SAMFINE CREATION HOLDINGS GROUP LIMITED Announces First Half 2025 Unaudited Financial Results

Rhea-AI Summary

SAMFINE CREATION HOLDINGS GROUP (Nasdaq: SFHG) reported unaudited results for the six months ended June 30, 2025. Revenue was HK$82,121,233 (US$10.46M), up 0.2% year‑over‑year. The company recorded a net loss of HK$8,457,024 (US$1.08M) versus net income of HK$828,511 in H1 2024.

Expenses rose substantially: general and administrative expenses increased 81.4% to HK$20,105,220 (US$2.56M) and selling and marketing expenses increased 59.3% to HK$8,720,599 (US$1.11M). Management attributed higher professional and marketing fees and an outbreak of the trade war that hindered planned sales growth.

Positive

• Revenue stable at HK$82.12M (+0.2% YoY)

Negative

• Net loss of HK$8.46M in H1 2025 vs net income HK$0.83M prior year
• G&A expenses increased 81.4% to HK$20.11M
• Selling & marketing expenses increased 59.3% to HK$8.72M
• Trade war cited as hindering sales growth and causing operating loss

Insights

Financial analyst

Steady revenue but a swing to a material net loss driven by higher expenses weakens near-term financials.

The company reported revenue of HK$82,121,233 (US$10,461,437) for the six months ended June 30, 2025, virtually flat versus prior year (HK$81,934,259). Key expense increases include general and administrative costs rising to HK$20,105,220 (an increase of 81.4%) and selling and marketing expenses rising to HK$8,720,599 (an increase of 59.3%). These are explicit, confirmed drivers of the profit swing.

Net result moved from a small profit of HK$828,511 in the prior period to a net loss of HK$8,457,024 for this period. The figures show that expense growth, not revenue shortfall, caused the operating loss; that distinction matters for short-term cash planning. Watch quarterly cash flow disclosures and any announced cost-control measures over the next two to four quarters.

Operations strategist

Operational spending increased sharply to support listing and marketing, but revenues did not rise enough to cover those costs.

Revenue held near HK$82.1 million, while management increased marketing and professional spend to stimulate growth and improve operations; selling and marketing and G&A rose materially, per reported numbers. The company explicitly attributes the shortfall in sales growth to an external event described as an outbreak of the trade war, which the company cites as obstructing its strategic plan.

Operational focus should be on aligning marketing spend with measurable sales leads and reducing legal/professional fees where possible; track monthly order volumes and conversion metrics and review expense trends at each quarterly update through FY2025 to judge whether spending produces measurable sales lift.

HONG KONG, Oct. 30, 2025 (GLOBE NEWSWIRE) -- SAMFINE CREATION HOLDINGS GROUP LIMITED (Nasdaq: SFHG) (the “Company” or “Samfine”), a printing service provider headquartered in Hong Kong, today announced its unaudited financial results for the six months ended June 30, 2025.

Overview:

• Revenue was HK$82.1 million (US$10.5 million) for the six months ended June 30, 2025, representing an increase of 0.2% from HK$81.9 million for the same period in 2024.
• Net loss was HK$8.5 million (US$1.1 million) for the six months ended June 30, 2025, as compared with a net income of HK$0.8 million for the same period in 2024.
  
  

Six Months Ended June 30, 2025 Financial Results

Revenue. Revenue remained relatively stable at HK$82,121,233 (US$10,461,437) for the six months ended June 30, 2025, representing a marginal increase of 0.2% compared to HK$81,934,259 for the six months ended June 30, 2024.

General and administrative expenses. General and administrative expenses increased by 81.4% to HK$20,105,220 (US$2,561,207) for the six months ended June 30, 2025 from HK$11,081,674 for the six months ended June 30, 2024, principally due to increase in legal and professional fee.

Selling and marketing expenses. Selling and marketing expenses increased by 59.3% to HK$8,720,599 (US$1,110,918) for the six months ended June 30, 2025 from HK$5,474,255 for the six months ended June 30, 2024. The overall increase in selling and marketing expenses was mainly driven by the increase in marketing and promotion expenses.

Net loss. Net loss increased by 1,120.7% to a net loss of HK$8,457,024 (US$1,077,340) for the six months ended June 30, 2025 from a net income of HK$828,511 for the six months ended June 30, 2024. The company incurred significant marketing and promotion expenses and professional fee to stimulate sales and enhance operational efficiency upon listing. However, the outbreak of the trade war hindered the achievement of sales growth as outlined in the company's original strategic plan, resulting in operating loss for the six months ended June 30, 2025.

