Smartac Group China Holdings Limited provided consolidated earnings guidance for the six months ended June 30, 2018. The Group is expected to record a net loss for the current Period, as compared to a net profit of RMB 26.2 million recorded for the six months ended 30 June 2017. The net profit of RMB 26.2 million recorded for Corresponding Period was mainly attributable to the non-recurring reversal of provision for onerous contracts of RMB 50.6 million recognized in the said period. Based on the information currently available to the Board, the Group is expected to record a decrease in net loss for the Current Period as compared to the Corresponding Period if the effect of the said reversal of provision is excluded therefrom.