CHYY Development Group Limited — Earnings Release 2004

Aug 13, 2004

GEM

IIN INT'L<08128> - Results Announcement (Q3, 2003/2004, Summary)

IIN International Limited announced on 12/08/2004:
(stock code: 08128 )

Year end date :30/09/2004
Currency :HKD
Auditors' report :N/A
3rd Quarterly Report Reviewed by Audit Committee

Important Note :

This result announcement form only contains extracted information from
and should be read in conjunction with the detailed results announcement
of the issuer, which can be viewed on the GEM website at
http://www.hkgem.com

                                       (Unaudited)       (Unaudited)
                                          Current Last Corresponding
                                           Period            Period
                                    from 1/10/2003    from 1/10/2002
                                     to 30/06/2004     to 30/06/2003
                                             $'000             $'000

Turnover : 102,622 126,068
Profit/(Loss) from Operations : (13,588) (12,594)
Finance cost : (1,491) (2,992)
Share of Profit/(Loss) of Associates : N/A N/A
Share of Profit/(Loss) of Jointly
Controlled Entites : N/A N/A
Profit/(Loss) after Taxation & MI : (14,473) (15,396)
% Change Over the Last Period : N/A
EPS / (LPS)
Basic (in dollar) : (HKD 0.0101) (HKD 0.0108)
Diluted (in dollar) : N/A N/A
Extraordinary (ETD) Gain/(Loss) : N/A N/A
Profit (Loss) after ETD Items : (14,473) (15,396)
3rd Quarter Dividends per Share : NIL NIL
(specify if with other options) : N/A N/A
B/C Dates for 3rd Quarter Dividends : N/A
Payable Date : N/A
B/C Dates for (-) General Meeting : N/A
Other Distribution for Current Period : NIL
B/C Dates for Other Distribution : N/A
(bdi: both days inclusive)

For and on behalf of
IIN International Limited

Signature :
Name : Chang Ye Min,William
Title : President & CEO

Responsibility statement

The directors of the Company (the "Directors") as at the date hereof
hereby collectively and individually accept full responsibility for the
accuracy of the information contained in this results announcement form
(the "Information") and confirm, having made all reasonable inquiries,
that to the best of their knowledge and belief the Information are
accurate and complete in all material respects and not misleading and
that there are no other matters the omission of which would make the
Information herein inaccurate or misleading.The Directors acknowledge
that the Stock Exchange has no responsibility whatsoever with regard to
the Information and undertake to indemnify the Exchange against all
liability incurred and all losses suffered by the Exchange in connection
with or relating to the Information.

Remarks:

1. Basis of preparation

The unaudited results of the Group have been prepared in accordance
with the Statements of Standard Accounting Practice issued by the
Hong Kong Society of Accountants.

The unaudited results have been reviewed by the audit committee
of the Company.

1. Turnover

Turnover represents the net invoiced value of goods sold, after
allowances for returns, trade discounts and business tax where
applicable, and services rendered.

An analysis of the Group's turnover is as follows:

                                           For the nine months
                                            ended 30 June
                                              2004        2003
                                           HK$'000     HK$'000
                                       (Unaudited) (Unaudited)

Network infrastructure solutions 47,687 65,715
Network management solutions 2,647 22,727
Other network solutions for
sectors other than telecommunications 14,113 13,999
Transmission 38,175 23,627
------- -------
102,622 126,068
======= =======

1. Loss from operating activities

The Group's loss from operating activities is arrived at after
charging:

                                           For the nine months
                                             ended 30 June
                                              2004        2003
                                           HK$'000     HK$'000
                                       (Unaudited) (Unaudited)

Staff costs (including directors'
emoluments) 8,637 10,849
Depreciation 3,336 3,349
Amortisation of deferred development costs 786 1,032
Amortisation of goodwill 2,578 1,773
Minimum lease payments under
operating leases in respect
of land and buildings 963 2,854
Provision for doubtful debts 141 723

1. Loss per share

The calculation of basic loss per share for the three months and
nine months ended 30 June 2004 is based on the respective unaudited
consolidated net loss from ordinary activities attributable to
shareholders of approximately HK$6,489,000 and HK$14,473,000
(three months ended 30 June 2003: approximately HK$5,514,000 and
nine months ended 30 June 2003: approximately HK$15,396,000) and
the weighted average number of 1,440,033,057 shares and
1,437,684,975 shares respectively (2003: 1,436,517,350 and
1,429,954,273 respectively) in issue during the periods.

The diluted loss per share for the three months and nine months
ended 30 June 2003 and 2004 are not presented as the potential
ordinary shares outstanding had an anti-dilutive effect
on the basic loss per share for the three months and nine months
ended 30 June 2003 and 2004.

1. Dividend
   The Directors do not recommend payment of an interim dividend
   for the period (2003: Nil)