The board of directors of Inno-Tech Holdings Limited provided that the group is expected to record a net profit for the year ended 30 June 2018 as opposed to a net loss for the year ended 30 June 2017, mainly attributable to absence of extinguishment of repayment of promissory notes against extinguishment of repayment of promissory notes HKD 289,250,000 for the year ended 30 June 2017; absence of extinguishment of repayment of borrowings against HKD 196,986,000 for the year ended 30 June 2017; absence of loss on issuance of convertible bonds against HKD 101,088,000 for the year ended 30 June 2017; gain upon conversion of convertible bonds of HKD 37,190,000 as compared to loss upon conversion of convertible bonds in the year ended 30 June 2017 of HKD 91,855,000 and; fair value gain on convertible bonds of HKD 403,200,000 as compared to fair value loss on convertible bonds in the year ended 30 June 2017 of HKD 242,315,000.