Productive Technologies Company Limited provided earning guidance for the six months ended 30 September 2022. The board of directors of the Company informed the shareholders of the Company and potential investors that, based on a preliminary assessment of the latest unaudited consolidated management accounts of the Company and its subsidiaries for the six months ended 30 September 2022and the information currently available to the Board, the net loss attributable to the equity shareholders of the Company is expected to significantly reduce from approximately HKD 199.8 million for the six months ended 30 September 2021 to approximately HKD 43.0 million for the Reporting Period, primarily attributable to (1) the administrative and research and development expenses of approximately HKD 75.3 million resulted from the rapid development and expansion of the Company's new advanced manufacturing business in semiconductor and solar industry, including the awarded shares granted to its employees recognized as administrative and R&D expenses and the R&D for 6 to 12 inches single wafer clean equipment and high WPH solar wet equipment, which shall become a major product of the Company; and (2) finance costs of approximately HKD 16.3 million which mainly include a foreign exchange loss resulted from the depreciation of RMB against HKD for the Reporting Period. The significant narrow down of such loss as compared to that for the corresponding period of 2021 was mainly attributable to that: (1) investment income of approximately HKD 20.3 million was recognized from the investment in Stonehold Energy Corporation during the Reporting Period upon Stone hold's disposal of its underlying assets in July 2022 (for the six months ended 30 September 2021: investment loss of
approximately HKD 294.0 million); and (2) the net loss was partially offset by new gross profit contribution from the advanced manufacturing business since September 2022 and the increase in gross profit from Hongbo Mining Development Company Limited's crude oil sales business totaling HKD 44.6 million. The significant narrow down of such loss as compared to that for the corresponding period of 2021 was mainly attributable to that: (1) investment income of approximately HKD 20.3 million was recognized from the investment in Stonehold Energy Corporation during the Reporting Period upon Stonehold's disposal of its underlying assets in July 2022 (for the six months ended 30 September 2021: investment loss of approximately HKD 294.0 million); and (2) the net loss was partially offset by new gross profit contribution from the advanced manufacturing business since September 2022 and the
increase in gross profit from Hongbo Mining Development Company Limited's crude oil sales business totaling HKD 44.6 million.