The fifth wave of the epidemic broke out in Hong Kong at the beginning of the year, impacting the catering industry.
Café de Coral (0341) Profit Warning, it is expected to record a profit attributable to shareholders of approximately RMB 2,000 for the financial year ended March 31, 2022, and a profit attributable to shareholders of RMB 359 million for the financial year ended March 31, 2021.
The Group pointed out that the decline in profit was mainly because in the first three quarters of the year under review, the Group's business and profits in Hong Kong and Mainland China both recovered significantly and recorded strong growth. However, in the last quarter, the fifth wave of COVID-19 broke out in Hong Kong. The pneumonia epidemic has had a serious impact on the operation and business of the Group.
Due to the government's implementation of dine-in restrictions in response to the fifth wave of COVID-19 in Hong Kong and the intermittent closure of stores due to the infection of employees, the Group recorded significant cumulative store operating days and sales losses in February and March this year.
At the same time, the Group's fast food business in South China was also hit hard by the lockdown and control measures imposed by the epidemic in Shenzhen and Zhuhai in March, which seriously affected the Group's sales revenue and network expansion in these regions during the period.
In addition, in the year under review, the Group recorded a total of RMB 127.8 million in relief and subsidy from the government for COVID-19, compared with a total of RMB 638.9 million in relief and subsidy from the government for COVID-19 in the previous year.
