China Dongxiang (Group) Co., Ltd. has warned shareholders that it expects to post a net loss attributable to equity holders of no more than RMB180.00 million for the financial year ended 31 March 2026 (FY2025/26), reversing the RMB207.00 million net profit recorded in the previous fiscal year.

The anticipated downturn is attributed to three main factors:

1. Capital-market volatility in the second half of FY2025/26—particularly a sharp market decline in March 2026—reduced fair-value gains on the Group’s financial assets.

2. Depreciation of the US dollar against the Renminbi generated foreign-exchange losses on the Group’s sizeable US-dollar-denominated assets.

3. A non-cash impairment allowance was recognised on loans extended to current and former management personnel.

Management emphasised that the impairment charge does not affect the Group’s core operations or cash-flow position.

The audited annual results are still being finalised and are scheduled for release by end-June 2026. Shareholders and potential investors are advised to exercise caution when dealing in the Company’s securities until the final figures are published.