Hualian International (00969) issued a profit warning. The net loss for the medium term is expected to be around HK$5 million to HK$15 million

According to the Zhitong Finance App, Hualian International (00969) issued an announcement. It is expected that the Group will have a net loss of about HK$5 million to HK$15 million for the six months ending June 30, 2026 (reporting period), while a net loss of approximately HK$13.1 million for the six months ended June 30, 2025. Overall, the Group's net loss for the reporting period is expected to remain at a similar level compared to the same period last year.

Although the Group's net loss for the reporting period is not expected to be significantly different from the same period last year, the Group's operating performance is significantly weaker than in the same period last year. The Board believes that the weakening was mainly due to the fact that Jamaica continued to be affected by unfavorable and unpredictable climatic conditions during the reporting period. Coupled with natural disasters and pressures brought about by climate change, the sugar cane harvest declined, which in turn led to a decrease in the amount of sugar cane harvested and pressed. As a result, the Group's sugar business segment's revenue forecast for the reporting period dropped significantly by about 64% to about HK$26.5 million compared to the same period last year. At the same time, due to a reduction in production and sales scale, collaborative economic benefits declined, resulting in a marked increase in the unit production cost of raw sugar products.