China Gas Industry Investment Holdings Co. Ltd. provided group earnings guidance for the six months ended 30 June 2022. For the period, the Group is expected to record a net profit of not less than RMB 35.0 million for the six months ended 30 June 2022 as compared to a net loss of approximately RMB 39.6 million for the six months ended 30 June 2021.

Such turnaround from loss to profit was primarily attributable to (i) the fact that while gas consumption was relatively balanced, equipment efficiency had improved, resulting in reduction in unit power consumption, and contributing to an increased gross profit for the six months ended 30 June 2022; and (ii) the absence of credit loss allowance, where during the six months ended 30 June 2021, credit loss allowance for note investment of approximately RMB 66.4 million was recorded.