Chuangxin International (00676) announced that the Group expects to obtain tax exemptions for the year ended December 31, 2023...
According to Zhitong Finance App News, Chuangxin International (00676) announced that the Group expects to obtain profit after tax of about US$451,000 for the year ended December 31, 2023, while profit after tax for the same period in 2022 was approximately US$1.683 million, a decrease of about 73%.
According to the announcement, the decrease in profit is mainly due to (i) the decline in export sales of footwear products by about 67% during the period compared to the same period in 2022; and (ii) due to the economic downturn, the Group's investment property is expected to generate a fair value loss of about US$713,000 during the period, compared to a fair value gain of about US$561,000 for the same period in 2022.
The Board believes that the Group's overall operations and cash position remain healthy because (i) the fair value loss is a non-cash item and will not have any impact on the Group's cash and operations; and (ii) the Group's cash position on 31 December 2023 is expected to improve by about 15% compared to the cash position on 31 December 2022.