Yunnan Water Investment Co., Limited provided earnings guidance for the six months ended June 30, 2020. For the period, the company expects that the Company will record a net loss in unaudited management accounts for the six months ended 30 June 2020 as compared to unaudited profit attributable to ordinary shareholders of the Company for the six months ended 30 June 2019. It is expected that loss attributable to the ordinary shareholders of the Company will range from approximately RMB 280 million to RMB 320 million as compared to profit attributable to the ordinary shareholders of the Company of approximately RMB 59 million in the corresponding period last year. The Board believes that the expected net loss for the six months ended 30 June 2020 is primarily attributable to, on one hand, a severe impact on the environmental protection industry due to the global outbreak of COVID-19 pandemic in the first half of 2020, which resulted in nationwide suspension of work and production that lead to a decrease in supply of the environmental protection market. This has contributed to a reduction in scale of the EPC construction and sales of equipment business of the Company and its subsidiaries (the "Group"). In addition, several factors such as goods and materials relating to epidemic prevention and disinfection as well as a rise in labour costs also resulted in an increase in operating costs of solid waste projects of the Group.