Trigiant Group Limited provided preliminary unaudited consolidated earnings guidance for the six months ended June 30, 2020. The company is expected to record a loss of approximately RMB 125.6 million for 2020 first half as compared to the unaudited profit of approximately RMB 233.5 million recorded for the six months ended 30 June 2019. This is primarily attributable to the following factors: (1) the global COVID 19 pandemic has hindered the construction progress of 5G base stations of telecommunications companies in various countries in the first quarter of 2020, which affected the company's orders and temporarily disrupted the production and upstream supply chain of the Group. As a result, the group is expected to record a turnover of approximately RMB 1,158.5 million for 2020 first half, a decrease of 44.9% as compared with the turnover for 2019 first half (approximately RMB 2.1 billion). The group's gross profit for 2020 first half was approximately RMB 207.8 million, representing a decrease of 48.9% as compared with the gross profit for 2019 first half (approximately RMB 406.9 million); (2) as regards the Company's trade receivables for 2020 first half the three major telecommunications operators in China and China Tower Corporation Limited accounted for 98% of the total trade receivables. Due to the Pandemic, strict prevention and protection policies were adopted in various regions of the PRC to curb the spread of the Pandemic. As most of the major customers of the Group worked from home, the settlement process was delayed and has resulted in an increase in the balance and aging of trade receivables. Therefore by application of HKFRS 9 and adoption of the provision matrix in calculating the expected credit losses on trade receivables, based on the Group's preliminary assessment, impairment losses under expected credit loss model net of reversal for 2020 first half was approximately RMB 136.4 million, representing an increase of approximately RMB 111.5 million as compared with the impairment losses under expected credit loss model net of reversal for 2019 first half (approximately RMB 24.9 million); and (3) the Pandemic has adversely affected the global economic growth forecast, and the Group updated the forecast data to reflect the relevant impact when conducting asset valuation. Based on the preliminary assessment, the Group's management estimated that a provision for the goodwill arising from the acquisition of a subsidiary in 2018 of approximately RMB 94.3 million (2019 first half: Nil) should be made in 2020 first half.