About SAMFINE CREATION HOLDINGS GROUP LIMITED

SAMFINE CREATION HOLDINGS GROUP LIMITED is an established one-stop printing service provider which principally provides printing services in Hong Kong and the PRC. With over 20 years of experience in the printing industry, its operating subsidiaries offer a wide range of printed products such as book products, novelty and packaging products. Its operating subsidiaries’ customers principally comprise of book traders located in Hong Kong whose clients are located around the world, mainly in the U.S. and Europe.

Exchange Rate Information

The Company is a holding company with operations conducted in Hong Kong and the PRC through its operating subsidiaries in Hong Kong and the PRC, Samfine HK and Samfine SZ, respectively. SFHG’s reporting currency is HKD. These unaudited interim condensed consolidated financial statements contains translations of HKD into U.S. dollars solely for the convenience of the reader. Unless otherwise noted, all translations from HKD to U.S. dollars and from U.S. dollars to HKD in these unaudited interim condensed consolidated financial statements were calculated at the noon buying rate of US$1 = HK$7.8499 on June 30, 2025, as published in H.10 statistical release of the United States Federal Reserve Board. We make no representation that the HKD or U.S. dollar amounts referred to in these unaudited interim condensed consolidated financial statements could have been or could be converted into U.S. dollars or HKD, as the case may be, at any particular rate or at all.

Forward-Looking Statements

Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company’s current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. The Company cautions investors that actual results may differ materially from the anticipated results, and encourages investors to read the risk factors contained in the Company’s unaudited interim condensed consolidated financial statements and other reports it files with the SEC before making any investment decisions regarding the Company’s securities. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law.

Rounding Amounts and Percentages

Certain amounts and percentages included in this press release have been rounded for ease of presentation. Percentage figures included in this press release have not in all cases been calculated on the basis of such rounded figures, but on the basis of such amounts prior to rounding.

For investor and media inquiries, please contact:

SAMFINE CREATION HOLDINGS GROUP LIMITED

Investor Relations

Email: 888@1398.cn

Telephone: (852) 3589 1500

SAMFINE CREATION HOLDINGS GROUP LIMITED AND ITS SUBSIDIARIES UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS AS OF DECEMBER 31, 2024 AND JUNE 30, 2025
		As of December 31, 2024				As of June 30, 2025				As of June 30, 2025
		HK$				HK$				US$
		(Audited)				(Unaudited)				(Unaudited)
ASSETS
CURRENT ASSETS
Cash and cash equivalents			44,637,131				21,016,175				2,677,254
Restricted cash			14,545,723				15,125,542				1,926,845
Accounts receivable, net
- Third parties			23,167,061				32,714,913				4,167,558
- Related party			570,149				697,798				88,893
Prepayments and other current assets			21,274,088				19,313,555				2,460,357
Investment in life insurance contract, net			1,555,526				—				—
Inventories, net			11,757,137				10,380,189				1,322,334
Total current assets			117,506,815				99,248,172				12,643,241
NON-CURRENT ASSETS
Plant and equipment, net			22,700,784				21,971,397				2,798,940
Intangible assets, net			674,777				718,135				91,483
Prepayments			14,191,667				9,804,167				1,248,954
Prepayment for acquisition of plant and equipment			23,599				6,226,938				793,250
Operating lease right-of-use assets, net			6,960,066				25,901,013				3,299,534
Investment in life insurance contract, net			—				1,569,057				199,882
Deferred tax asset			1,870,819				3,611,952				460,127
Total non-current assets			46,421,712				69,802,659				8,892,170
Total assets			163,928,527				169,050,831				21,535,411
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts and bills payables			54,392,905				49,521,638				6,308,569
Accruals and other payables			12,758,304				8,505,635				1,083,535
Bank and other borrowings			13,402,782				14,718,545				1,874,998
Due to related parties			246,185				135,973				17,321
Operating lease liabilities			2,270,289				4,585,898				584,198
Total current liabilities			83,070,465				77,467,689				9,868,621
NON-CURRENT LIABILITIES
Bank and other borrowings			3,776,763				6,930,984				882,939
Deferred tax liabilities			156,926				156,926				19,991
Operating lease liabilities			4,689,777				21,315,115				2,715,336
Total non-current liabilities			8,623,466				28,403,025				3,618,266
Total liabilities			91,693,931				105,870,714				13,486,887
COMMITMENTS AND CONTINGENCIES (Note 18)
SHAREHOLDERS’ EQUITY
Ordinary shares: US$0.0000625 par value, 800,000,000 shares authorized, 20,300,000 shares issued and outstanding as of December 31, 2024			9,889				—				—
Class A Ordinary Shares: US$0.0000625 par value, 791,000,000 shares authorized, 11,300,000 shares issued and outstanding as of June 30, 2025			—				5,505				709
Class B Ordinary Shares: US$0.0000625 par value, 9,000,000 shares authorized, 9,000,000 shares issued and outstanding as of June 30, 2025			—				4,384				564
Additional paid-in capital			68,647,780				68,647,780				8,837,594
Statutory reserve			278,740				278,740				35,885
Accumulated other comprehensive income			2,860,221				2,262,766				195,323
Retained earnings (accumulated losses)			437,966				(8,019,058	)			(1,021,551	)
Total shareholders’ equity			72,234,596				63,180,117				8,048,524
Total liabilities and shareholders’ equity			163,928,527				169,050,831				21,535,411

