VISTAR HOLDINGS (08535) issues profit warning, expects interim net loss of approximately HK$480,000

VISTAR HOLDINGS (08535) announces that the Group is expected to record a net loss of approximately HK$480,000 for the six months ended 30 September 2026, compared with a net profit of approximately HK$410,000 for the six months ended 30 September 2025. The expected turnaround from profit to loss is primarily due to a decrease in gross profit resulting from lower revenue, despite an increase in the Group's overall gross profit margin. The decrease in installation engineering revenue reflects fewer newly awarded installation projects, coupled with original installation projects gradually approaching completion while new installation projects remain at an early stage. Projects at these stages involve lower construction volume, and therefore less revenue was recognized during the reporting period. The Group's other income and gains, as well as the net reversal of impairment losses on trade receivables and contract assets, also decreased. The above adverse effects were partially offset by decreases in administrative and other operating expenses and finance costs.