China Electronics Huada Technology Company Limited provided consolidated earnings guidance for the six months ending 30 June 2023. For the period, the Group is expecting to record a consolidated profit attributable to owners of the Company in the range of HKD 610.0 million to HKD 650.0 million for the six months ending 30 June 2023 as compared to a profit of HKD 203.2 million for the corresponding period of last year. Such expected increase in profit is mainly attributable to the expected increase in the revenue for the six months ending 30 June 2023 as compared to the corresponding period of last year as a result of the Group's efforts to seize industry opportunities, adjust its production and sales strategies dynamically, coupled with the strong performance in the eSIM chips and high-end SIM chips businesses; and the expected increase in the overall gross profit margin for the six months ending 30 June 2023 as compared to the corresponding period of last year as a result of selling prices of certain major products remained high in the first quarter of 2023 due to the supply of smart card chip products falling short of demand caused by the continued shortage of integrated circuits production capacity in 2022.

Shareholders of the Company and potential investors should note that the extent of the increase in profit is subject to the actual performance of the Group for the six months ending 30 June 2023 and may be different from the range as disclosed above.