Ka Shui International Holdings Limited provided consolidated earnings guidance for the year ended December 31, 2012. Based on a preliminary review of the unaudited management accounts of the company and its subsidiaries, it is expected that the group's unaudited consolidated net profit for the financial year ended December 31, 2012 would record a significant increase as compared with the audited results for the financial year ended December 31, 2011. The significant boost in the group's annual results was primarily attributable to the following reasons: (1) Benefiting from the buoyant demand for magnesium alloy's notebook computer components because of its unique characteristic of combining ultra-thinness and light weight as well as the continuously rising demand for plastic protective cases driven by a fast growing smart phone market, the Group has experienced a strong surge in sales orders for both business segments; and (2) Gross profit margin of the group for the year ended December 31, 2012 is also expected to enhance significantly resulting from the enjoyment of economies of scale in production caused by the increase in turnover coupled with a favourable change in product mix.