MTRC announces a profit warning. In order to make progress of the Shatin to Central Link project and to facilitate the start of commercial service of the Tuen Ma Line from Tai Wai Station to Kai Tak Station in the first quarter of 2020, the company will fund, on an interim and without prejudice basis, the costs arising from the Hung Hom incidents and certain costs associated with the phased opening of the Tuen Ma Line, whilst reserving the right to determine the ultimate liability for such costs.

Currently, the estimate of such costs amounts to around HKD2 billion in aggregate. In light of this, the company will make a provision of HKD2 billion from its consolidated profit and loss statement accountable to until the end of June.

Together with the provision of approximately GBP43 million in relation to First MTR South Western Trains that was announced in May, total provision as until 30 June 2019 amounts to HKD2.43 billion.

The company and the government will continue discussions with a view to reaching an overall settlement of costs generated from the Hung Hom incidents, and payment responsibilities of the Tuen Ma Line.