Yunnan Energy International Co. Limited provided earnings guidance for the six months ended 30 June 2023. For the period, the company expects the net loss of the Group for the Current Period will be recorded in the range of HKD 5.5 million to HKD 6.5 million when compared with that of HKD 3,000 for the six months ended 30 June 2022 (the "Prior Period").

Based on the analysis of the information currently available, such increase in the net loss for the Current Period was mainly due to (i) the decrease in the gross profit of the supply chain business mainly caused by the ongoing inventory destocking cycle by end customers which led to a decline in demand for the Group's products; (ii) the decrease in reversal of impairment losses of financial assets which were recorded in the Prior Period; and (iii) the increase in operating expenses.