The board of directors of Huazhong In-Vehicle Holdings Company Limited announced that, based on a preliminary assessment of the latest available unaudited consolidated management accounts of the Group for the six months ended 30 June 2020, the Group is expected to record a decrease in net profit by approximately 55% as compared the net profit for the six months ended 30 June 2019. Based on the information available to the Board, the Board considers such expected decrease was mainly attributable to, among other things, the impacts of COVID-19 outbreak on the overall automobile industry in China, which also had a relatively significant impact on the production and sales of certain subsidiaries of the Group, and such decrease resulted in a significant decrease in the net profit of the Group as compared with the same period in 2019.