Coolpad Group Limited board of directors announced that based on the preliminary assessment of the unaudited consolidated management accounts of the Group for the year ended 31 December 2019 and the financial information currently available to the Group, the Group expects to record a net profit for fiscal 2019 ranging from HKD 100 million to HKD 120 million as compared to a loss recorded for the year ended 31 December 2018 of HKD 411 million. The expected turnaround from loss to profit for fiscal 2019 is mainly attributable to (i) the significant positive impact on the results from the profits generated from the joint venture (a loss was generated from the joint venture in fiscal 2018); and (ii) an increase in the Group's revenue for fiscal 2019 of more than 40% as compared to a revenue of HKD 1,277 million recorded in fiscal 2018 as well as a significant increase in gross profit margin in the new products launched in the market in fiscal 2019 (a gross loss was recorded in fiscal 2018).