Zhou Hei Ya International Holdings Company Limited provided consolidated earning guidance for the first half ended June 30 2023. For the period, the company expects that the net profit for the Reporting Period would range from RMB 90.0 million to RMB 110.0 million, as compared to the net profit of RMB 18.4 million for the corresponding period in 2022; and the total revenue for the Reporting Period would range from RMB 1,400.0 million to RMB 1,420.0 million, as compared to the total revenue of RMB 1,181.1 million for the corresponding period in 2022. Such increase was primarily due to the gradual recovery of offline stores businesses with the recovery of economy and rebound of the consumer market during the Reporting Period.

As a result, the Group's revenue and net profit performance was improved as compared to the corresponding period in 2022. However, at the same time, due to the significant increase in the prices of raw materials, the Group faced a great challenge in raw material costs in the first half of 2023, which also had an adverse impact on the Group's net profit.