The board of directors of Tianjin Binhai TEDA Logistics (Group) Corporation Limited announced that, based on the initial assessment of the Group's unaudited management accounts, the Group may record a decrease in profit attributable to the owners of the Company by approximately 62% for the six months ended 30 June 2018, as compared to that for the corresponding period last year. The Board considers that such decrease in profit is mainly due to (1) the impact by the decrease in business volume and increased of operating costs and expenses, the operating results of Tianjin Alps Teda Logistics Co. Ltd. and Dalian Alps Teda Logistics Co. Ltd. (both joint ventures of the Company) declined; (2) due to the decrease in the amount of meat inspection, there was an increase in losses in the operating results of Tedahang Cold Chain Logistics Co. Ltd. compared to the corresponding period last year, the abovementioned (1) and (2) together resulting in the decrease in the Company's investment income as compared with the corresponding period last year; and (3) varying degrees of decline were recorded for the operating results in materials procurement business and other traditional logistics business segments of the Group during the six months ended 30 June 2018 as a result of the increase in expenses.