The board of directors of the China Baofeng (International) Limited announced that based on a preliminary review on the unaudited consolidated management accounts of the Group for the year ended 31 December 2016, the Group is expected to record a net profit of not less than HKD 130.0 million for the year ended 31 December 2016 as compared with the net profit of HKD 14.4 million for the year ended 31 December 2015. Based on the information currently available, the Board considers that the significant increase in the net profit of the Group for the year ended 31 December 2016 was mainly attributable to the Group's new photovoltaic power generation project (the "Project") in Ningxia Hui Autonomous Region of the People's Republic of China, which commenced on-grid electricity power generation since 30 June 2016.