Glorious Property Holdings Limited provided consolidated earnings guidance for the year ended 31 December 2023. For the year, the company as compared to the loss attributable to the owners of the Company of RMB 297.4 million for the year ended 31 December 2022, the Group is expected to record a loss attributable to the owners of the Company not less than RMB 2,500.0 million. The increment in loss was primarily attributable to the combined effect of, among others: the Group only newly completed and delivered properties of one project in Shanghai during the Year such that the recognised sales revenue for the Year decreased by approximately 60% as compared to that of 2022, mainly due to the decrease of GFA sold and delivered and average selling price during the Year; the Group is expected to record a gross profit margin of over 30% during the Year, representing a significant decrease as compared to a gross profit margin of 62.8% for that of 2022.

Excluding the effect of the provision for impairment for the properties to the gross profit margin, the gross profit recorded as of 31 December 2023 decreased by approximately 60% as compared to that of 2022 because delivered GFA of higher- valued properties decreased; due to the impact of certain factors during the Year, the Group made provision for impairment of approximately RMB 750.0 million for the Group's property projects during the Year, which had a significant impact on the Group's results for the Year. No further provision for impairment of property projects was made in 2022; for the Year, the Group is expected to record a fair value loss for its investment properties that is approximately 2 times to the fair value loss of RMB 893.3 million in 2022; and the Group's gross finance costs remained at a high level during the Year, and a significant portion of such finance costs was not capitalised as part of the property development costs. The amount of finance costs that are not expected to be capitalized and recorded directly as current year expenses during the Year increased by more than 40% as compared to 2022 and it remained as a major factor that resulted in the Group's increased operating loss for the Year.