The Board of Asia Grocery Distribution Limited informed the Shareholders and potential investors that, based on a preliminary review on the consolidated management accounts of the Group and the information currently available, the Group is expected to record a net loss of not less than approximately HKD 3.0 million for the year ended 31 March 2020 as compared with a net profit of approximately HKD 3.9 million for the year ended 31 March 2019 (the "Profit Warning Statement"). Such loss is mainly attributable to the decrease in revenue, increase in legal and professional fees and transportation expenses, plus the loss on disposal of items of property, plant and equipment since the Group reallocated its headquarters and principal place of business to newly rented office and warehouse in Yau Tong in May 2019.