The board of directors of Keen Ocean International Holding Limited informed the shareholders and potential investors of the Company that, based on the information currently available to the Board, including the unaudited management accounts and after preliminary assessment, the Group is expected to record a loss attributable to the shareholders of the Company for the nine months ended 30 September 2018 as compared to that for the corresponding period in 2017. Based on the information currently available, the Board is of the view that despite there is an increase in revenue, such loss was mainly attributable to (i) an increase in cost of sale due to increase in products' raw materials; (ii) an increase in "selling and distribution" expenses for coping with the business and market expansion of the Group, and (iii) financial expenses on bank interest.