According to the Zhitong Finance App, Boqi Environmental (02377) announced that the group expects to obtain net profit (excluding fair value change profit and loss and investment income from financial assets included in fair value) of about RMB 120 million to RMB 140 million in the first half of 2023, while the net profit for the six months ended June 30, 2022 (excluding profit and loss from changes in fair value and investment income from changes in fair value of financial assets included in fair value) is approximately RMB 73 million.
According to the announcement, the main reasons for the estimated increase in net profit are: after the relaxation of COVID-19 control measures and policies, the Group's sales and marketing activities resumed in the first half of 2023, leading to an increase in revenue; the expansion of power generation for some operation, maintenance and franchise projects, leading to an increase in gross profit; and receiving government subsidies of about RMB 11 million.