The board of directors of Termbray Industries International Holdings Ltd. announced that the Company and its subsidiaries may experience a
significant decrease in net profit for the six months ended 30 September 2013 as compared to that of the corresponding period ended 30 September 2012. The decrease was primarily due to (i) the Group's shareholding in its associated company, Termbray Petro-king Oilfield Services Limited has decreased from approximately 45.9% as at 31 March 2012 to approximately 32.9% as at 31 March 2013 upon the successful listing of the shares of Petro-king on the main board of The Stock Exchange of Hong Kong Limited in March 2013 and (ii) Petro king's decrease in profit attributable to owners of Petro-king for the six months ended 30 June 2013 as compared to that of the corresponding period ended 30 June 2012, thereby reducing the Group's share of operation results of Petro-king and its subsidiaries for the current six months period under review. In addition, it should be noted that the Group's one-off net gain of approximately HKD 166 million recorded in its financial statements for the year ended 31 March 2013 as a result of its deemed disposal of its interest in the Petro-king Group upon the Petro-king IPO will not be happened again in the Group's financial statements for the year ending 31 March 2014. Accordingly, this will have a negative impact on the Group's net profit for the year ending 31 March 2014 when compared to that of the corresponding period ended 31 March 2013.