The board of directors of Sinopharm Tech Holdings Limited informed the shareholders of the Company and potential investors that based on its preliminary review on the Group's unaudited consolidated management accounts for the year ended 30 June 2020 and information currently available, it is anticipated that the Group will record a net loss attributable to equity holders ranging from approximately HKD 157 million to approximately HKD 162 million for the year ended 30 June 2020 as compared to the audited consolidated net loss attributable to equity holders of approximately HKD 46.8 million for the year ended 30 June 2019. The Board considered that the increase in net loss attributable to equity holders for the year ended 30 June 2020 was mainly attributable to an impairment loss made on the Group's goodwill in relation to the internet plus services and lottery-related services, which accounts for approximately 80% of the net loss attributable to equity holders.