[ET Net News Agency, 8 November 2019] China Industrial Securities International
Financial Group Limited (06058) said the group is recorded a net loss for the ten months
ended 31 October 2019 as compared to a net profit for the ten months ended 31 October
2018.
The net loss is mainly attributable to (i) the Hong Kong economy suffered the worst
performance since the 2009 economic recession this year, and has already slipped into a
technical recession since the third quarter. The Hong Kong economy faces major challenges,
the capital market continues downturn with a decline in trading volume, resulting in a
decline in the revenue of the company's brokerage business; and (ii) after a regular
review on the client's margin account portfolio and financial position, the company has
made an impairment provision of HK$383.6290 million for the relevant margin loan based on
the impairment management method and the expected credit loss model.
As a result of the above-mentioned factors, the group is also expected to record a net
loss for the year ending 31 December 2019. (RC)