Yadong Group Holdings Limited provided preliminary consolidated earning guidance for the period ended 30 June 2023. For the period, the group expected that a substantial decrease in the profit attributable to owners of the Company of approximately 70% to 80% for the Period as compared to the corresponding period in 2022. The Board believes that the expected decrease in the profit attributable to owners of the Company for the Period was primarily attributable to the combined effect of (i) the decrease in gross profit due to the decrease in sales revenue given the challenging operating environment of the apparel and textile industries and the upward pressure in the production cost; (ii) increase in administrative expense mainly due to increase in depreciation of right-of-use assets; and (iii) increase in finance costs mainly due to the increase in the principal amount and interest of borrowings.