TK Group Holdings (02283) shares fell more than 11%, trading at HK$1.68 as of the time of writing, down 11.58%, with a turnover of HK$5.4515 million.

On the news front, on the evening of July 28, TK Group Holdings issued a profit warning, stating that it expects first-half revenue to increase by approximately 10% compared to the same period last year, while the consolidated profit attributable to the company's owners is expected to decline by about 72-80% year-on-year.

The main reasons include that the group initiated a series of transformation measures starting in mid-2025 to drive breakthrough development and long-term corporate transformation and upgrading. It actively enhanced its market track layout and upstream and downstream industrial synergies. The initial investment increased, which had a short-term impact on profitability. This includes injection-molded products, such as medical products and AI glasses, entering the market with low margins to exchange for future sustainable and stable development, leading to the group's expectation of a decline in gross profit for the reported period.