Zensun Enterprises Limited Issues Profit Alert: Significant Reduction in Annual Losses Expected

Key Highlights

• Substantial Reduction in Losses: Zensun Enterprises Limited (“the Company”) has issued a profit alert stating that it expects to record a net loss ranging from approximately RMB770.0 million to RMB950.0 million for the year ended 31 December 2025 (“Relevant Year”). This is a significant improvement compared to a net loss of around RMB2.17 billion for the year ended 31 December 2024.
• Primary Reasons for Improvement: The Board attributes this reduction in net loss to two main factors:
  • An increase in gross profit on delivered projects during the Relevant Year.
  • A reduction in impairment provisions for the Group’s property projects.
• Preliminary Figures: The loss figures are based on unaudited consolidated management accounts and may differ from the final audited numbers.
• Results Announcement Timing: The audited consolidated annual results for the Relevant Year are expected to be published by the end of March 2026.

Details and Analysis

According to the Company’s Board of Directors, the expected net loss range of RMB770.0 million to RMB950.0 million for 2025 represents a dramatic year-on-year improvement, with losses shrinking by more than half, compared to the RMB2.17 billion net loss in 2024. This sharp reduction is a positive indicator for investors as it suggests that the Company has implemented effective strategies to enhance profitability and manage risks more efficiently.

The improvement in financial performance is primarily due to increased gross profits from delivered property projects, indicating potential improvements in project execution, sales, or pricing. Additionally, the Group has made lower impairment provisions for its property projects, which may reflect a more optimistic outlook on asset values or improved project fundamentals.

Important Information for Shareholders

• Price-Sensitive Information: The significant reduction in net losses is highly price-sensitive and could have a material impact on the Company’s share price. Investors should monitor further announcements closely, especially the final annual results.
• Caution Advised: The figures are preliminary and unaudited. Final results may differ after the audit process. Investors should await the formal results announcement expected by end of March 2026.
• Ongoing Disclosure: The Company has made this announcement in compliance with Hong Kong Listing Rules and the Inside Information Provisions, underscoring its commitment to timely and transparent disclosure.

Board and Management

The announcement has been authorized by the Board, currently comprising Mr. Zhang Jingguo (Chairman, CEO, and Executive Director), Mr. Zhang Guoqiang (Executive Director), Ms. Huang Yanping (Non-Executive Director), and three Independent Non-Executive Directors: Mr. Liu Da, Mr. Ma Yuntao, and Dr. Li Huiqun.

Investor Guidance

Shareholders and potential investors are urged to exercise caution when dealing in the Company’s shares and to review the full consolidated annual results once published. The profit alert signals a positive turnaround in the Company’s financial health, but investors should remain vigilant for potential adjustments in the final audited results.

Disclaimer: This article is based on a preliminary profit alert announcement. The actual results, once audited and finalized, may differ from the figures and statements provided above. Investors are advised to refer to official publications and seek appropriate professional advice before making any investment decisions.

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