The board of directors of Citychamp Watch & Jewellery Group Limited informed the shareholders of the company and potential investors that, based on the preliminary assessment by the Board of the group's unaudited management accounts and other information currently available, the revenue of the group for the year ended 31 December 2016 is expected to decrease by approximately 20% as compared to that of the corresponding period of 2015 and the net profit will decline by at least 20%. The decrease in revenue and net profit is mainly attributable to the less favorable operating environment in the watch market and the continued slowdown in the retail industry; and the movement in exchange rates.