China Saftower International Holding Group Limited provided earnings guidance for the year ended 31 December 2021. The Group is expected to record a net loss of approximately RMB 19.7 million for financial year 2021, representing a significant decrease in profit of approximately RMB 22.5 million as compared to a net profit of approximately RMB 2.8 million for the year ended 31 December 2020. The net loss was mainly attributable to the substantial increase in cost of sales as a result of the increase in the cost of raw materials, which caused the decrease in gross profit of approximately RMB 31.0 million and the decrease in gross profit margin.