The board (the "Board") of directors of Sun Kong Holdings Limited informed the shareholders and potential investors of the Company that, based on a preliminary review of the unaudited consolidated management accounts of the Group for the three months ended 31 December 2019, the Group is expected to record a loss after tax of approximately HKD 0.1 million as compared to a profit after tax of approximately HKD 0.5 million for the three months ended 31 December 2018. The Board considers that such change was mainly due to the following: the political and social turmoil in Hong Kong which resulted in the blockage of roads and highways and difficulties in transportation; and the negative influence from the ongoing trade dispute between China and the United States.