Honghua Group Limited provided earnings guidance for the year ended December 31, 2017. The board of directors of the company that based on the unaudited consolidated management accounts of the Company and its subsidiaries for the eleven months ended 30 November 2017 and the information currently available to the Company, the Group's loss for the year ended 31 December 2017 is expected to increase by approximately 100% as compared to the Group's loss for the year ended 31 December 2016. The expected loss is primarily due to the continuous loss in the offshore segment, and a substantial amount of impairment provision made for the assets with a significant risk of impairment in the offshore segment. Meanwhile, as the oil and gas industry was still in the early stage of recovery, the sales revenue of the Group for the year was yet to be improved significantly, and the Group made impairment provisions for certain assets and corresponding litigation provisions for relevant legal proceedings, resulting in a significant loss to the Group.