GRAND FIELD GP expects the mid-term net loss attributable to shareholders to decrease significantly to approximately HKD 3 million to HKD 9 million
GRAND FIELD GP expects that the net loss attributable to shareholders will significantly decrease to approximately HKD 3 million to HKD 9 million for the six months ending June 30, 2025, mainly due to the anticipated gains from the sale of Jiafeng and income tax credits. However, factors such as the decline in gross profit and fair value losses on investment properties partially offset this impact. The group's overall net loss is expected to significantly increase to approximately HKD 58 million to HKD 66 million
According to the announcement from GRAND FIELD GP (00115), primarily due to the expected gain from the sale of Jiafeng of approximately HKD 60.6 million and the estimated income tax credit for the six months ending June 30, 2025 (mainly attributed to deferred tax arising from the decrease in fair value of investment properties) of approximately HKD 21 million to HKD 25 million (compared to an income tax expense of approximately HKD 2.7 million for the six months ending June 30, 2024), the net loss attributable to the owners of the company for the six months ending June 30, 2025, is expected to decrease significantly compared to the same period in 2024.
However, the above impact is partially offset by a decrease in gross profit of approximately HKD 16 million to HKD 24 million compared to the same period in 2024, as well as a fair value loss on investment properties of approximately HKD 88 million to HKD 95 million and an impairment loss on properties held for sale of approximately HKD 10 million to HKD 15 million. The decline in gross profit is mainly due to intense market competition in the property segment, and the fair value loss on investment properties and impairment loss on properties held for sale are consistent with the ongoing competitive market environment (of which approximately 50% of such fair value losses and approximately 32% of such impairment losses are attributable to the company's non-controlling interests).
Therefore, for the six months ending June 30, 2025, the net loss attributable to the owners of the company is currently estimated to significantly decrease to approximately HKD 3 million to HKD 9 million, a substantial reduction compared to the net loss attributable to the owners of the company of approximately HKD 25.8 million for the six months ending June 30, 2024; and for the six months ending June 30, 2025, the group's net loss is currently estimated to significantly increase to approximately HKD 58 million to HKD 66 million, a substantial increase compared to the group's net loss of approximately HKD 36.8 million for the six months ending June 30, 2024
