Powerlong Real Estate Holdings Limited provided earnings guidance for the year ended December 31, 2023. For the period, the Group is expected to be within the range of approximately RMB 2,400 million to RMB 2,600 million (profit for the year ended 31 December 2022: approximately RMB 1,614 million), and the core losses attributable to the owners of the Company (Note) is expected to be within the range of approximately RMB 1,000 million to RMB 1,200 million (core earnings attributable to the owners of the Company for the year ended 31 December 2022: approximately RMB 2,451 million). The expected loss for the year ended 31 December 2023 as compared to the profit for the year ended 31 December 2022 was mainly attributable to the following: as a result of the continuous impact of the severe operating environment in the real estate industry: (i) there was a decrease in revenue and profit recognised from the sales of properties due to the continued decline in delivery during the year; (ii) a provision for impairment of property projects was made based on the principle of prudence; (iii) there was a decrease in the fair value of investment properties; and the expected net foreign exchange losses due to foreign exchange fluctuations.