The board of directors of Master Glory Group Limited announced that based on the preliminary review of the unaudited management accounts of the Group, the Group is expected to record a turn from profit into loss for the six months ended 30 September 2017 (Relevant Period), as compared to the corresponding period ended 30 September 2016 (Corresponding Period). During the Corresponding Period, the Group recorded a number of non-recurring gains and losses. These included a fair value gain on properties (net of deferred tax expenses) of approximately HKD 2.0 billion. During the Corresponding Period, the Group leased out a portion of its project (also known as A-Mall) in Guangzhou, which was previously classified in the Group's financial statements as properties under development for sale and stated at cost. Given that such portion of A-Mall was held under operating leases for rentals, they were reclassified from properties under development for sale to investment properties, and were measured at their fair values in the Group's financial statements. The reclassification of the asset gave rise to the aforesaid fair value gain; impairment loss on goodwill of approximately HKD 97.4 million; and impairment loss on property held for sale of approximately HKD 213.9 million. These non-recurring gains and losses were not repeated in the Relevant Period. In addition, the Group recorded exchange loss of approximately HKD 54.8 million in the Corresponding Period while exchange gain of more than HKD 100 million is expected for the Relevant Period; and an increase in finance costs by approximately HKD 130 million in the Relevant Period due to the increased level of borrowings. Taking into account the aforementioned factors, it is expected that the Group would record a turn from profit of approximately HKD 1,456.8 million in the Corresponding Period to a consolidated loss of not more than HKD 150 million in the Relevant Period.