Xinchen China Power Holdings Limited (stock code: 01148) announced a profit warning, stating that preliminary unaudited figures indicate profit attributable to equity shareholders for the year ended 31 December 2025 will not exceed RMB21.00 million, marking an approximate 45.0% year-on-year decrease.

Management attributes the downturn primarily to the absence of a one-off reversal of impairment losses. In FY2024, the Group booked a reversal of approximately RMB88.20 million; no comparable amount is expected for FY2025. Although operating expenses were reduced during the period, the savings could not offset the loss of the prior year’s significant reversal benefit.

The FY2025 results remain unaudited and subject to finalisation. Audited annual results are scheduled for release in late March 2026. Shareholders and potential investors are advised to exercise caution when dealing in the company’s shares.