Junjie Group Holdings (08188) announced that it is estimated that the Group's unaudited gross profit margin for the year ended 31 December 2023, and the total profit and overall revenue attributable to company owners will not be less than 15.0% and HK$40 million respectively, while the audited gross margin and net profit for the year ended 31 December 2022 are approximately 3.2% and approximately HK$5.804 million, respectively.
The increase in gross margin and net profit in fiscal year 2023 was mainly due to positive progress in the construction of tunnel construction services in the Group's newly awarded contracts (as disclosed in the third quarter results announcement). According to measurements of the projects completed by the Group and customers so far, the profit margin of tunnel construction services is generally high.