STAR CM (06698) has announced that the group expects to record a net loss of approximately RMB 100 million to RMB 125 million for the fiscal year ending December 31, 2025. This compares to a net loss of about RMB 230 million recorded in the same period of 2024. The anticipated reduction in net loss for the 2025 fiscal year is primarily attributed to the following factors: the group's revenue remained stable in 2025. Through strengthened cost control measures and improved operational efficiency, the group achieved a higher gross profit margin compared to the previous year. In 2024, the group recognized (a) a goodwill impairment due to expected decreases in future film broadcasting rights revenue and (b) certain impairments on financial assets and long-term assets. Such significant impairment impacts did not recur in the 2025 fiscal year. Due to ongoing cost optimization initiatives, the group's administrative expenses decreased significantly compared to the same period in 2024. Despite the substantial reduction in loss, the group still did not return to profitability in the 2025 fiscal year. This is mainly due to impairment provisions made for properties held by certain associates, leading to a significant change in the book value of these investments.