Universal Health International Group Holding Limited provided consolidated earnings guidance for the year ended December 31, 2015. For the period, the board of directors of the company announced that, the Group is expected to record a significant decrease in its net profit as compared with that for the year ended December 31, 2014. The decrease in net profit was mainly due to the following factors: increase in the marketing and advertising expense arising from costs in the preparation of mobile internet service and overseas business, launching large-scale membership promotion events and brand promotion activities; based on the key development areas in the development planning after adjustment, the mid-long term development planning after the adjustment of the Group in the second half of 2015, the Group optimized resources allocation and allocated part of resources from the retail business in remote areas to self-owned brands promotion, international trade and cross-border e-commerce business, Universal Health industry fund and other fields which have higher future development potential.

In light of which, the Group made provision for the impairment on goodwill arising from the acquisition of such stores by the Group in previous year; and the one-off payment for the share award granted in December 2015 under the share incentive scheme adopted in April 2014 by the Group for the great contribution made by the Director and senior management to the Group since listing.