Lianhua Supermarket Holdings Co., Ltd. provided consolidated earnings guidance for the year ended 31 December 2016. The board of directors of the company announced that the shareholders of the company and potential investors that, as compared to the audited net loss of RMB 496,991,000 for the year ended 31 December 2015, the group expected to record a net loss ranging from approximately RMB 440 million to RMB 480 million for the year ended 31 December 2016, which is slightly lower when compared with the corresponding period of the previous year. The expected net loss is mainly attributable to shrinking market demand and intensified competition of online and offline retailers due to diversified shopping channels, which led to a decrease in the revenue of the company from sales of merchandise.