Jia Yao Holdings Limited provided earnings guidance for the six months ended 30 June 2022. For the period, the company expects net profit after tax in the range of approximately RMB 0.2 million to RMB 3.0 million for the six months ended 30 June 2022 as compared to the net loss after tax of approximately RMB 7.2 million for the six months ended 30 June 2021. The aforesaid increase in net profit after tax is mainly due to the investment in Shenzhen Haohan Yangtian Technology Co.

Ltd. in December 2021 resulting in the profit contribution from the new electronic cigarettes segment during the six months ended 30 June 2022; decrease in finance costs because of decrease in bank borrowings during the six months ended 30 June 2022; and the Group executed tight control on usage of raw materials in order to reduce loss on raw materials under production during the six months ended 30 June 2022.