Wei Qiao Textile (02698): Net Profit Decrease Is Expected To Expand In The Second Half Year.

Wei bridge textile (02698) announced that although the power business of the group maintained stable operation in the first half of 2019, it was affected by adverse factors, the global economic growth was weak and market consumption was weakened, resulting in a weak demand for cotton textile market and a pressure on the entire textile industry, thus negatively affecting the gross profit margin and gross margin of the group.

In the second half of 2019, although the electricity business of the group continued to maintain stability, the downward trend of cotton prices continued to slow down, and the demand for cotton textile products continued to slump, leading to further pressure on the sale price of cotton textile products, resulting in a further reduction in gross and gross profit margins of the cotton textile products. It is expected that the net profit of the group in the second half of 2019 will decline further than that of the first half of 2019.