Da Ming International Holdings Limited provided earnings guidance for the six months ending 30 June 2014. The group is expected to record a very substantial increase in net profit for the six months ending 30 June 2014 as compared with the unaudited profit for the six months ended 30 June 2013. The board considers that the expected increase in the overall results of the group for the six months ending 30 June 2014 as compared with the six months ended 30 June 2013 was principally due to the following reasons, there was an increase in the sales volume and processing volume of stainless steel and carbon steel processing services over the five months ended 31 May 2014 as compared to the five months ended 31 May 2013.

Both the unaudited sales volume and unaudited processing volume of stainless steel processing services for the five months ended 31 May 2014 recorded an increase of over 30% as compared with those for the five months ended 31 May 2013. The board believes that such increase was attributed to the enhancement in the group's management control and the strengthening of the group's sales management; and steady and slight increase in the market price of stainless steel during the first five months of 2014 which led to the written back of inventory provision made in previous years.