TRIO IND ELEC (01710) Issues Profit Warning, Anticipates Annual Loss Attributable to Shareholders Under HK$38 Million

Stock News
Mar 16

TRIO IND ELEC (01710) announced that the group expects to record a loss attributable to the company's owners not exceeding HK$38 million for the year ending December 31, 2025. This contrasts with a profit attributable to owners of approximately HK$8.6 million in the 2024 financial year. The anticipated loss is primarily attributed to the following factors: (i) a decrease in the group's revenue, resulting from weakened demand in the European market for its intelligent vending systems, smart chargers, switch mode power supplies, and electromechanical products. This weakening demand is due to macroeconomic uncertainties, including a relatively high interest rate environment, persistent geopolitical tensions, and the implementation of revised US tariff policies; (ii) an increase in administrative expenses related to the restructuring, expansion, and optimization of the group's Electronic Manufacturing Services (EMS) sales team and overseas operations. This initiative is a key driver of the group's overall business strategy reform, aimed at manufacturing more high value-added products and developing new clients with high-profit contributions; (iii) an increase in operational costs associated with developing new business projects in the new energy sector within emerging markets, which is part of the group's comprehensive business strategy reform.

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