China Oriental Group Company Limited provided consolidated earnings guidance for the six months ended 30 June 2020. For the period, the Group expects to record a decrease in net profit for the Relevant Period by approximately 50%-70%, as compared with the net profit of the Group for the corresponding period in 2019. Based on the information available to date, such expected decrease in net profit of the Group for the Relevant Period is mainly attributable to the combined effects of, among others, an increase in production cost of the Group due to rising price of raw materials, in particular iron ores; and a decrease in production and sales volume of products as well as selling price of the Group due to delayed demand from suspension of construction works as a result of the COVID-19 pandemic, imposition of various production restriction policies by the government as well as the implementation of the equipment upsizing project of the Group during the Relevant Period. As a result, the Group expects to record a notable decrease in gross profit for the Relevant Period.