Tomson Group Limited — Earnings Release 2005

Apr 18, 2006

Listed Company Information

Listed Company Information
TOMSON GROUP<00258> - Results Announcement Tomson Group Limited announced on 18/04/2006: (stock code: 00258 ) Year end date: 31/12/2005 Currency: HKD Auditors' Report: Unqualified (Audited ) (Audited ) Last Current Corresponding Period Period from 01/01/2005 from 01/01/2004 to 31/12/2005 to 31/12/2004 Note ('000 ) ('000 ) Turnover : 496,657 765,349 Profit/(Loss) from Operations 2 : 228,324 444,368 Finance cost : (17,392) (9,016) Share of Profit/(Loss) of Associates : 1,182 2,419 Share of Profit/(Loss) of Jointly Controlled Entities : 21,878 12,485 Profit/(Loss) after Tax & MI : 203,664 363,332 % Change over Last Period : -43.95 % EPS/(LPS)-Basic (in dollars) 3 : 0.1798 0.3264 -Diluted (in dollars) 3 : N/A 0.3029 Extraordinary (ETD) Gain/(Loss) : N/A N/A Profit/(Loss) after ETD Items : 203,664 363,332 Final Dividend : $0.05 $0.1 per Share (Specify if with other : N/A N/A options) B/C Dates for Final Dividend : 23/05/2006 to 26/05/2006 bdi. Payable Date : 05/06/2006 B/C Dates for Annual General Meeting : 23/05/2006 to 26/05/2006 bdi. Other Distribution for : N/A Current Period B/C Dates for Other Distribution : N/A Remarks: 1. Effects of the Changes in Accounting Policies For the year ended 31st December, 2005, the Group has applied, for the first time, a number of new Hong Kong Financial Reporting Standards, Hong Kong Accounting Standards ("HKAS") and Interpretations (hereinafter collectively referred to as "new HKFRSs") issued by the Hong Kong Institute of Certified Public Accountants that are effective for accounting periods beginning on or after 1st January, 2005. An analysis of increase(decrease) in profit after taxation and minority interest for 2004 by line items is presented according to their nature: 2004 HK$'000 Increase in fair value of investment properties (a) 141,047 Increase in share of results of jointly controlled entities (b) 361 Increase in taxation (a and b) (21,518) Increase in minority interest (a) (155) --------- Increase in profit after taxation and minority interest 119,735 ========= Remarks (a) According to HKAS 40 "Investment Property", the Group has elected to use the fair value model to account for its investment properties which requires gains or losses arising from changes in the fair value of investment properties to be recognised directly in the income statement for the year in which they arise. In previous year, investment properties under Statement of Standard Accounting Practice 13 "Accounting for Investment Properties" were measured at open market values, with revaluation surplus or deficits credited or charged to investment properties revaluation reserve unless the balance on this reserve was insufficient to cover a revaluation decrease, in which case the excess of the revaluation decrease over the balance on the investment properties revaluation reserve was charged to the income statement. Where a decrease had previously been charged to the income statement and revaluation subsequently arose, that increase was credited to the income statement to the extent of the decrease previously charged. The Group has applied HKAS 40 retrospectively. Hence, an increase in fair value of investment properties, minority interest, and the related taxation were recognised in the income statement for the year ended 31st December, 2004. (b) The application of the new HKFRSs has resulted in a change in the presentation of share of taxation of jointly controlled entities. The change has been applied retrospectively. The share of results of jointly controlled entities for the current period and the last corresponding period in this Results Announcement Form was presented after charging/crediting the share of taxation of the jointly controlled entities while the share of results of jointly controlled entities for the year ended 31st December, 2004 presented in the Results Announcement Form submitted previously for that year was calculated before crediting the share of taxation of jointly controlled entities. 2. Discount on Acquisition released to Income In March 2005, the Group acquired a 20% interest in the issued share capital of Bonton Co. Ltd. ("Bonton"), a then 80% indirect owned subsidiary of the Company which holds a subsidiary engaged in property development, at a consideration of approximately HK$140,395,000, while the fair value of the Company's share of the identifiable assets, liabilities and contingent liabilities of Bonton at the date of acquisition, in aggregate, amounted to approximately HK$265,179,000. The excess of the fair value over the cost of acquisition represented the discount on acquisition credited to the consolidated income statement for the year ended 31st December, 2005. 3. Earnings per Share The calculation of the basic and diluted earnings per share attributable to the ordinary shareholders of the Company is based on the following data: 2005 2004 HK$'000 HK$'000 (Restated) Earnings Profit for the year attributable to shareholders of the Company for the purposes of basic earnings per share 203,664 363,332 ======== Adjustment of finance costs on convertible bonds due 2009 8,779 -------- Profit for the year attributable to shareholders of the Company for the purposes of diluted earnings per share 372,111 ======== Number of shares Weighted average number/number of ordinary shares for the purposes of basic earnings per share 1,133,017,699 1,113,249,112 ============= Effect of dilutive potential ordinary shares - Convertible bonds due 2009 115,152,725 -------------- Weighted average number of ordinary shares for the purposes of diluted earnings per share 1,228,401,837 ============== Diluted earnings per share for the year ended 31st December, 2005 is not applicable as the effect is anti-dilutive.