Starlite Holdings Limited provided earnings guidance for the year ended March 31, 2015. The Group is expected to record a significant decline in profit for the year ended 31 March 2015 as compared to the previous corresponding financial year. Such expected decline in profits is mainly attributable to the following factors: The incurring of exchange losses for the year ended 31 March 2015, in contrast to exchange gains recorded in the previous corresponding financial year.

The exchange losses were mainly resulted from the volatility of exchange rates of Euro in relation to the Group's sales transactions denominated in these currencies; The increase in the operating costs (in particular, labor costs) in the People's Republic of China which cannot be fully passed on to customers due to intense competition in the printing and packaging industry. The benefits of lean management and automation take time to be fully reflected in the Group's cost efficiency enhancement; A lower than expected increase in the Group's turnover due to seasonal factor of the toys industry and the more pronounced fluctuation of orders in the second half of the year ended 31 March 2015; The relocation of production from Singapore to Malaysia was recently completed. During the year, parallel running of the two plants in Singapore and Malaysia continued to affect the performance of the southeast Asia operation.