Gelonghui, March 20, 丨 Kaifushan Group Holdings (08512.HK) announced that according to the Board's preliminary review of the Group's unaudited comprehensive management accounts for the year ended 31 December 2023 (“FY2023") and the information currently available to the board of directors, the Group expects to record profit attributable to company owners in 2023 between HK$100 million and HK$105 million, compared to approximately HK$73.1 million for the year ended 31 December 2022.
The board of directors believes that the increase in profit expectations attributable to the company owners mentioned above is mainly due to increased revenue due to new customer orders and an increase in gross margin due to a decrease in the Group's raw material costs and production recurring expenses.
In December 2023, the Company received a claim of approximately US$6.8 million from a customer of the Group for compensation for its business losses and direct expenses relating to the recovery of affected products. The full claim amount of approximately USD 6.8 million has been factored into the profit attributable to the company owners in 2023, as described above. The company is discussing possible solutions with customers and will continue to closely monitor developments and will issue separate announcements in due course.