Shanghai Prime Machinery Company Limited provided earning guidance for the full year ended 31 December 2019. the Group is expected to record a consolidated net profit of not less than RMB 120 million for the twelve months ended 31 December 2019, as compared to a consolidated net profit of RMB 280 million for the twelve months ended 31 December 2018. Such expected decrease in net profit is mainly attributable to certain one-off or non- recurrent items as set out below: the Group, in November 2018, completed disposal of its entire equity interest in Shanghai General Bearing Company Limited, which was an associate of the Group and contributed RMB 30.9 million (of which, RMB 7.7 million was disposal gain recorded in fiscal year 2018) to the Group's consolidated net profits for fiscal year 2018; professional expenses totalled RMB 15.0 million in relation to a potential acquisition transaction which was not proceeded; write-off of the unamortised capitalized upfront fee amounting to RMB 9.2 million as a result of early repayment of a Euro syndicated loan; compensation expenses totalled RMB 18.5 million (approximately EUR 2.4 million) in relation to change of senior management of the Group's European operations; and restructuring costs of RMB 33.2 million (EUR 4.3 million) incurred for fiscal year 2019 in relation to the close-down of a manufacturing plant in Berlin, Germany (Note: further restructuring costs of approximately RMB 14.7 million (EUR 1.9 million) is currently expected to be incurred in 2020).