China Tianbao Group Development Company Limited provides earnings guidance for the six months ended June 30, 2022. the expected net loss of the Group for the Period will range from RMB 35,000,000 to RMB 50,000,000 (six months ended June 30, 2021: net profit of RMB 32,186,000). The Board believes that the net loss recorded for the Period is mainly due to the following factors: (i) the area of the properties delivered by the Group during the Period was less than that of the Same Period Last Year; (ii) lower revenue and gross profit of the properties delivered by the Group during the Period regarding a decrease in the number of properties sold at a price lower than expected resulting from the outbreak of COVID-19 Pandemic and China's regulatory policies imposed on the real estate market (including the restrictions on purchase and pricing of houses); (iii) in order to ensure the collection of payment from the construction contracting business, the Group reduced the number of contracts for general construction contracting involving the business of property developers, resulting in lower profit from construction contracting due to the decrease in revenue from building construction; and (iv) increase in provision for impairment of financial and contract assets.