Zhitong Financial App News, South China Group Holdings (00413) announced that the group expects to make a net loss of about HK $85 million for the six months ended June 30, 2023, compared with a net profit of about HK $38 million for the same period in 2022.
This is mainly due to the decline in operating profits of the trade and manufacturing division, and the fact that major customers actively advanced their respective delivery times in the first half of 2022 to avoid logistics stagnation in 2021, followed by a prudent ordering strategy, resulting in a decrease in sales orders received from major customers during the period; the increase in Hong Kong interbank offered rates during the period compared with the same period in 2022 led to an increase in financing costs And the proceeds from the sale of position bonds confirmed during the period decreased. The above effects offset the recognized proceeds of approximately HK $78 million from the sale of subsidiaries during the period.