NEW GONOW RV (00805) is expected to have a net profit of approximately 31 to 40 million yuan in the fiscal year 2025, a year-on-year decrease of about 12.07% to 31.85%.

The announcement released by NEW GONOW RV (00805) states that the group's estimated net profit for the fiscal year ending on December 31, 2025 is expected to be approximately RMB 31-40 million, a decrease of about 12.07% to 31.85% compared to the net profit of RMB 45.49 million for the fiscal year ending on December 31, 2024. This is due to the following factors: Recent macroeconomic fluctuations: Sales performance in the 2025 fiscal year has been adversely affected by unexpected downturn in the RV division. This contraction was triggered by emerging stagflation pressures and reduction in discretionary spending, and further exacerbated by consecutive interest rate hikes by the Reserve Bank of Australia during this period. Compression of profit margins from new products: The launch of a new hybrid off-road trailer model has resulted in negative gross profit margins. This is due to initial production cost increases in the scale-up phase, as well as intensified competitive pricing pressure in the market. Strategic investment in distribution: Increased sales expenses due to investments in expanding company-owned stores. These investments involve a longer growth cycle, leading to an increase in indirect expenses that exceed the group's moderate revenue growth.