Magnificent Hotel Investments Limited, Shun Ho Property Investments Limited and Shun Ho Holdings Limited provided earnings guidance for the year ended 31st December, 2019. For the year, the companies expects the respective net profit after tax attributable to owners of companies is anticipated to decline by approximately 88%, 97% and 99% as compared to 2018. The performance of the Groups was negatively impacted by the challenging business environment during the year under review which in turns adversely affected the Groups' hotel revenue and property revaluations. In response to the current market situation, the Groups have implemented a series of measures to maintain high hotel occupancy rates while minimizing hotel operation costs. According to the unaudited consolidated management accounts of the Groups for the year ended 31st December, 2019, each of companies has a low gearing ratio of 10%, 11% and 11%
respectively. The Board of the Companies considers that the overall financial position of the Groups remains sound and solid.