Summary by Moomoo AI
EA Life Services issued a profit warning on March 10, 2024, forecasting solid growth in unaudited consolidated revenue for the year ended December 31, 2023, with net operating cash flow of approximately RMB9 billion, a significant increase over the same period in 2022. HOWEVER, THE COMPANY EXPECTS SHAREHOLDERS' EARNINGS TO DECREASE BY APPROXIMATELY 73% TO 83% COMPARED TO THE SAME PERIOD LAST YEAR. THE MAIN REASONS INCLUDE BUSINESS STRUCTURE ADJUSTMENTS, A VALUE-REDUCTION PROVISION FOR RELATED CUSTOMERS' TRADE RECEIVABLES OF APPROXIMATELY RMB2 BILLION TO RMB3 BILLION, AND A TRADE IMPAIRMENT MEASURE OF RMB4 BILLION TO RMB5 BILLION. The forecast is based on preliminary assessments and has not been reviewed or reviewed by auditors or audit committees, and final results will be announced in March 2024.