ST International Holdings Company Limited provided unaudited consolidated earnings guidance for the three months ended 31 March 2020. The board of directors of the Company wishes to inform the shareholders of the company and potential investors of the company that, based on the preliminary assessment of the latest unaudited consolidated management accounts of the Group for the three months ended 31 March 2020 and the information currently available, the Group is expected to record a net loss of approximately HKD 4.0 million for 31 March 2020 as compared to a net profit of approximately HKD 1.4 million for the three months ended 31 March 2019. The aforesaid net loss for 31 March 2020 is mainly attributable to the substantial decrease in revenue of the Company of over 50% as compared to revenue of approximately HKD 22.9 million for 31 March 2019 as a result of the outbreak of the novel coronavirus pandemic ("COVID-19") in early 2020 and the implementation of various aggressive and preventive control measures by the government of the People's Republic of China, resulting in a temporary suspension of operation of the Group and the business operations of the Group's customers in late January and February 2020 and thus a slowdown in purchase orders received from customers of the Group during 31 March 2020; and the gross profit margin for 31 March 2020 has decreased when compared to that for 31 March 2019 since the Group continuously incurred research and development expenses and other overhead costs whilst decrease in revenue; and the results of the Group were therefore adversely affected. The Company has been closely monitoring the market conditions and the pandemic development and tightened cost control and other cautious approaches have been adopted by management of the Group with an aim to cope with the challenging business environment.