Water Oasis Group Limited — Earnings Release 2021

Apr 16, 2021

THE CONTENT OF THIS ANNOUNCEMENT HAS BEEN PUBLISHED USING EQUITY STOCK CODE (STOCK CODE: 00548) ON 16 APRIL 2021 AND IS NOW REPUBLISHED USING DEBT STOCK CODE (STOCK CODE: 05684) FOR THE DEBT HOLDERS’ INFORMATION

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.

==> picture [88 x 49] intentionally omitted <==

深圳高速公路股份有限公司

SHENZHEN EXPRESSWAY COMPANY LIMITED

(a joint stock limited company incorporated in the People's Republic of China with limited liability) (Stock Code: 00548)

POSITIVE PROFIT ALERT

This announcement is made by Shenzhen Expressway Company 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 under Part XIVA of the Securities and Futures Ordinance (Cap. 571 of the Laws of Hong Kong).

The board (the “Board”) of directors (the “Directors”) of the Company would like to inform the shareholders and potential investors of the Company that, based on the unaudited consolidated management accounts of the Group for the 3 months ended 31 March 2021 (the “First Quarter of 2021”) and the information currently available, the Group expects that the net profit attributable to owners of the Company for the First Quarter of 2021 will be approximately RMB547 million, and the net profit attributable to owners of the Company (net of non-recurring profit and loss items) will be approximately RMB533 million. For the same period in 2020, the net loss attributable to owners of the Company was approximately RMB133 million, and the net loss attributable to owners of the Company (net of non-recurring profit and loss items) was approximately RMB160 million.

The main reasons for such year-on-year change in the performance for the First Quarter of 2021 is because during the first quarter of 2020, the toll income from the Group’s operations and investments had dropped significantly due to combined factors including the COVID-19 epidemic (the “Epidemic”) and the toll free measure during the Spring Festival and Epidemic prevention and control period in the first quarter of 2020, whilst on the other hand the operating costs of the expressway business continued to remain at normal level, resulting in a loss of the Group for the first quarter of 2020.

• 1 -

Pursuant to the unified request of the Ministry of Transport, the toll highways operated and invested by the Group have resumed toll collection from 0:00 on 6 May 2020, and the toll highway business of the Group has resumed normal operation. Accordingly, the Group had recorded a profit instead of loss since the second quarter of 2020. Moreover, the operations of Group’s other businesses such as its general environmental protection business have also been carried out well and contributed positive income to the Group.

The information contained in this announcement should not be deemed as a basis to predict the Group’s financial performance for the whole year of 2021.

The information contained in this announcement in relation to the First Quarter of 2021 is based on a preliminary assessment by the management of the Company with reference to the information currently available to the Company. Such information has not been audited or reviewed by the independent auditors of the Company. The Company’s unaudited consolidated financial results for the First Quarter of 2021 is expected to be announced on 28 April 2021, and the information therein may differ from those contained in this announcement. The actual and accurate financial information shall be subject to the 2021 first quarterly report to be announced by the Company.

Shareholders and potential investors of the Company are advised to exercise caution when dealing in the shares of the Company.

By Order of the Board Gong Tao Tao Joint Company Secretary

Shenzhen, the PRC, 16 April 2021

As at the date of this announcement, the Directors of the Company are Mr. HU Wei (Executive Director and Chairman of the Board), Mr. LIAO Xiang Wen (Executive Director and President), Mr. WANG Zeng Jin (Executive Director), Mr. WEN Liang (Executive Director), Mr. DAI Jing Ming (Non-executive Director), Ms. LI Xiao Yan (Non-executive Director), Ms. CHEN Hai Shan (Non-executive Director), Ms. CHEN Xiao Lu (Independent non-executive Director), Mr. BAI Hua (Independent non-executive Director) and Mr. LI Fei Long (Independent nonexecutive Director).

• 2 -