SOFTMEDX (00648) has announced an expected significant loss of approximately HK$405 million for the fiscal year ending December 31, 2025. This projected loss is primarily attributed to a fair value deficit of about HK$412 million resulting from the settlement of debt through a distribution of shares in kind. The fair value loss stems from the difference between the issue price of HK$0.01 per share and the closing price of HK$0.239 per share on November 11, 2025, related to the 1.8 billion new shares issued by the company to repay a loan. This fair value loss is a one-time, non-cash item, impacting only the group's income statement and statement of changes in equity, with no effect on its balance sheet, cash flow, or net asset value. Excluding this special item, the group would have recorded a profit of approximately HK$10 million from its ordinary business operations, compared to a profit of HK$6.9 million (excluding special items) for the 2024 fiscal year.