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Hong Leong Asia warns of net loss for Q3

Hong Leong Asia, the trade and industrial arm of Hong Leong Group, put out a profit guidance on Wednesday warning that it expects to post a loss for its Q3 ended Sept 30.

That will likely drag its results for the nine months ended Sept 30 into the red as well, it noted in a Singapore Exchange filing.

The expected loss was mainly due to higher losses incurred by its consumer products unit on the back of lower unit sales, it said, adding that the profits generated by its other segments were not enough to offset the consumer products loss.

The firm had also blamed its consumer products unit for a 93.4 per cent year-on-year plunge in net profit to S$638,000 in its Q2 ended June 30.

It will announce its Q3 results in November.

Hong Leong Asia shares fell two cents or 2.2 per cent to S$0.89 on Wednesday before it filed its profit guidance.