STAR CM Holdings Limited (06698) announced a profit alert indicating a markedly lower net loss for the financial year ended 31 December 2025 (FY2025). Management’s preliminary review of unaudited figures points to a net loss between RMB100.00 million and RMB125.00 million, a substantial improvement from the RMB230.00 million loss recorded in 2024.

Management attributes the halving of losses to three key factors:

1. Revenue stability coupled with strengthened cost controls and operational efficiencies lifted gross profit margins year-on-year.

2. Significant impairments booked in 2024—including goodwill related to film broadcasting rights and write-downs on certain financial and long-term assets—were absent in FY2025.

3. Ongoing cost-optimisation initiatives materially reduced administrative expenses versus the prior year.

Despite these gains, the Group remained in loss territory, primarily due to impairment charges on properties held by certain associates that materially lowered the carrying value of those investments.

The figures are based on unaudited management accounts and may be adjusted. STAR CM plans to publish its full FY2025 annual results on 27 March 2026. Investors are advised to exercise caution when dealing in the Company’s shares until the audited statements are released.