Beijing Capital Grand Limited provided unaudited consolidated earnings guidance for the six months ended 30 June 2020. The board of directors of the company (the "Board") wishes to inform the shareholders and potential investors of the Company that based on the information currently available and preliminary review of the unaudited consolidated management accounts of the Group for the six months ended 30 June 2020 (the "Reporting Period"), the Group is expected to record a net loss attributable to owners of the company of not more than approximately RMB 120 million, representing a significant decline in results performance as compared to the net profit attributable to owners of the company of approximately RMB 22.7 million for the six months ended 30 June 2019. Such expected net loss is primarily a result of a substantial decrease of approximately 92% in income from sale of properties as compared to same period last year, as the revenue from income carried forward via sale of properties significantly decreased in the first half of 2020 as the income from sale of properties represented under Jinan Capital Outlets had been recognized in the first half of 2019; a decrease of approximately 16% in income from investment properties in the first half of 2020 as compared to same period last year, as the performance of the outlets of the Group as affected by COVID-19 had declined; an increase of approximately 30% in finance costs in the first half of 2020 as compared to same period last year, as the company has continued to actively conduct various financing activities with a view to providing sufficient liquidity for capital expenditure required for the subsequent project development and construction. Given that a number of outlet projects of the Group are still under development, or at initial stages of opening for business or expected to open for business in the upcoming years, the reasons mentioned in above which contributed to the expected decrease in profit are expected to continue in the next few years.