IWS Group has announced a profit warning, stating that the company expects to record a net loss attributable to equity shareholders not exceeding HK$8 million for the financial year ending March 31, 2026.

This contrasts with the net profit attributable to shareholders of approximately HK$4.1 million achieved in the previous financial year ended March 31, 2025.

The board of directors attributes the expected decline primarily to increased impairment provisions for prepayments and deposits, as well as increased impairment recognized for other receivables and deposits.

This is linked to an impairment of HK$10 million recognized on an investment in sports event promotion, and an impairment of approximately HK$3 million recognized on prepayments related to the group's security technology project in mainland China.