China Literature Limited provided earnings guidance for the six months ended June 30, 2020. For the period, the group is expected to record a net loss for the reporting period as compared to a net profit for the corresponding period of last year, mainly attributable to the combined effect of the group's expected net loss for the reporting period by an estimated amount ranging from RMB 1.3 billion to RMB 1.7 billion, due to an expected saving of earn-out consideration under the earn-out mechanism set upon the acquisition of New Classics Media. In addition, the revenue and operational results of New Classics Media fell short of the Group's expectation in the reporting period due to reasons.