Royale Furniture warns of loss

It said the Group’s sales had undergone deterioration in October 2012.

The Board announced that whilst the Group’s sales in the third quarter of 2012 might have decreased at a lower rate compared with the first half of 2012, based on the preliminary operating data available to management, the Group’s sales had undergone deterioration in October 2012 when compared with that of the third quarter of 2012.

Based on preliminary assessment by the Board in accordance with such data, Royale Furniture said it appears that the Group’s operating performance in the fourth quarter of 2012 might reflect a decline as compared with that in the third quarter of 2012.

The announcement further said, “In the event the abovementioned trend persists or even deteriorates further, the Group’s operating performance for the second half of 2012 might be worsened as compared with that in the first half of 2012. Such outcome, if materialized, would deviate from the Board’s belief as referred to in the announcement dated 16 October 2012 issued by the Company, barring unforeseen circumstances, that the operating performance of the Group in the second half of 2012 might improve from the first half of the year.”

Meanwhile the consolidated operating results of the Group attributable to the shareholders for the year ending 31 December 2012 are expected to reflect an overall decline when compared with the year ended 31 December 2011.