According to the Zhitong Finance App, Kaisa Health (00876) announced that the Group expects to turn losses before tax into profit to profit before tax for the year ending December 31, 2023. Profit before tax is expected to be no less than HK$6 million, while the loss before tax for the year ended 31 December 2022 is approximately HK$172 million; and the Group expects to turn net losses attributable to company owners into profits in fiscal year 2023 to net profit attributable to company owners. The net profit attributable to company owners is expected to be no less than HK$7 million, while the net loss attributable to company owners is approximately HK$123 million in fiscal year 2022.
The Board believes that the above expected financial results are mainly due to a combination of factors such as (i) revenue of approximately HK$69 million from the sale of subsidiaries, mainly due to fair value re-measurement of the Group's reserved interests confirmed in fiscal year 2023; (ii) reduction of administrative expenses by approximately HK$29 million; (iii) impairment losses were drastically reduced by approximately HK$73 million on 31 December 2023, due to the loss of control over the Zhuhai Shili Lianjiang International Health City development project; and (iv) in fiscal year 2023, profit and loss were recorded at fair value The fair value income of financial liabilities was approximately HK$900,000, while the fair value loss of financial liabilities recorded as profit and loss at fair value in fiscal year 2022 was approximately HK$17 million.