China Putian Food Holding Limited provided earnings guidance for the year ended 31 December 2015. The group is expected to record a loss for the year ended 31 December 2015. The expected loss is mainly attributable to the increase of finance costs of approximately RMB 16,000,000 due to the increase of the imputed interest of the convertible bonds (which were issued by the company to Vandi Investments Limited on 26 June 2014); expenses of approximately RMB 16,000,000 in relation to the grant of options to certain directors and employees of the company on 31 March 2015; the expenses of warrants of approximately RMB 7,000,000 due to the issue of warrants by the company to investors on 9 October 2015; the increase in administrative expenses of the newly established companies in Beijing and Xuanhua which came into operation in second half of 2014 (such as office expenses, reception and travelling expenses, salaries and employee welfares, and rentals, etc) of approximately RMB 11,000,000; and the decrease of gross profit of around 10% due to the increase of cost of sales.