The board of directors of the Q Technology (Group) Company Limited announced that, based on the information currently available to the company and the preliminary review by the Board on the unaudited management accounts of the group for the five months ended 31 May 2019, which have not been reviewed or audited by the independent auditors and/or the audit committee, it is expected that the Group will record a consolidated profit attributable to the Shareholders before tax of approximately RMB 150,000,000 to RMB 180,000,000 for the six months ended 30 June 2019 as compared to a loss attributable to the Shareholders of approximately RMB 51,288,000 for the six months ended 30 June 2018. The Board believes that the expected profit attributable to the Shareholders before tax is mainly due to the gross profit margin of overall products improved apparently as compared with that of the corresponding period of the previous year due to a significant increase of sales volumes of camera modules and the enhancement of product mix of fingerprint recognition module products; the labour cost has improved as compared with that of the corresponding period of the previous year, which was mainly attributable to the upgrading of the production automation that has gradually demonstrated results; and Newmax Technology Co. Ltd., an associated company of the company, has significantly improved its managing situation for the period from January 2019 to April 2019 as compared with that of the corresponding period of the previous year and has recorded a profit. However, the central parity rate of RMB against USD appreciated from January 2019 to April 2019 but depreciated from May 2019 till the date of this announcement due to the influence of trade disputes, which has impacted on the operating profit of the group.