Arts Optical International Holdings Limited provided earnings guidance for the year ended 31 December, 2020. The company announced that based on its preliminary review of the unaudited consolidated management accounts of the Group for the eleven months ended 30 November, 2020, the Group is expected to record a substantial loss for the year ended 31 December, 2020. The loss from operations of the Group for the Year is expected to maintain at a similar level as compared with that of last year. The loss attributable to owners of the Company for the Year is anticipated to record an increase of not less than 220% as compared to the loss attributable to owners of the Company of HKD 136.3 million for the year ended 31 December, 2019. The Board considers that such increase in loss was mainly attributable to the following items: the global outbreak of COVID-19 has adversely impacted global business activities and resulted in decrease in sales volume and deferral of the orders from the customers in Europe, the United States and Asia; reduction in customer demand has resulted in surplus production capacity and an increase in production costs has led to intensified competition in the optical frame market as well as margin erosion pressure on the Group; the adverse impact on the profitability of the Group arising from diseconomies of scale as the Group's revenue (unaudited) decreased by approximately 33% from HKD 973.4 million in the first eleven months of 2019 to HKD 652.5 million in the first eleven months of 2020; in light of the unexpected decrease in sales orders from customers in the original design manufacturing division, the Group is expected to recognize a substantial non-operational impairment loss of approximately HKD 300 million for property, plant and equipment given that the estimated carrying value of the assets exceeds its recoverable amount, which is determined by reference to the present value of estimated future cash flows; and the Group is expected to recognize a substantial fair value loss of approximately HKD 30.9 million on revaluation of investment properties for the Year in view of current property market trend in Hong Kong, with reference to the fair value loss on revaluation of investment properties recorded for the year ended 31 December, 2019 of HKD 5.7 million.