Chinasoft International's stock price plummeted 5.20% during Friday's intraday trading session, following the release of its full-year 2025 financial results the previous day.
The sharp decline came after the company reported a significant 37.3% year-on-year drop in profit attributable to owners to approximately RMB321 million for the fiscal year 2025. Management attributed the profit slump to increased one-off severance compensation expenses related to workforce optimization during its AI transformation and a recognized goodwill impairment loss.
While the company's revenue showed minimal growth of 0.5% to RMB17.03 billion and adjusted profit before tax remained broadly stable, the substantial headline profit decline and contracting gross margins disappointed investors. The board proposed a final dividend of HK$0.0466 per share alongside the results announcement.