Novautek Technologies Group Limited — Earnings Release 2021

Sep 9, 2021

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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(Incorporated in Bermuda with limited liability)

(Stock Code: 519)

PROFIT ALERT – REDUCTION IN LOSS

This announcement is made by Applied Development Holdings Limited (the “ Company ” together with its subsidiaries, the “ Group ”) pursuant to Rule 13.09(2)(a) of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the “ Listing Rules ”) and the Inside Information Provisions (as defined under the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong).

Based on the information currently available to the directors of the Company (the “ Directors ”), the Board of Directors (the “ Board ”) wishes to inform the shareholders of the Company (the “ Shareholders ”) and potential investors that the Group is expected to record a loss of approximately HK$57 million for the financial year ended 30 June 2021, as compared to the loss of approximately HK$255 million for the financial year ended 30 June 2020.

The Board considered that the reduction in loss was mainly attributable to, among others, the following factors:

• (i) an impairment loss on loans receivables of approximately HK$59 million was recorded in the financial year ended 30 June 2020 while there was a reversal of impairment loss on loans receivables of approximately HK$17 million in the financial year ended 30 June 2021;

• (ii) a decrease in the fair value loss of the Group’s investment properties from approximately HK$75 million in the financial year ended 30 June 2020 to approximately HK$27 million in the financial year ended 30 June 2021;

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• (iii) a decrease in a net loss on disposal of financial assets at fair value through profit or loss from approximately HK$40 million in the financial year ended 30 June 2020 to approximately HK$1 million in the financial year ended 30 June 2021; and

• (iv) a decrease in overall expenses on administrative and selling and finance costs from approximately HK$46 million in the financial year ended 30 June 2020 to approximately HK$31 million in the financial year ended 30 June 2021.

The Board wishes to emphasize that the above-mentioned factor item (ii) is non-cash in nature.

The information contained in this announcement is only a preliminary assessment by the Board with reference to the unaudited management accounts of the Group for the financial year ended 30 June 2021 as well as operational data currently available to the Board which have not been reviewed and audited by the Company’s auditor and therefore may subject to amendments and valuation adjustments. The final results of the Group for the financial year ended 30 June 2021 may be different from the information disclosed in this announcement. Shareholders and potential investors are advised to refer to details in the announcement of the final results of the Group for the financial year ended 30 June 2021 which is expected to be released in late September 2021.

Shareholders and potential investors should exercise caution when dealing in the shares of the Company.

By Order of the Board Applied Development Holdings Limited Wu Zhanming

Chairman, Acting Chief Executive Officer and Executive Director

Hong Kong, 9 September 2021

As at the date of this announcement, the Executive Director is Mr. Wu Zhanming (Chairman and Acting Chief Executive Officer); the Non-executive Directors are Mr. Wu Tao and Mr. Yao Wei Rong and the Independent Non-executive Directors are Mr. Lau Chi Keung, Mr. Yu Tat Chi, Michael and Mr. Chiu Kit Man, Calvin.

• For identification purposes only

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