Nanjing Sample Technology Flags Smaller 2025 Loss After Revising Credit Provisions

Nanjing Sample Technology Co., Ltd. Class H ( (HK:1708) ) just unveiled an announcement.

Nanjing Sample Technology has warned investors it expects a net loss attributable to shareholders of about RMB60 million to RMB80 million for 2025, a sharp improvement from the roughly RMB420 million loss a year earlier. Management attributes the ongoing losses to a weak macroeconomic environment, fiercer competition and higher raw material costs, which have eroded gross margins despite a steep reduction in asset impairments and litigation-related provisions.

The board has also approved a change in accounting estimates to align expected credit loss rates on receivables and contract assets with industry practice, lowering certain bad-debt provision ratios for items aged two to five years. Applied prospectively, this adjustment is expected to reduce the 2025 net loss by about RMB146 million without affecting previously reported results, and investors are urged to trade the shares cautiously ahead of the audited annual figures due by end-March 2026.

The most recent analyst rating on (HK:1708) stock is a Hold with a HK$0.47 price target. To see the full list of analyst forecasts on Nanjing Sample Technology Co., Ltd. Class H stock, see the HK:1708 Stock Forecast page.

More about Nanjing Sample Technology Co., Ltd. Class H

Nanjing Sample Technology Co., Ltd. is a PRC-incorporated joint stock company listed in Hong Kong, operating through a group structure that provides technology-related products and services. The company competes in a sector exposed to macroeconomic volatility, rising raw material costs and intense industry competition, which collectively pressure its margins and asset quality.

Average Trading Volume: 177,661

Technical Sentiment Signal: Hold

Current Market Cap: HK$273.3M

For an in-depth examination of 1708 stock, go to TipRanks’ Overview page.