Virtual Mind widens annual loss despite higher revenue and credit loss reversal

Virtual Mind Holding Company Limited ( (HK:1520) ) has provided an update.

Virtual Mind Holding Company Limited reported audited consolidated revenue of HK$149.7 million for the year ended 31 December 2025, up from HK$129.6 million in 2024, but gross profit fell to HK$4.8 million as cost of sales and operating expenses increased sharply. The group recorded a widened net loss of HK$112.0 million, driven by significant goodwill and asset impairments and higher administrative and selling expenses, partially offset by a reversal of expected credit losses on loans and interest receivables, resulting in a deeper overall comprehensive loss despite modest foreign exchange gains.

The company’s results highlight mounting profitability pressure as rising impairments and overheads outpaced revenue growth, underscoring operational and balance-sheet challenges. These trends may weigh on investor sentiment and raise questions about the sustainability of its current business mix and cost structure, even as the reversal of credit losses suggests some improvement in asset quality.

The most recent analyst rating on (HK:1520) stock is a Hold with a HK$0.87 price target. To see the full list of analyst forecasts on Virtual Mind Holding Company Limited stock, see the HK:1520 Stock Forecast page.

More about Virtual Mind Holding Company Limited

Virtual Mind Holding Company Limited, incorporated in the Cayman Islands and listed in Hong Kong, operates through a group structure that generates revenue from its consolidated subsidiaries. The company’s activities position it within the broader services and technology-oriented sectors, focusing on fee-based and interest-related income streams in its core markets.

Average Trading Volume: 2,370,227

Technical Sentiment Signal: Sell

Current Market Cap: HK$694.8M

See more data about 1520 stock on TipRanks’ Stock Analysis page.