Tang Palace (China) Holdings Limited announced that based on its preliminary assessment of the unaudited consolidated management accounts of the Group for the six months ended 30 June 2023, in comparison with the loss attributable to owners of the company of approximately RMB 85.3 million in the corresponding period of the previous year, the Group is expected to record a profit attributable to the owners of the Company for the Period ranging from approximately RMB 38 million to RMB 42 million. The Board believes the main cause of the Group's expected turnaround from loss to profit is the significant increase of more than 30% in the revenue of the Group when compared to that of the corresponding period of the previous year, leading to an expectation to record a revenue of approximately RMB 590 million. The increase in revenue was mainly due to the removal of most pandemic control measures (like banning dine-in and restricting the movement of people) by the Chinese government in December 2022.

As a result, most of the restaurant business of the Group had an increase in both overall operation days and average daily revenue.