to official company announcements and filings for final results. This is not investment advice.

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