The board of directors of Yue Yuen Industrial (Holdings) Limited informed the shareholders of the Company and potential investors that based on the preliminary review of the unaudited consolidated financial statements of the Group for the three months ended March 31, 2024, the Group is expected to record an increase of approximately 95% to 100% in its profit attributable to owners of the Company for the Period as compared to the Profit of USD 50.8 million for the corresponding period in 2023. Based on the information currently available to the Group, the increase in Profit was mainly attributable to the normalization of its order book driven by the gradual recovery of the global footwear industry, leading to an improved capacity utilization rate and better production efficiency, further supported by a low base. In addition, a one-off gain of approximately USD 12.6 million on the partial disposal of an associate during the Period also contributed to the increase in Profit.