BJ DIGITAL (06188) has issued a profit warning, expecting its net loss attributable to parent shareholders for the six months ending June 30, 2026, to be no more than RMB 110 million. This marks a year-on-year increase in losses compared to the net loss of approximately RMB 76.64 million recorded in the same period of 2025.

The company attributed the widened losses to rising incoming product costs, which have pushed up selling prices and subsequently dampened market demand. Additionally, the persistently weak offline retail environment has reduced the scale of the group's offline channel promotion business and lowered its overall gross margin.

The announcement, made via a filing, highlighted these factors as the primary drivers behind the expected financial deterioration during the review period.