SAMFINE CREATION HOLDINGS GROUP LIMITED AND ITS SUBSIDIARIES UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) FOR THE SIX MONTHS ENDED JUNE 30, 2024 AND 2025
		Six months ended June 30,
		2024				2025				2025
		HK$				HK$				US$
REVENUE			81,934,259				82,121,233				10,461,437
COST OF REVENUE			(64,895,629	)			(66,340,565	)			(8,451,135	)
Gross profit			17,038,630				15,780,668				2,010,302
OPERATING EXPENSES
Selling and marketing			(5,474,255	)			(8,720,599	)			(1,110,918	)
General and administrative			(11,081,674	)			(20,105,220	)			(2,561,207	)
Total expenses			(16,555,929	)			(28,825,819	)			(3,672,125	)
INCOME (LOSS) FROM OPERATION			482,701				(13,045,151	)			(1,661,823	)
OTHER INCOME (EXPENSE)
Interest income			66,785				43,856				5,587
Interest expense			(682,011	)			(445,562	)			(56,760	)
Other income			291,314				78,252				9,969
Other gain, net			892,516				3,213,799				409,406
Total other income, net			568,604				2,890,345				368,202
INCOME (LOSS) BEFORE INCOME TAX EXPENSE			1,051,305				(10,154,806	)			(1,293,621	)
INCOME TAX (EXPENSE) INCOME			(222,794	)			1,697,782				216,281
NET INCOME (LOSS)			828,511				(8,457,024	)			(1,077,340	)
FOREIGN CURRENCY TRANSLATION ADJUSTMENT			(536,880	)			(597,455	)			(76,110	)
TOTAL COMPREHENSIVE INCOME (LOSS)			291,631				(9,054,479	)			(1,153,450	)
Weighted average number of ordinary shares:
Basic and diluted			18,000,000				20,300,000				20,300,000
EARNINGS (LOSS) PER SHARE:
BASIC AND DILUTED			0.05				(0.42	)			(0.05	)

FAQ

What were SAMFINE (SFHG) revenue and net income for H1 2025?

Revenue was HK$82,121,233 (US$10.46M) and the company reported a net loss of HK$8,457,024 (US$1.08M) for the six months ended June 30, 2025.

Why did SAMFINE (SFHG) report a net loss in H1 2025?

Higher general and administrative expenses (+81.4%) and selling and marketing expenses (+59.3%), plus a trade war that hindered sales, led to the operating loss.

How much did SAMFINE (SFHG) increase its general and administrative costs in H1 2025?

General and administrative expenses rose by 81.4% to HK$20,105,220 for the six months ended June 30, 2025.

Did SAMFINE (SFHG) grow revenue in H1 2025 compared to H1 2024?

Revenue was essentially flat, increasing 0.2% to HK$82.12M versus HK$81.93M in H1 2024.

What operational actions did SAMFINE (SFHG) take in H1 2025 that affected results?

The company increased marketing, promotion and professional fees to stimulate sales and improve operations, contributing to higher operating expenses.