China Pipe Group Limited — Earnings Release 2003

Sep 25, 2003

Listed Company Information

PRIME SUCCESS<00210> - Results Announcement Prime Success International Group Limited announced on 25/09/2003: (stock code: 00210 ) Year end date: 31/12/2003 Currency: HKD Auditors' Report: N/A Review of Interim Report by: Audit Committee (Unaudited ) (Unaudited ) Last Current Corresponding Period Period from 01/01/2003 from 01/01/2002 to 30/06/2003 to 30/06/2002 Note ('000 ) ('000 ) Turnover : 673,900 573,027 Profit/(Loss) from Operations : 30,667 11,493 Finance cost : (3,133) (4,499) Share of Profit/(Loss) of Associates : 123 34 Share of Profit/(Loss) of Jointly Controlled Entities : N/A N/A Profit/(Loss) after Tax & MI : 20,695 1,800 % Change over Last Period : +1,049.72 % EPS/(LPS)-Basic (in dollars) : 0.0138 0.0012 -Diluted (in dollars) : N/A N/A Extraordinary (ETD) Gain/(Loss) : N/A N/A Profit/(Loss) after ETD Items : 20,695 1,800 Interim Dividend : 1.00 cent 0.80 cent per Share (Specify if with other : N/A N/A options) B/C Dates for Interim Dividend : 28/10/2003 to 30/10/2003bdi. Payable Date : 08/11/2003 B/C Dates for (-) General Meeting : N/A Other Distribution for : N/A Current Period B/C Dates for Other Distribution : N/A Remarks: 1. RESTATE OF COMPARATIVE FIGURES In prior years, deferred taxation was accounted for at the current taxation rate in respect of timing differences between profit as computed for taxation purposes and profit as stated in the accounts to the extent that a liability or an asset was expected to be payable or recoverable in the foreseeable future. The adoption of the new SSAP 12 represents a change in accounting policy, which has been applied retrospectively so that the comparative figures presented have been restated to conform to the changed policy. The opening retained earnings at 1 January 2002 and 2003 have been increased by HK$10,359,000 and HK$10,624,000 respectively, which represent the unrecognised net deferred tax assets. This change has resulted in an increase in deferred tax liabilities and deferred tax assets at 31 December 2002 by HK$535,000 and HK$10,769,000 respectively. The profit and amount charged directly to equity for the six months ended 30 June 2002 have been increased by HK$493,000 and reduced by HK$390,000 respectively. 2. INTERIM DIVIDEND The Board has resolved on 25 September 2003 to declare an interim dividend of HK1.00 cent (2002: HK0.80 cent) per ordinary share for the year ending 31 December 2003. The interim dividend will be payable on or before Saturday, 8 November 2003 to shareholders whose names appear on the register of members of the Company at 4:00 p.m. on Monday, 27 October 2003. 3. EARNINGS PER SHARE The calculation of basic earnings per share is based on the Group's profit attributable to shareholders of HK$20,695,000 (2002 as restated: HK$1,800,000) and the weighted average number of 1,498,392,384 (2002: 1,498,392,384) ordinary shares in issue during the period. No diluted earnings per share is presented as the Company does not have any dilutive potential ordinary shares as at 30 June 2003. As the respective prices of the share options were greater than the average market prices of the Company's share for the six months ended 30 June 2002 and all share options granted by the Company to the employees lapsed on 28 March 2002, there was no dilution effect on the basic earnings per share.