Softpower International : Positive Profit Alert - Supplemental Announcement

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(Incorporated in Bermuda with limited liability)

(Stock code: 00380)

POSITIVE PROFIT ALERT SUPPLEMENTAL ANNOUNCEMENT

This announcement is made by Softpower International Limited (the "Company", together with its subsidiaries, the "Group") pursuant to Rule 13.09(2)(a) of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules") and the Inside Information Provisions (as defined in the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Cap. 571 of the Laws of Hong Kong).

Reference is made to the Company's positive profit alert announcement dated 26 February 2021 (the "Announcement"). Capitalised terms used herein shall have the same meanings as defined in the Announcement unless the context requires otherwise.

The Board wishes to further inform the Shareholders and potential investors of the Company that, based on the preliminary assessment of the unaudited consolidated management accounts of the Group for the year ended 31 December 2020, it is expected that the Group may record a significant increase in the profit attributable to equity holders of the Company for the year ended 31 December 2020 of between HK$18 million and HK$21 million, as compared with a profit of approximately HK$6.8 million for the same period of last year. Such profit increment was mainly attributable to the combined effect of (i) the base figure of last year's profit is comparatively low; (ii) improvement in gross profit margin; and (iii) on-going cost-savings effort.

The Company is in the process of finalizing the consolidated final results of the Group for the year ended 31 December 2020. The information contained in this announcement is only based on preliminary assessment of information currently available to the Company and the management accounts of the Group which have not been confirmed nor audited by the Company's auditors. The audited consolidated final results of the Group for the current year are expected to be announced by the Company in March 2021.

Shareholders and potential investors of the Company are advised to exercise caution when dealing in the shares of the Company.

By order of the Board Softpower International Limited

Lai Fulin

Chairman

Hong Kong, 1 March 2021

As at the date of this announcement, the Board consists of Mr. Lai Fulin and Mr. Yu Ben Ansheng as executive directors; and Mr. Wong Yee Shuen, Wilson, Mr. Chen Wei Wen and Mr. Guan Zhiqiang as independent non-executive directors.