Fortunet e Commerce : Announces 2017 Interim Results - Net profit Recorded RMB86.191 Million, Achieved Successful Turnaround, Actively Established Digital Point Business Ecosystem Alliance

鑫網易商集團有限公司

（Stock Code：1039.HK）

Financial Highlights

The interim results for the six months ended 30 June 2017:

• Net profit attributable to equity shareholders amounted to RMB86.191 million, compared with a loss of RMB6.136 million for the same period last year.

• Basic and diluted earnings per share were RMB4.74 cents and 3.33 cents, respectively, compared with losses per share were RMB 0.40 respectively.

• Cash and cash equivalents increased by RMB416.5 million for the six months ended 30 June 2017.

(18 August 2017, Hong Kong) Fortunet e-Commerce Group Limited ("Fortunet e- Commerce" or "the Group"; stock code: 1039.HK) is pleased to announce its unaudited consolidated interim results for the six months ended 30 June 2017.

During the Reporting Period, the Group's net profit attributable to equity shareholders amounted to RMB86.191 million, compared with a loss of RMB6.136 million for the same period last year, achieving a successful turnaround. Basic and diluted earnings per share were RMB4.74 cents and 3.33 cents, respectively, compared with losses per share were RMB 0.40 respectively. During the period, the Group recorded a consolidated revenue of approximately RMB123 million, representing a decrease of approximately 47.6% year- on-year. This is mainly due to the Group's actively developing "ChangYo" Digital Point Business Ecosystem Alliance and intensive competition from electronic commerce business service providers, the revenue from electronic commerce and axle business declined. Due to the continued deterioration of the business environment of the heavy duty truck market, the demand for axle assembles has declined significantly, therefore

the Group sold the entire interest of the wholly-owned subsidiary Chang Feng Group during the period and the Group recognized a gain of approximately RMB141 million.

During the reporting period, the Group developed a membership point alliance with business partners, including Bank of China, China Mobile and China Eastern Airlines, to realize points from different industries for conversion to alliance points in the "ChangYo" platform. This will bring the Group further strategic business opportunities. The platform is now rapidly developing and its members and users are growing since its launch. With the development of "ChangYo" Digital Point Business Ecosystem Alliance, it may create commercial synergies with the e-Commerce business.

Fortunet e-Commerce noted, "The Group will place more focus on the development of the "ChangYo" Digital Point Business Ecosystem Alliance which is expected to generate a higher return and the Group will integrate the resources and strategic advantages of each company under the alliance and collaborate with major overseas financial payment companies to create "digital points in the equivalent form of virtual assets", a cross- border virtual asset pool where consumers' digital points can be used as virtual assets for worldwide circulation and which can achieve international strategies by offering shopping, service consumption and commercial purchasing with credits. The Group endeavors to create a Digital Points Business Ecosystem with the biggest impact the world, leading the commercial community to step into an era of intelligent internet. "

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About Fortunet e-Commerce Group Limited

Fortunet e-Commerce Group Limited (1039.HK), a large enterprise which owns an electronic trading platform with the unique nature, aims to integrate the resources and strategic advantages of the joint venture partners and operate the "Point-Connect" point reward system ("Digital Point Business Ecosystem Alliance"). The points earned through various channels can be exchanged globally in the form of virtual assets and credit for consumption merchandise, services and other commercial transactions.

The Group is engaged in e-commerce business through a cross-border electronic distribution platform for sourcing, importing and channeling authentic goods from suppliers abroad and then distributing and reselling such goods to domestic retailers in the PRC, and other general trading business.

For more information about Fortunet e-Commerce, please visit www.fortunetecomm.com .