Bonny International Holding Limited announced that according to the preliminary assessment of the unaudited consolidated management accounts for the six months ended 30 June 2021, the Group is expected to record a profit of approximately amounted to RMB 9 million for the Interim Period as compared to a profit of approximately RMB 12.42 million for the same period of 2020, and a net operating loss of approximately RMB 16 million which was derived from the profit excluding a gain on government acquisition of Suxi Site and other disposal loss of property, plant and equipment. The results are due to (i) higher production costs as a result of relocation from Suxi Site to Beiyuan Site and price increase in raw material; (ii) decrease in revenue from ODM business as a result of the decline in orders for facial masks; and (iii) appreciation of Renminbi. The operation and financial conditions of the Group remain stable and healthy in spite of the operating loss anticipated.