Wan Baogang Group (01213) Fa Yingxi expects profit attributable to shareholders in the medium term to turn a year-on-year loss into a profit of about HK$200,000

According to Zhitong Finance App, Wan Baogang Group (01213) announced that the Group expects to record a profit of approximately HK$1.1 million and profit attributable to shareholders of about HK$200,000 for the six months ending September 30, 2026 (reporting period); while the six-month period ending September 30, 2025, it recorded a loss of approximately HK$2.7 million and losses attributable to shareholders of approximately HK$3 million.

The Board of Directors believes that the expected conversion of loss to profit is mainly due to: (i) improvements in the operating efficiency and cost management of the South African subsidiary after the full settlement of the loan and elimination of rent and interest expenses of the wholly-owned headquarters; and (ii) the increase in flash memory prices during the reporting period, which led to an increase in the profit margin of the Group's flash memory products.