Chinese Toner Cloner MEGAIN Warns of Millions in Losses Claims Market Collapse.

Chinese tech firm MEGAIN Holding (HK: 6939) has issued a profit warning, projecting a $5.5 to $8.3 million USD loss for the first half of 2025. Once a notable player in the compatible printer chip market, MEGAIN blames shrinking profit margins, soaring costs, and asset impairments for the sharp downturn.

This marks the third major warning in just over a year, following a 90%+ profit collapse in 2024. The company is now attempting a pivot to IoT chip development, but with little traction so far. Analysts remain skeptical, with a “Hold” rating and a low price target of HK$0.50 (≈$0.06 USD). MEGAIN’s slide underscores the growing risks facing Chinese hardware firms amid global competition and shifting tech demand.