According to the Zhitong Finance App, METROPOLIS CAP (08621) announced that compared with the year ended December 31, 2022, the Group's earnings forecast for the year ended December 31, 2023 increased slightly by about RMB 800,000 or about 1.6%, and the Group is expected to achieve a reduction in losses before tax for the fiscal year 2023.

According to the announcement, the Group's pre-tax loss for fiscal year 2023 is expected to be reduced by about 70%, while the pre-tax loss for fiscal year 2022 is approximately RMB 9.9 million. The expected decrease in losses before tax in FY2023 is mainly due to the repayment of financial lease receivables and net receivables loss provisions arising from sale and leaseback arrangements, mainly due to multiple customers repaying or settling their respective lease receivables in FY2023 (overdue and unpaid on 31 December 2022); and a decrease in bank and other loan interest due to a decrease in bank and other loan balances, leading to a reduction in financial costs. It was confirmed that the net loss provision for factoring receivables was not the net loss allowance for factoring receivables in FY2022, the reason is the amount of factoring accounts receivable In particular, there was a significant increase in the amount of overdue and unpaid factoring receivables; and an increase in the number of offices and employees in FY2023 according to the Group's business strategy, offset by an increase in other operating expenses and employee costs. Management will closely monitor the performance of the Group's assets and will act in due course.