Understanding the Market | Ausnutria Group's stock once fell by over 18%, with an expected mid-term net profit reduction of no less than HKD 40 million
After issuing a profit warning, Ausnutria Dairy Corporation Ltd. once fell by more than 18%, and as of the time of publication, it has fallen by 13.87% to HKD 1.18 with a turnover of HKD 5.0305 million. In terms of news, Ausnutria Dairy Corporation Ltd. announced that the group expects the attributable net profit to shareholders for the 6-month period ending on March 31, 2024 to decrease by not less than HKD 40 million, compared to approximately HKD 57.10 million for the 6-month period ending on March 31, 2023. The announcement stated that the decrease in net profit during the period was mainly due to increased employee costs caused by retention measures for high-performance employees; increased marketing expenses due to investments in high-profile and high-impact advertising activities; and the recognition of non-cash impairment of goodwill of approximately HKD 11.40 million
According to the information from the Wise Financial APP, Ausnutria Dairy Group (01161) fell by more than 18% after issuing a profit warning. As of the time of publication, it has dropped by 13.87% to HKD 1.18, with a turnover of HKD 5.0305 million.
On the news front, Ausnutria Dairy Group announced that the group expects the attributable net profit to shareholders for the six-month period ending on March 31, 2024, to decrease by not less than HKD 40 million, compared to approximately HKD 57.10 million for the six-month period ending on March 31, 2023.
The announcement stated that the decrease in net profit during the period is mainly due to the increase in employee costs caused by retention measures for high-performance employees; the increase in marketing expenses due to investments in high-profile and high-impact advertising activities; and the recognition of non-cash impairment of goodwill of approximately HKD 11.40 million