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Zengame Technology Issues Profit Warning Amid Market Downturn

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Zengame Technology Issues Profit Warning Amid Market Downturn

Zengame Technology Holding Ltd. ( (HK:2660) ) has issued an announcement.

Zengame Technology Holding Ltd. has issued a profit warning, anticipating a decrease in net profit by approximately 35% to 45% for the year ending December 31, 2024, compared to the previous year. This decline is attributed to a 15% to 25% reduction in revenue due to lower-than-expected sales of new products and a general downturn in the gaming market, alongside a 5% to 10% decrease in gross profit margin due to higher operational costs. Additionally, the company incurred an extra RMB70 million tax from transferring retained profits within its group, although this move is expected to benefit shareholders in the long run.

More about Zengame Technology Holding Ltd.

Zengame Technology Holding Ltd. is a company incorporated in the Cayman Islands, operating primarily in the gaming industry. The company, along with its subsidiaries, focuses on developing and distributing gaming products and features, aiming to capture a share of the gaming market.

YTD Price Performance: -7.27%

Average Trading Volume: 348,903

Technical Sentiment Consensus Rating: Buy

Current Market Cap: HK$2.63B

See more data about 2660 stock on TipRanks’ Stock Analysis page.

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