The Board of Daphne International Holdings Limited updated the shareholders of the company and the potential investors that the group expected to record a net loss for the year ended 31 December 2016 in the range of approximately HKD 790 million to approximately HKD 840 million as compared to the net loss of HKD 379 million for the same period of last year; and an operating loss for the year ended 31 December 2016 in the range of approximately HKD 786 million to approximately HKD 845 million, representing an increase of approximately 58% to 70% as compared to the operating loss of HKD 498 million for the same period of last year. The increase in the expected net loss for the year ended 31 December 2016 is mainly attributable to no deferred tax asset would be recognized for certain temporary differences and tax losses.