The board of directors of Ernest Borel Holdings Limited informed shareholders of the company and potential investors of the company that, based on the board's preliminary review of the unaudited consolidated management accounts of the group for the year ended 31 December 2014, it is expected that the profit of the group for the year ended 31 December 2014 would decrease as compared to that of the year ended 31 December 2013. This expected decrease is primarily attributable to the non-recurring expenses recognised during the year ended 31 December 2014 in connection with the listing of the shares of the company on the main board of The Stock Exchange of Hong Kong Limited; foreign exchange losses arising from depreciation of the Renminbi against Hong Kong dollars; and an increase in the cost of sales due to increase in cost of raw materials which resulted in a decrease in gross profit of the group as compared with those for the year ended 31 December 2013.