On Time Logistics Holdings Limited provided Group earnings guidance for the six months ended June 30, 2016. Based on the preliminary review by the company's management on the unaudited management accounts of the Group for the six months ended June 30, 2016 and other information currently available to the board of directors of the company, the Group is expected to record a significant decrease in revenue and net profit of the company for the six months ended June 30, 2016 as compared with the corresponding period in 2015, and such decrease is mainly attributable to the following: the keen competition in the forwarding market and the oversupply in air cargo space and sea cargo space which led to a drop in selling rate, hence a reduction in the Group's revenue; the poor economy in Europe and South America leading to the decrease in exports in China; the increase in rental expenses due to the expansion of ancillary and contract logistics services business; the increase of investment in the e-commerce business, which has not yet contributed profit to the Group; and the severance package paid to the station managers who left the Group during the period.