The board of directors of the Maoyan Entertainment announced that, based on the information currently available to the Company and its preliminary assessment of the unaudited consolidated management accounts of the Group for the six months ended June 30, 2022 the revenue of the Group for first half 2022 is expected to range between approximately RMB 1,150 million and RMB 1,250 million, as compared to the revenue of the Group for the six months ended June 30, 2021 of RMB 1,799.8 million; and the profit attributable to the owners of the Company for first half 2022 is expected to range between approximately RMB 130 million and RMB 180 million, as compared to the profit attributable to the owners of the Company for first half 2021 of approximately 387.1 million. The aforesaid decline in revenue and profit was mainly due to the impact of the resurgence of Covid-19 during first half 2022, during which the operating rate of cinemas in the PRC decreased compared with that during first half 2021, in particular, the operating rate of cinemas nationwide was once below 50% (according to the data from Maoyan Pro from March to May 2022, and the release schedule of a number of films has been adjusted and postponed. The operating activities and the performance of each business segment of the Group were therefore adversely affected.