Varitronix International Limited provided earnings guidance for the year ended 31 December 2016. The group is expected to record a significant decrease in net profit for the year ended 31 December 2016 by approximately 80% as compared with those in 2015. Based on information currently available, the Board considers that the expected decrease in net profit is mainly due to the group realized a one-off gain from the disposal of its interest in Data Modul AG of HKD 49 million for the year ended 31 December 2015. For the year ended 31 December 2016, there is no such One-off gain incurred; the group is expected to record realized and unrealized losses from the net change in fair value of investment in listed trading securities; decline in revenue in the automotive sector in South Korea and the PRC; realized and unrealized exchange losses mainly due to appreciation of Japanese Yen; and the decline in gross profit margin in the automotive sector due to decline in average selling price.