Sany Heavy Equipment (HKG:0631) forecasts its net profit to plunge 25% to 45% to between 1.01 billion yuan and 1.38 billion yuan in 2024 from 1.84 billion yuan in the year-ago period, according to a Wednesday filing with the Hong Kong Exchange.
The foreseen plunge is attributable to an impairment loss on goodwill for its oil and gas equipment operations of about 470 million yuan due to lower operating income following a decline in demand, and lower market share due to tight competition, among others, the filing said.
Sany Heavy Equipment also logged impairments on properties for sale amounting to 280 million yuan, the filing said.
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