Kingmaker Footwear Holdings Limited provided consolidated earnings guidance for the year ending March 31, 2020. For the period, the company anticipates to report a net loss attributable to owners of the Company of approximately HKD 45 million to approximately HKD 65 million for the year ended 31 March 2020 as compared to a profit for the year ended 31 March 2019. The expected loss was mainly attributable to: a decrease in sales, exacerbated by a general decline in the average selling price owing to an overall weak retail environment and an increase in the proportionate labor costs to revenue, details of which have been disclosed in the Announcement; cost increases as additional costs were incurred on and associated with the moving of production lines between manufacturing centers upon clients' requests; impairment losses on certain property, plant and equipment and accounts receivables; and increase in share of losses from associates as there was an increase in losses incurred by the Group's affiliated company operating in Central Vietnam. Despite an increase in orders, the factory has yet to achieve economies of scale to generate profit.