Hong Kong Exchanges and Clearing : Announcement of Unaudited Interim Results for the Six Months Ended 30 June 2019, Interim Dividend and Closure of Register of Members

China State Construction International Holdings Limited

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.

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 3311)

ANNOUNCEMENT OF UNAUDITED INTERIM RESULTS

FOR THE SIX MONTHS ENDED 30 JUNE 2019,

INTERIM DIVIDEND AND CLOSURE OF REGISTER OF MEMBERS

FINANCIAL HIGHLIGHTS

	Unaudited
	Six months ended 30 June
	2019	2018	Change
			%
RESULTS (HK$'000)
Revenue	27,542,500	27,105,613	1.6
Gross profit	4,352,163	4,104,799	6.0
Gross profit margin	15.8%	15.1%	4.6
Profit attributable to owners of the Company	2,861,645	2,522,320	13.5
FINANCIAL INFORMATION PER SHARE
Earnings - basic (HK cents)		49.96	13.5
56.68
Net assets (HK$)	9.01	7.83	15.1
INTERIM DIVIDEND

The Board declared an interim dividend of HK16.00 cents per share.

BANK BALANCES AND CASH

As at 30 June 2019, the Group had bank balances and cash of HK$21,035 million.

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China State Construction International Holdings Limited

The board of directors (the "Board") of China State Construction International Holdings Limited (the "Company") hereby announces the unaudited consolidated interim results of the Company and its subsidiaries (the "Group") for the six months ended 30 June 2019 together with the unaudited comparative figures for the corresponding period ended 30 June 2018 as follows:

UNAUDITED CONDENSED CONSOLIDATED INCOME STATEMENT

			Six months ended 30 June
			2019	2018
	Notes	HK$'000		HK$'000
Revenue	4			27,105,613
	27,542,500
Costs of sales			(23,190,337)		(23,000,814)
Gross profit			4,352,163	4,104,799
Investment income, other income and other
gains, net	6		315,908	280,528
Administrative, selling and other operating
expenses			(770,652)	(623,367)
Share of profits/(losses) of
Joint ventures			320,195	384,923
Associates			608,291	(11,816)
Finance costs			(1,104,213)		(838,598)
Profit before tax	7		3,721,692	3,296,469
Income tax expenses, net	8		(706,924)		(753,205)
Profit for the period			3,014,768	2,543,264
Profit for the period attributable to:
Owners of the Company			2,861,645	2,522,320
Holders of perpetual capital securities			124,095	-
Non-controlling interests			29,028		20,944
			3,014,768	2,543,264
Earnings per share (HK cents)	10
Basic			56.68		49.96
Diluted			56.68		49.96

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China State Construction International Holdings Limited

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

Six months ended 30 June

20192018

HK$'000 HK$'000

Profit for the period	3,014,768		2,543,264
Other comprehensive income/(loss)
Items that may be reclassified to consolidated income
statement
Gain/(loss) on fair value changes of debt securities at
fair value through other comprehensive income, net
of tax	16,955	(15,477)
Release of investment revaluation reserve to
consolidated income statement upon disposal of
debt securities at fair value through other
comprehensive income	5,506	(109)
Exchange differences on translation of subsidiaries	(12,608)	(431,228)
Exchange differences on translation of joint ventures	(4,971)	(155,163)
Exchange differences on translation of associates	(135)	(9,644)
Items that may not be reclassified to consolidated
income statement
Gain on fair value change of equity securities at fair
value through other comprehensive income, net of
tax	492	14,429
Other comprehensive income/(loss) for the period, net
of tax	5,239		(597,192)
Total comprehensive income for the period, net of tax	3,020,007	1,946,072
Total comprehensive income attributable to:
Owners of the Company	2,865,541	1,936,818
Holders of perpetual capital securities	124,095	-
Non-controlling interests	30,371		9,254
	3,020,007		1,946,072

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China State Construction International Holdings Limited

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

			30 June			31 December
			2019	2018
	Notes	HK$'000			HK$'000
			(unaudited)			(audited)
Non-current Assets
Property, plant and equipment			4,687,477	4,149,806
Investment properties			4,691,270	4,680,776
Interests in infrastructure project investments			4,137,846	3,680,414
Prepaid lease payments			-	367,032
Interests in joint ventures			12,170,227	11,709,355
Interests in associates			6,635,137	5,654,865
Concession operating rights			4,070,584	4,154,800
Deferred tax assets			157,295	198,830
Trademark, project backlogs and licenses			299,748	308,535
Goodwill			577,664	577,664
Financial assets at fair value through other
comprehensive income			538,148	505,416
Amounts due from investee companies			211,806	211,806
Trade and other receivables	11		40,174,824	38,047,727
Loans to joint ventures			993,593			1,612,397
			79,345,619	75,859,423
Current Assets
Interests in infrastructure project investments			60,235	45,811
Inventories			310,345	280,204
Properties under development			2,163,593	2,349,510
Properties held for sale			887,773	710,275
Contract assets			11,324,217	9,081,810
Trade and other receivables	11		25,755,890	25,321,390
Deposits and prepayments			294,675	265,530
Loans to joint ventures			333,821	338,024
Amounts due from joint ventures			4,968,806	3,781,326
Amount due from an associate			113,482	105,179
Tax recoverable			9,096	57,901
Bank balances and cash			21,035,490			17,925,708
			67,257,423			60,262,668

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China State Construction International Holdings Limited

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL

POSITION (continued)

		30 June		31 December
		2019	2018
	Notes	HK$'000		HK$'000
		(unaudited)		(audited)
Current Liabilities
Contract liabilities		7,222,581	9,027,486
Trade payables, other payables and accruals	12	39,043,341	36,714,715
Deposits received		35,099	38,802
Amount due to immediate holding company		1,000,325	-
Amounts due to joint ventures		1,313,287	1,064,099
Amount due to an associate		102,645	102,645
Current tax payables		4,015,039	3,885,617
Dividend payables		605,899	-
Borrowings	13	6,941,033	2,795,832
Lease liabilities		4,520	-
Obligations under finance leases		-		793
		60,283,769		53,629,989
Net Current Assets		6,973,654		6,632,679
Total Assets less Current Liabilities		86,319,273	82,492,102
Capital and Reserves
Share capital		126,229	126,229
Share premium and reserves		40,593,531		38,328,139
Equity attributable to owners of the Company		40,719,760	38,454,368
Perpetual capital securities		3,885,563	3,878,468
Non-controlling interests		865,143		745,414
		45,470,466	43,078,250
Non-current Liabilities
Borrowings	13	30,589,169	32,033,950
Guaranteed notes payables		6,213,477	6,210,963
Contract liabilities		796,440	740,010
Deferred tax liabilities		430,311	427,087
Lease liabilities		73,415	-
Loan from a joint venture		2,745,995	-
Obligations under finance leases		-		1,842
		40,848,807		39,413,852
		86,319,273	82,492,102

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