Gelonghui, April 22丨Sanbao Technology (01708.HK) announced that, based on the Group's management's initial assessment of the Group's latest unaudited comprehensive management accounts for the year ended 31 December 2023 (“FY2023”), the Group is expected to record net profit attributable to shareholders of the parent company in fiscal year 2023 of approximately RMB 1.5 million to RMB 2.2 million, compared with the net loss of approximately RMB 273 million attributable to shareholders of the parent company for the year ended December 31, 2022.
The main reasons why the company's performance turned losses into profits during the reporting period: 1) Strict control of project procurement costs, increased gross profit and significant increase in gross margin; 2) optimization of the organizational structure through refined management led to significant cost reduction and efficiency, and overall expenses decreased year-on-year; 3) the fair value of the company's investment real estate increased at the end of the period.