Vital Mobile Holdings Limited provided financial guidance for the year ended December 31, 2017. For the year, the group expected to record a net loss in the range of RMB 100 million to RMB 110 million. Based on information currently available to the Board, such expected net loss was primarily attributable to (i) a loss of approximately RMB 40 million resulting from the written off of the intellectual property rights of certain software algorithms acquired by the company from Beijing Gu Li Technology Co. Ltd. in October 2016, as the company realized that there are similar intellectual property rights available in the market for free; and (ii) a loss of approximately RMB 22 million resulting from the written off of certain obsolete inventories during the year ended 31 December 2017.