Guangnan (Holdings) Limited announced that the company's preliminary review of the management accounts of the Group for the three months ended March 31, 2016, the consolidated profit attributable to shareholders of the Company for the three months ended March 31, 2016 is expected to have a decline of 50% to 60% as compared to that for the corresponding period in 2015, primarily attributable to the deteriorating operating environment of the iron and steel industry.