Futong Tech (00465) expects to record year loss

   Futong Technology Development Holdings Limited (00465) said it is expected to record a loss attributable to shareholders of approximately RMB72 million for the year ended 31 December 2021, as compared to a profit attributable to shareholders of approximately RMB3 million for the year ended 31 December 2020.
  For the year ended 31 December 2021, since the group stepped up efforts to transform its business and increased the investment in resources, there was a slight increase in selling, administrative and financial expenses of less than 10% owing to the group's tight cost control measures. Further, as the group focused on developing its new businesses such as the intelligent health business, while there is an expected decline of approximately 60-65% in revenue of the traditional system integration services business, major revenue has yet to be derived from the new businesses as they are in the marketing and development stage. Together with the impairment of deferred tax assets of approximately RMB13 million of a subsidiary, all above have caused the group to expect to record a loss attributable to shareholders for the year ended 31 December 2021.