Feiyu Technology International Company Ltd. provided unaudited consolidated earnings guidance for the ten months ended October 31, 2017. For the period, the company expects unaudited consolidated management accounts of the Group for the ten months ended 31 October 2017 and the information currently available, it is anticipated that the Group may record a loss attributable to owners of the parent of the company of approximately RMB 320 million to RMB 390 million for the year ending 31 December 2017 under the International Financial Reporting Standards as compared to a loss attributable to owners of the parent of the company of approximately RMB 151.0 million for the year ended 31 December 2016. The expected increase in loss attributable to owners of the parent of the company is primarily due to the following factors: substantial decrease in revenue due to: decrease in revenue of the Group's existing games as they reached mature stages of their product life cycles; the newly launched games in 2017 were underperformed; and delay in launching new games due to the Group's strategic decision to invest additional development time and resources to enhance the quality of such games; an increase in impairment loss of goodwill to be made of approximately RMB 144 million to RMB 194 million which is related to goodwill recognised in 2013 pursuant to acquisition of Beijing Kailuo Tianxia Technology Co. Ltd. as disclosed in the prospectus dated 25 November 2014 issued by the company as compared to impairment loss of goodwill of RMB 106 million made for the year ended 31 December 2016. The impairment loss of goodwill to be made was due to the recoverable amount of the Carrot Fantasy CGU to which the goodwill related was less than the carrying amount of the goodwill. The delayed launch of new games by Kailuo Tianxia and underperformance of the games at testing stage were considered as indication of impairment for the goodwill aforementioned.