Esprit Holdings Limited — Earnings Release 2001

Apr 25, 2002

Listed Company Information

GRANDE HOLDINGS<00186> - Results Announcement (Summary) The Grande Holdings Limited announced on 25/4/2002: (stock code: 186) Year end date: 31/12/2001 Currency: HK$ Auditors' Report: Neither Review of Interim Report by: N/A (Audited) (Audited) Last Current Corresponding Period Period from 1/1/2001 from 1/1/2000 to 31/12/2001 to 31/12/2000 ('Million) ('Million) Turnover : 7,818 8,309 Profit/(Loss) from Operations : 687 (72) Finance cost : (56) (96) Share of Profit/(Loss) of Associates : (99) (182) Share of Profit/(Loss) of Jointly Controlled Entities : - - Profit/(Loss) after Tax & MI : 457 (581) % Change over Last Period : N/A EPS/(LPS)-Basic : 114 cents (172 cents) -Diluted : N/A (171 cents) Extraordinary (ETD) Gain/(Loss) : - - Profit/(Loss) after ETD Items : 457 (581) Final Dividend per Share : please refer to 20 cents Remark 4 (Specify if with other options) : N/A N/A B/C Dates for Final Dividend : 12/6/2002 to 14/6/2002 bdi. Payable Date : 15/7/2002 B/C Dates for Annual General Meeting : 12/6/2002 to 14/6/2002 bdi. Other Distribution for Current Period : N/A B/C Dates for Other Distribution : N/A Remarks: 1. EARNINGS / (LOSS) PER SHARE: The calculation of the basic and diluted earnings per share is based on the following data : 2001 2000 (Audited) (Restated) HK$ million HK$ million Earnings / (loss) for the purposes of basic earnings per share: Net profit / (loss) attributable to shareholders 457 (581) Effect of dilutive potential ordinary shares: Interest on convertible bonds of a subsidiary - 1 Adjustment to the share of results of subsidiaries based on dilution of their earnings per share - (4) -------- --------- Earnings / (loss) for the purposes of diluted earnings / (loss) per share 457 (584) ======== ========= Weighted average number of ordinary shares for the purposes of basic earnings / (loss) per share 400.2 337.9 Effect of dilutive potential ordinary shares : Warrants - 3.1 --------- -------- Weighted average number of ordinary shares for the purposes of diluted earnings / (loss) per share 400.2 341.0 ======= ======= Diluted earnings per share has not been presented for 2001 as the Company did not have any potential ordinary shares and there were no diluting events existed during that year. 2. EXPLANATION FOR ADJUSTMENT OF THE LAST CORRESPONDING RESULTS: In prior years, the Group adopted an accounting policy of eliminating goodwill (negative goodwill) arising on acquisitions against (credited to) reserves. With effect from 1 January 2001, the Group adopted the SSAP 30, SSAP 31 as clarified by Interpretation 13 "Goodwill - continuing requirements for goodwill and negative goodwill previously eliminated against / credited to reserves" issued by the Hong Kong Society of Accountants. As a result, the Group has written off the goodwill which is determined to be impaired against the Group's retained profits and restated the previous year's financial statements, as if the goodwill are written off at such time it is determined to be impaired. In restating the Group's results for prior years on the basis of the new policy to comply with SSAP 30 and SSAP 31, the retained profits brought forward as at 1 January 2000 has been reduced by HK$440 million, and the net profit of the Group for the year ended 31 December 2000 has been reduced by HK$987 million, in respect of the impairment of goodwill arising from the acquisition of subsidiaries and associates. 3. RECONCILIATION OF THE RESULTS FOR THE YEAR ENDED 31 DECEMBER 2000: Originally Reported on Restated for 26 April 2001 this report HK$ Million HK$ Million ------------- -------------- Turnover 8,309 8,309 Profit from Operations 915 * (72) * Finance cost (96) (96) Share of Loss of Associates (182) (182) Profit after Taxation & MI 406 * (581) * ------------- ----------- * Remark: Profit from Profit after Operations Taxation & MI -------------- ----------------- Originally stated 915 406 Less: Write off of goodwill (refer to Remark 2) (987) (987) ---------- --------- As restated (72) (581) =========== ========= 4. FINAL DIVIDEND The directors recommend, subject to compliance with regulatory requirements, if any, the dividend by way of a distribution in specie of one share of Sansui Electric Co., Ltd. ("SEC"), a company listed on the first section of the Tokyo Stock Exchange, for every two shares of the Company being held by the shareholder on the register of members on 11 June 2002. The market value at close of business on 24 April 2002 of SEC was 11 Yen per share which equates to a dividend of HK33 cents per share.