Ernest Borel Holdings Limited provided earnings guidance for the six months ending 30 June 2016. For the period, based on the Board's preliminary review of the unaudited consolidated management accounts of the group for the five months ended 31 May 2016, it is expected that the group will record a net loss for the six months ending 30 June 2016 as compared to a net profit of approximately HKD 10.2 million in the corresponding period in 2015. This expected decrease is primarily attributable to a decrease in revenue of approximately 31% based on the unaudited consolidated management accounts of the group for the five months ended 31 May 2016 and decrease in gross profit and margin due to the deterioration of the premium watch retail market in PRC and Hong Kong as compared to the same period in 2015 leading to a decrease in orders placed by watch retailers.