The board of directors of Huajun International Group Limited announced that, based on the preliminary review of the unaudited consolidated management accounts of the Group for the six months ended 30 June 2020 (the "Period"), the Group is expected to record an increase in loss attributable to equity holders of the Company for the Period as compared to the loss attributable to the equity holders of the Company of RMB 243.6 million for the six months ended 30 June 2019 (the "Last Period"), the loss for the Period is expected to be approximately 220% as compared to that of Last Period. Based on the information currently available to the Board, such increase in loss for the Period was mainly due to (1) loss on change in fair value of investment properties for the Period while a gain of RMB 168 million was recorded in the Last Period; and (2) increase in finance costs for the Period compared to the Last Period.