U Banquet Group Holding Limited provided consolidated earnings guidance for the six months ended June 30, 2014. For the six months, the group is expected to record a loss attributable to shareholders as compared to profit attributable to shareholders for the corresponding period in 2013. The management of the group currently estimates that the loss attributable to shareholders will be not more than HKD 1 million compared with profit attributable to shareholders amounting to approximately HKD 1.2 million for the corresponding period in 2013.

The board considers that the loss attributable to shareholders for the six months ended June 30, 2014 was mainly due to the following reasons that the number of wedding banquet services contracts for the six months ended June 30, 2014 decreased as compared to the same period in 2013, mainly because the low season in 2013 started in mid-February and continued throughout the six months period while that in 2014 started in late January and continued throughout the six months period. Since the profit margin from provision of wedding banquet services is normally higher than that from dining services, overall profit margin of restaurant operation decreased significantly; consultancy service fees were incurred by the Group for the six months ended June 30, 2014 while no such expenses was incurred for the corresponding period in 2013; and the group refurbished U Banquet Mongkok and U Banquet Mongkok restaurants for 1.5 months during the six months ended June 30, 2014.