KWG Living Group Holdings Limited provided earnings guidance for the year ended December 31, 2022. For the year, the company expected to record a significant decrease in the unaudited profits from approximately RMB 684.3 million for the year ended 31 December 2021 to not more than RMB 70.0 million for the Year (a decrease of not less than 90%), while the unaudited core net profit was expected to decrease from approximately RMB 697.5 million for the year ended 31 December 2021 to not more than RMB 580.0 million for the Year (a decrease of not less than 15%). During the Year, due to the COVID-19 pandemic lockdown, the continuous downturn of the real estate industry and the significant changes in the market environment, it resulted in difficulty for certain businesses and commercial activities of the Group to be carried out normally and the Group considered to provide appropriate impairment losses on account receivables and goodwill.