Sinotruk Jinan Truck Co., Ltd. provided unaudited earnings guidance for the six months ended June 30, 2022. For the period, the company expected net profit attributable to the equity holders of Ji'nan Truck for the six months ended June 30, 2022 (prepared in accordance with the PRC Accounting Standards for Business Enterprises and Relevant Regulations) is expected to decrease from approximately RMB 1,012,087,100 in the corresponding period of 2021 to the range from approximately RMB 304,000,000 to RMB 354,000,000, representing a decrease of approximately 65% to 70%. The main reasons of the decrease are due to the slowdown in economic growth, the influence of the complicated and fluctuating COVID-19 epidemic situations, and the disrupted logistics in PRC, which, together with the recorded high sales volume in the first half of 2021, resulted in a significant year-on-year decrease in the sales of the heavy duty truck industry.

As a result, the production and sales volume of heavy duty trucks of Ji'nan Truck decreased significantly compared with that for the same period last year, which in turn resulted in a decrease in the profit as a whole.