Tibet Water Resources Ltd. provided earnings guidance for the year ended 31 December 2023. The Group is expected to record a net loss (subject to audit) of approximately RMB 350 million for the year ended 31 December 2023, as compared with a net loss of approximately RMB 102 million recorded for the year ended 31 December 2022. The increase in net loss was primarily attributable to the recognition of impairment loss with respect to the Company's investment accounted for using the equity method, Tibet Shannan Yalaxiangbu Industrial Ltd., of approximately RMB 260 million.

This impairment loss is a non-cash item and has no immediate impact on the cash flow of the Group.