CMC Infocomm Limited provided group earnings guidance for the financial year ended 31 May 2017. For the period, the group is expected to record a loss for fiscal year 2017. The net loss for fiscal year 2017 as compared to the previous corresponding financial year ended 31 May 2016 is greater primarily due to the following factors: lower revenue for the year as billing milestones for certain projects nearing completion has not been reached and lower margins for the year largely driven by stiff competition; and impairment loss is recognised for the group's intangible assets based on the group's assessment that the recoverable values of the customer relationships are lower than its carrying values due to the challenging telecommunication environment. This is a non-cash item.