STRONG PETRO (00852) issues profit warning, expecting a mid-term net loss of approximately HK$62-66 million for shareholders in 2025.

Strait Oil and Chemicals (00852) announced that the unaudited loss attributable to owners of the company for the six months ended June 30, 2024 was approximately HK$8.8 million. It is expected that the group will record a loss attributable to owners of the company of between approximately HK$62 million and HK$66 million for the six months ended June 30, 2025, mainly due to gross loss generated in the petrochemical product manufacturing business under unfavorable market conditions, resulting in a decrease in gross profit. Additionally, the legal and professional fees paid by the former management have significantly increased, as well as the expenses related to the resumption of trading of the company's shares on the Stock Exchange, leading to an increase in administrative expenses, partially offset by an increase in net foreign exchange gains.