C&D Newin (00731.HK) announced on August 9th that the group expects its comprehensive net loss to decrease from approximately HKD 103.6 million in the same period last year to a comprehensive net loss of approximately HKD 30 million to HKD 40 million for the six months ended June 30, 2024.
The expected comprehensive net loss for this period is lower than in previous periods, mainly due to (i) increased revenue and sales volume of paper products in this period; (ii) the group's overall production costs decreased in this period, resulting in a decrease in unit production cost, and gross loss in previous periods converted to gross profit in this period; and (iii) other income in this period increased by approximately HKD 20.3 million, mainly due to tax incentives given by the Shandong Provincial Government of China to the group as a high-tech enterprise and resource utilization-qualified enterprise.