China Outfitters Holdings Limited reported earnings guidance for the year ended 31 December 2016. It is expected that Group's unaudited net profit for the year ended 31 December 2016 will decrease significantly by at least 50% as compared with that for the year ended 31 December 2015 of RMB 102,710,000. The decline of the unaudited net profit is mainly attributable to a decrease in revenue of the Group arising from the weak retail market sentiment and impact of e-commerce on conventional retailers; a decrease in gross profit margin due to provisions against long-aging inventories; a decrease in other income and finance income; and an increase in impairment on trademarks of the Group.