Nan Nan Resources Enterprise Limited provided consolidated earnings guidance for the year ended March 31, 2024. The board of directors of the Company wishes to inform the shareholders (the "Shareholders") of the Company and potential investors that based on the preliminary view of the latest unaudited consolidated management accounts of the Group, the Group would be expected to record a change from approximately HKD 59.04 million in loss after taxation for the year ended 31 March 2023 to approximately not less than HKD 36.00 million in profit after taxation for the year ended 31 March 2024. The profit of the Group for fiscal year 2024 was mainly attributable to the approximately HKD 62.79 million gain on fair value of the zero-coupon convertible bond issued by the Company to be matured on 13 March 2026 with an aggregate principal amount of HKD 200,000,000 issued in 2008, which is designated as financial liabilities at fair value through profit or loss for fiscal year 2024 (fiscal year 2023: fair value loss and loss arising from modification of approximately HKD 116.84 million).

The said change in fair value of the Convertible Bond was mainly due to the decrease of the stock price of the Company during FY2024. However, the Group expects a revenue of approximately HKD 116.07 million for fiscal year 2024 (as compared to approximately HKD 239.89 million for fiscal year 2023), representing a decrease of approximately HKD 123.82 million or approximately 51.62% as compared to the previous corresponding period, and the Group is expected to experience a gross profit of approximately HKD 43.14 million for fiscal year 2024 (as compared to a gross profit of approximately HKD 133.83 million for fiscal year 2023), representing a decrease of approximately HKD 90.69 million or approximately 67.77% as compared to the previous corresponding period.