tiprankstipranks
Company Announcements

China Literature Expects 2024 Net Loss Due to Goodwill Impairment

Story Highlights
  • China Literature anticipates a net loss due to a goodwill impairment from a past acquisition.
  • The company plans to focus on high-quality content, aiming for long-term market strength.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
China Literature Expects 2024 Net Loss Due to Goodwill Impairment

China Literature ( (HK:0772) ) has issued an announcement.

China Literature Limited has issued a profit warning, anticipating a net loss of RMB150 million to RMB250 million for the 2024 financial year, primarily due to a non-cash impairment of goodwill from its 2018 acquisition of New Classics Media Holdings Limited. Despite the expected loss, the company plans to focus on developing top-tier film and drama content, which may lead to higher production costs and extended project timelines. However, this strategic shift is expected to strengthen its market position and create long-term value for its intellectual property business.

More about China Literature

China Literature Limited is a company involved in the creation and distribution of online literature and related media content. It focuses on producing high-quality film and drama series content, aiming to establish a strong position in the high-end production industry.

YTD Price Performance: 16.43%

Average Trading Volume: 375

Technical Sentiment Consensus Rating: Sell

Current Market Cap: $4.17B

Find detailed analytics on 0772 stock on TipRanks’ Stock Analysis page.

Looking for investment ideas? Subscribe to our Smart Investor newsletter for weekly expert stock picks!
Get real-time notifications on news & analysis, curated for your stock watchlist. Download the TipRanks app today! Get the App
1