Tianchang Group Expects Profit down by 60% Due to E-cigarette Sales

Business by 2FIRSTS.ai

Feb.27.2024

Tianchang Group Expects Profit down by 60% Due to E-cigarette Sales

Tianchang Group (02182.HK) expects a significant decrease in revenue and net profit due to declining e-cigarette sales.

Recently, Tianchang Group (02182.HK) announced that the group is expected to see a decrease of at least 30% in revenue for the year ending December 31, 2023 compared to the year ending December 31, 2022, with a reduction of 1.1439 billion Hong Kong dollars. Additionally, the group is expected to see a decrease of at least 60% in net profit for the year ending December 31, 2023 compared to the year ending December 31, 2022, with a reduction of 1.059 billion Hong Kong dollars.

The Board of Directors believes that the decrease in expected revenue and net profit is mainly attributable to the decrease in sales of e-cigarette products. As disclosed in the company's announcements dated March 14, 2022, June 14, 2023, and January 12, 2024, the sales orders of e-cigarette products have decreased for this fiscal year following the cancellation of exclusive rights agreements between the e-cigarette products' major customers.

It is reported that Tianchang Group used to provide OEM services for the e-cigarette brand "blu" under Imperial Tobacco. In their semi-annual report in 2023, Tianchang Group mentioned that sales orders for e-cigarette products had decreased during this period due to the cancellation of exclusive rights clauses between the main e-cigarette product customers.

References:

[1] 盈利警告

Also Read:

[1] Decline in Sales of E-cigarette Products for Tianchang Group

[2] Manufacturer of Blu Vapes, Tianchang Group, Sees Decline in E-Cigarette Sales

[3] JT Group Reports Record Profits in 2023FY: Ploom Occupying More than 10% of Japan's HNB Market

[4] Altria Group's Q4 Earnings Impacted by Declining Cigarette Sales

#E-cigarettes #Asia #Market #Products #Hong Kong #E-cigarette #E-cigarettes and Tobacco

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn

Notice

1. This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2. The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3. This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4. Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

Copyright

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

AI Assistance Disclaimer

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

Thailand’s health minister rejects vaping as a smoking cessation alternative

Thailand’s Public Health Minister Phatthana Phromphat has reaffirmed that the government does not support cigarettes or e-cigarettes in any form and opposes the use of e-cigarettes as a substitute for smoking cessation.

Dec.17 by 2FIRSTS.ai

Malaysia’s Cabinet Agrees in Principle to Nationwide Vape Ban

Malaysia is accelerating efforts toward a nationwide ban on vaping, with the Health Ministry aiming to finalise the policy by 2026. Health Minister Dzulkefly Ahmad said the Cabinet has already agreed in principle to move toward a ban, stressing that the issue is no longer whether vaping will be banned, but when.

Dec.16 by 2FIRSTS.ai

UK Experts Raise Concerns Over High-Dose Nicotine Pouches Amid Rising Sales

According to The Guardian, health experts in the UK are warning about the potential health effects of high-dose nicotine pouches as their sales continue to rise. Recent studies show teenagers reporting nicotine rushes, sickness and fainting, while researchers say packaging and marketing increasingly appeal to younger age groups. Although viewed as less harmful than cigarettes, experts remain concerned about their use among non-smokers, especially adolescents.

Nov.13 by 2FIRSTS.ai

Ireland Taoiseach Calls for Phasing Out Vapes as Cabinet Considers Ban on Single-Use Devices

Taoiseach Micheál Martin said Ireland should work toward eliminating the use of vapes over time, as the Cabinet meets to consider the Public Health (Single-Use Vapes) Bill 2025, proposed by Health Minister Jennifer Carroll MacNeill. The bill would ban the retail sale of single-use vapes six months after it becomes law.