Nanjing Sample Technology Co., Limited provided based on the preliminary assessment by the Group's management of the latest available unaudited consolidated management accounts of the Group for the six months ended 30 June 2023, the Group is expected to record a net profit attributable to shareholders of the parent company for the six months ended 30 June 2023 of approximately RMB 24 million to RMB 28 million as compared with the net loss attributable to shareholders of the parent company of approximately RMB 7.1085 million for the six months ended 30 June 2022, realizing a turnabout from loss to profit. The turnabout from loss to profit of the Company's results for the reporting period was mainly due to 1) the gross profit margin recorded a significant year-on-year increase and returned to the previous normal level during the reporting period; 2) the overall expenses of the Company during the reporting period realized a year-on-year decrease which was mainly attributable to the effective management measures taken by the Company to the continuous optimization of the organizational structure and the strengthening of the implementation of cost reduction; 3) the Company intensified its efforts to collect and clear debts during the reporting period and the credit impairment losses of some projects were reversed.