Suncity Group Holdings Limited provided unaudited consolidated earnings guidance for the six months ended June 30, 2018. For the six months, the company expected to record a significant increase in its loss attributable to owners of the Company for the six months ended 30 June 2018 as compared to the loss in the corresponding period of 2017. Based on the relevant information available, the Board considers that the anticipated significant increase in loss was mainly attributable to the increase in loss of approximately RMB 944.1 million in respect of the change in fair value of derivative component of convertible bond. The information contained in this announcement is only a preliminary assessment by the Board based on the information currently available to it, including the unaudited consolidated management accounts of the Group for the six months ended 30 June 2018, which have not yet been reviewed by the auditor or the audit committee of the Company and may subject to change.