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

Report: Smoking Rates Remain Unchanged Despite Kazakhstan’s Vape Ban

According to Exclusive.KZ, Kazakhstan’s Strategy Public Foundation released a study finding that strict tobacco and vape bans have not reduced smoking rates, which remain at 18–20%. The report calls for harm reduction approaches based on international best practices.

Nov.06 by 2FIRSTS.ai

Russia’s FSB Seizes Illegal Vape Warehouse Worth USD 6 Million

Russia’s Federal Security Service (FSB) in the Tula Region dismantled an underground warehouse containing counterfeit vape products worth over 500 million rubles (approximately USD 6 million). A 27-year-old suspect was detained and faces up to 12 years in prison.

Nov.06 by 2FIRSTS.ai

JUUL wins approval after FDA reversal of Marketing Denial Order

JUUL's regulatory journey from Marketing Denial Order to approval showcases FDA's evolving approach to e-cigarette oversight.

Nov.03 by 2FIRSTS.ai

U.S. FDA Unveils Next-Generation Agentic AI Tool to Boost Review and Regulatory Efficiency

The U.S. FDA has announced the agency-wide deployment of new agentic AI capabilities, providing all employees with an optional multi-step task automation tool. Building on the broad adoption of its earlier large-language-model system, Elsa, the FDA aims to use this next-generation AI workflow to accelerate product review, regulatory oversight, and internal operations, while maintaining strict human supervision and data security.