Citic Guoan faces significant loss in final litigation ruling

Citic Guoan Information Industry Co., Ltd. announced a final judgment in a lawsuit where it was the appellant. The Beijing High Court, on September 23, 2025, dismissed the company's appeal and upheld the original judgment. This ruling mandates the company to return RMB 155,717,274.86 in individual repayment funds and bear the associated litigation costs.

Based on prudential principles, the company had already provisioned for this estimated liability of RMB 155,717,274.86 in its 2024 annual financial statements, following the initial judgment. This final decision concludes the litigation phase, although the judgment has not yet been executed. The company stated it will actively pursue the recovery of related claims to minimize losses.

Additionally, the company is involved in the bankruptcy liquidation and creditor declaration process for Beijing Guoan Guangshi Network Co., Ltd. As of September 2025, the Beijing First Intermediate People's Court has confirmed the company's undisputed claims totaling RMB 1.763 bn, comprising RMB 1.246 bn in priority claims and RMB 517 m in ordinary claims. Other minor undisclosed litigation and arbitration matters amount to RMB 12,000.