The board of directors of Leyou Technologies Holdings Limited announced that, based on a preliminary assessment of the unaudited consolidated management accounts of the Company for the six months ended 30 June 2020 (the "Period") and other information currently available, the Group expects to record a loss for the Period in the range of approximately USD 3.0 million to USD 7.0 million as compared to the profit of USD 10.2 million recorded in the consolidated financial statements of the Company for the six months ended 30 June 2019. This was primarily attributable to (i) a decrease in revenue of the Group due to fewer releases of content update of its product Warframe during the Period as a result of the delay in the launch of content update to the platforms brought about by the outbreak of the COVID-19 since the beginning of year 2020; (ii) an increase in impairment loss of development expenditure as a result of the suspension of the development of a game during the Period which enabled the Group to deploy its resources in other key projects such as Transformers, Civilization Online and The Lord of the Rings; and (iii) an increase in impairment loss of property, plant and equipment as a result of the drop in property price of the Group's office premises located in Hong Kong during the Period.