Symphony Holdings Limited — Earnings Release 2002

Mar 27, 2003

Listed Company Information

SYMPHONY HOLD<01223> - Results Announcement (Summary) Symphony Holdings Limited announced on 27/3/2003: (stock code: 1223) Year end date: 31/12/2002 Currency: HKD Auditors' Report: Unqualified (Audited) (Audited) Last Current Corresponding Period Period from 1/1/2002 from 1/1/2001 to 31/12/2002 to 31/12/2001 ('000) ('000) Turnover : 939,533 815,503 Profit/(Loss) from Operations : 91,439 60,178 Finance cost : (17) (1,967) Share of Profit/(Loss) of Associates : - - Share of Profit/(Loss) of Jointly Controlled Entities : 4,313 118 Profit/(Loss) after Tax & MI : 95,735 58,413 % Change over Last Period : +64% EPS/(LPS)-Basic : 41.9 cents 28.4 cents -Diluted : 41.8 cents 28.4 cents Extraordinary (ETD) Gain/(Loss) : - - Profit/(Loss) after ETD Items : 95,735 58,413 Final Dividend per Share : 7 cents NIL Special Dividend per Share : 10 cents N/A (Specify if with other options) : - - B/C Dates for Final and Special Dividend : 29/4/2003 to 5/5/2003 bdi. Payable Date : 12/5/2003 B/C Dates for Annual General Meeting : 29/4/2003 to 5/5/2003 bdi. Other Distribution for Current Period : N/A B/C Dates for Other Distribution : N/A Remarks: 1. TURNOVER Turnover represents the net invoiced value of goods sold, after allowance for returns and trade discounts, and gross rental income received and receivable from investment properties during the year. 2. SEGMENT INFORMATION An analysis of the Group's turnover and results for the year by business segments is as follows: Footwear Property products investment 2002 2001 2002 2001 HK$'000 HK$'000 HK$'000 HK$'000 Segment revenue 938,063 814,348 1,470 1,155 ======= ======= ======= ======= Segment results 149,675 112,050 (15,328) (24,623) ======= ======= ======== ======== Consolidated 2002 2001 HK$'000 HK$'000 Segment revenue 939,533 815,503 ======== ======== Segment results 134,347 87,427 Net unallocated expenses (42,908) (27,249) --------- -------- Profit from operating activities 91,439 60,178 Finance costs (17) (1,967) Share of profit of a jointly-controlled entity 4,313 118 --------- -------- Profit before tax 95,735 58,329 ======== ======== An analysis of the Group's turnover for the year by geographical segments is as follows: Turnover 2002 2001 HK$'000 HK$'000 North America United States of America 589,716 539,238 Others 67,123 48,822 --------- --------- 656,839 588,060 Europe 167,925 123,238 Asia 35,484 44,161 Australia 25,077 28,737 Others 54,208 31,307 --------- -------- 939,533 815,503 ========= ======== 3. PROFIT FROM OPERATING ACTIVITIES The Group's profit from operating activities is arrived at after charging/(crediting): 2002 2001 HK$'000 HK$'000 Cost of inventories sold 495,683 448,175 Depreciation 22,616 16,761 Provision for doubtful debts 3,850 9,111 Loss on disposal of fixed assets 80 385 Loss/(gain) on disposal of short term investment 1,358 (3,626) Deficit on revaluation of leasehold land and buildings 4,867 9,175 Deficit on revaluation of investment properties 15,500 24,450 Provision for impairment of long term investments 2,110 1,769 Interest income from listed investments (1,087) (11,822) Gain on disposal of long term investments (247) (23,049) Dividend income from listed investments (17) (773) ========= =========== 4. FINANCE COSTS 2002 2001 HK$'000 HK$'000 Interest expense on bank loan and overdrafts wholly repayable within five years 17 1,967 ======== ======== 5. TAX 2002 2001 HK$'000 HK$'000 Provision for the year: Hong Kong 5,594 886 Elsewhere 2,203 4,260 Underprovision in prior years 790 302 -------- ---------- Tax charge for the year 8,587 5,448 ======== ======== Hong Kong profit tax has been provided at the rate of 16% (2001: 16%) on the estimated assessable profits arising in Hong Kong during the year. Tax on profits assessable elsewhere has been provided at the rates of tax prevailing in the countries in which the Group operates, based on existing legislation, interpretations and practices thereof. 6. DIVIDENDS 2002 2001 HK$'000 HK$'000 Interim - HK 6 cents per ordinary share paid (2001: Nil) 12,490 - Final - HK 7 cents ordinary share proposed (2001: Nil) 14,572 - Special - HK10 cents per ordinary share proposed (2001: Nil) 20,817 - ---------- ---------- 47,879 - ========= ========= The directors have resolved to recommend the payment of a final dividend and a special dividend of HK 7 cents and HK 10 cents per ordinary share for the year ended 31 December 2002 for approval by shareholders at the Annual General Meeting to be held on May 5, 2003. Together with the interim dividend paid during the year, the total dividend amounts to HK 23 cents per ordinary share. 7. EARNINGS PER SHARE The calculation of basic earnings per share is based on the Group's audited net profit from ordinary activities attributable to shareholders for the year of HK$87,201,000 (2001: HK$58,413,000) and the weighted average number of 208,169,996 (2001: 205,723,618) ordinary shares in issue during the year. The calculation of the diluted earnings per share is based on the Group's audited net profit from ordinary activities attributable to shareholders for the year of HK$87,201,000 (2001: HK$58,413,000) on the assumption that the weighted average number of 208,169,996 (2001: 205,723,618) ordinary shares in issue during the year and the weighted average number of 215,365 (2001: 67,606) ordinary shares deemed to be issued at no consideration if all outstanding share options had been exercised.