PegBio Co., Ltd. — Earnings Release 2001

Jul 27, 2001

Listed Company Information

HUNG FUNG GROUP<1141> - Results Announcement (Summary) Hung Fung Group Holdings Limited announced on 26/7/2001: (stock codes: Ord: 1141 & War: 1099) Please refer to the press announcement for the details of the auditors' and audit committee's review report on the interim financial statement, issued by the Company on 27/7/2001. Year end date: 31/3/2001 Currency: HKD (Unaudited) (Unaudited) Last Current Corresponding Period Period from 1/4/2000 from 1/4/1999 to 30/9/2000 to 30/9/1999 ('000) ('000) Turnover : 188,571 138,022 Profit/(Loss) from Operations : (220,123) 21,742 Finance cost : (5,584) (3,712) Share of Profit/(Loss) of Associates : - - Share of Profit/(Loss) of Jointly Controlled Entities : - - Profit/(Loss) after Tax & MI : (224,207) 16,728 % Change over Last Period : N/A EPS/(LPS)-Basic : (9.03 cents) 0.80 cent -Diluted : - 0.80 cent Extraordinary (ETD) Gain/(Loss) : - - Profit/(Loss) after ETD Items : (224,207) 16,728 Interim Dividend per Share : NIL NIL (Specify if with other options) : NIL NIL B/C Dates for Interim Dividend : N/A Payable Date : N/A B/C Dates for (-) General Meeting : N/A Other Distribution for Current Period : N/A B/C Dates for Other Distribution : N/A Remarks: 1. TURNOVER Turnover represents the invoiced value of goods sold, net of discounts and returns. 2. PROFIT/(LOSS) FROM OPERATING ACTIVITIES The Group's profit/(loss) from operating activities for the period is arrived at after charging: Six months ended 30 September 2000 1999 (Unaudited) (Unaudited) HK$'000 HK$'000 Provision for bad and doubtful debts 121,072 - Provision for impairment of fixed assets 38,935 - Provision for against advances to a company 3,515 - Provision for deposits made to certain suppliers 4,635 - Provision for unrecoverable inventories held by a company 11,791 - Provision for potential claim 18,000 - Provisions for inventories 3,733 - Loss on disposals of fixed assets 1,898 - 3. TAX Hong Kong profits tax has not been provided as there was no assessable profits arising in Hong Kong during the period. For the period ended 30 September 1999, Hong Kong profits tax has been provided at the rate of 16% on the estimated assessable profits arising in Hong Kong during the year. No taxes on profits assessable elsewhere have arisen. Six months ended 30 September 2000 1999 (Unaudited) (Unaudited) HK$'000 HK$'000 Current period provision - 1,302 Deferred tax (1,500) - ----------------------- Tax charge/(credit) for the period (1,500) 1,302 ======================= 4. EARNINGS/(LOSS) PER SHARE The calculation of basic earnings/(loss) per share is based on the unaudited consolidated net loss from ordinary activities attributable to shareholders for the six months ended 30 September 2000 of HK$224,207,000 (1999: Profit of HK$16,728,000) and the weighted average of 2,482,786,862 (1999: 2,079,166,670) ordinary shares of the Company in issue during the period, adjusted to reflect the shares subdivision pursuant to a special resolution passed on 5 April 2000, in which each of the Company's existing issued and unissued ordinary shares of HK$0.10 each were subdivided into ten ordinary shares of HK$0.01 each (the "Shares Subdivision"). The diluted loss per share for the current period has not been presented because any potential ordinary shares of the Company outstanding during the period had anti-dilutive effective on the basic loss per share for the period. The diluted earnings per share for the six months ended 30 September 1999 was based on 2,084,190,680 shares which was the weighted average number of shares in issue during the period plus 5,024,010 shares deemed to be issued at nil consideration if all outstanding share options and warrants had been exercised, adjusted to reflect the Shares Subdivision as detailed above. 5. ACCOUNTING POLICIES The condensed consolidated interim financial statements are prepared in accordance with Hong Kong Statement of Standard Accounting Practice No. 25 "Interim Financial Reporting" ("SSAP 25") except that the comparative amounts for the condensed consolidated cash flow statement has not been prepared as the Company has taken advantage of the transitional provisions set out in the Main Board Listing Rules of the Stock Exchange of Hong Kong. Certain items in the condensed consolidated profit and loss account in the prior period have been restated to conform with SSAP 25. The accounting policies and basis of preparation of the interim financial statements are the same as those used in the annual financial statements for the year ended 31 March 2000. For more details, please refer to the press announcement today.