The board of directors of K & P International Holdings Limited announced that, based on a preliminary review of the unaudited consolidated management accounts of the Company for the six months ended 30 June 2020, the Company is expected to record a substantial increase in the unaudited consolidated profit attributable to owners of the Company for the six months ended 30 June 2020 by around 4 times, as compared to that for the six months ended 30 June 2019. Such an increase in the unaudited consolidated profit attributable to owners of the Company is primarily attributable to the decrease in the cost of sales of the Group (due, to a large extent, to the depreciation of Renminbi (as the Company's financial reporting currency is Hong Kong Dollar) and, in view of the COVID-19 outbreak, the waiver by the relevant government authority of the employer's social security () contribution obligations of the Group), despite the fact that the Group experienced a decrease in revenue for the six months ended 30 June 2020 (compared against the same period last year) due primarily to (i) the outbreak of COVID-19 and (ii) the full effect of the closure (in February 2019) of a factory in the Group's precision parts and components business segment (as discussed in the annual report of the Company of 2019) being felt and reflected in the six months ended 30 June 2020.