Gelonghui April 30 丨 Fangyuan Life Service (09978crashtwinsanityps5.HK) Announcementcrashtwinsanityps5For the year ended December 31, 2023, the Group's total revenue was approximately RMB 427 million, a year-on-year decrease of approximately 16.6%, mainly due to the decline in revenue generated by real estate agency services. The Group achieved a net loss of approximately RMB57.1 million for the year ended December 31, 2023, compared with a net profit of approximately RMB31.7 million for the year ended December 31, 2022. Compared with the net profit margin of 6.2% for the year ended December 31, 2022, the net profit margin for the year ended December 31, 2023 dropped to-13.4%. The decrease was mainly due to the significant increase in net impairment losses on financial assets.

Chinese real estate developers, including Fangyuan Group (the company's largest source of income), are still facing original financial difficulties, which restrict supply and sluggish demand factors. In December 2023, China's real estate climate index hit a record low. Revenue from real estate agency services fell sharply.