Tianda Pharmaceuticals Limited provided earnings guidance for the six months ended 30 September 2020. The board of directors informed shareholders and potential investors of the Company that, based on a preliminary review of the unaudited management accounts of the Group for the six months ended 30 September 2020 (the Current Period), the Group expects to record an unaudited consolidated net loss attributable to owners of the Company of approximately HKD 9 million to HKD 16 million for the Current Period as compared to an unaudited consolidated net profit attributable to owners of the Company of approximately HKD2.61 million for the six months ended 30 September 2019 (the Last Corresponding Period). Such expected unaudited consolidated net loss attributable to owners of the Company was primarily due to: 1) the removal of one of the Group's main products Cerebroprotein Hydrolysate from mainland China's "Medical Insurance Directory" as a result of the adjustments of the national medical insurance policy effective at the beginning of 2020, which caused a sharp decline in the sales volume and sales amount of the product during the Current Period compared to the Last Corresponding Period; 2) the decline of the mobility of people across mainland China as a preventive measure to fight COVID-19, resulting in a substantial decrease in the number of medical visits to hospitals for influenza illnesses and the amount of drugs prescribed, especially for pediatric patients. Moreover, the government's ban to stop non-medical institutions selling antipyretic and cough medicines during the Current Period, which caused a significant drop in the sales volume and sales amount of the Group's pediatric anti-flu and respiratory system drugs, Tuoen (Ibuprofen suspension); and 3) greater product research and development efforts and increase in investment in research and development as the Group has adjusted and enriched its development strategy, which caused a significant increase in the research and development expenses in generic drugs and Classic Ancient Prescription TCM compound prescriptions during the Current Period.