Miko International Holdings Limited provided earnings guidance for the six months ended June 30, 2017. Based on the information currently available and the unaudited consolidated management accounts of the Group, the Group expects to record a significant decrease in profit attributable to shareholders and net losses recorded for the six months ended 30 June 2017, as compared to the net profit for the six months ended 30 June 2016. The expected significant decrease in profit attributable to shareholders for the six months ended 30 June 2017 is mainly attributable to: (i) the weak growth and fierce competition of the consumer market in the PRC which significantly impacted sales performance and squeezed gross profit margin of own branded products; (ii) impairment losses recognised on trade receivables; and (iii) increase in selling and distribution expenses. All of these resulted in estimated net losses for the six months ended 30 June 2017.