China Conch Venture : Announcement Of Interim Results For The Six Months Ended 30 June 2021

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China Conch Venture Holdings Limited

中 國 海 螺 創 業 控 股 有 限 公 司

(Incorporated in the Cayman Islands with limited liability)

(Stock code: 586)

ANNOUNCEMENT OF

INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 JUNE 2021

HIGHLIGHTS

• Revenue of the Group for the six months ended 30 June 2021 amounted to approximately RMB3,879.41 million, representing an increase of 37.72% as compared with the corresponding period of the previous year.
• Net profit attributable to equity shareholders of the Group for the six months ended 30 June 2021 amounted to approximately RMB3,476,78 million, representing an increase of 0.24% as compared with the corresponding period of the previous year; and net profit of our principal activities attributable to equity shareholders of the Group (excluding share of profits of associates attributable to equity shareholders) amounted to approximately RMB733.40 million, representing an increase of 31.38% as compared with the corresponding period of the previous year.
• Basic earnings per share for the six months ended 30 June 2021 amounted to RMB1.93.
• The Board has resolved not to declare any interim dividend for the six months ended 30 June 2021.

The board (the "Board") of directors (the "Directors") of China Conch Venture Holdings Limited (the "Company") hereby presents the unaudited results of operation and financial position for the six months ended 30 June 2021 (the "Reporting Period") of the Company and its subsidiaries (the "Group").

The unaudited consolidated financial statements of the Group for the six months ended 30 June 2021 have been approved by the Board and reviewed by the audit committee of the Board (the "Audit Committee").

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CONSOLIDATED STATEMENT OF PROFIT OR LOSS for the six months ended 30 June 2021 - unaudited (Expressed in Renminbi Yuan)

			Six months ended 30 June
			2021		2020
		Note	RMB'000	RMB'000
Revenue	3	3,879,414		2,816,978
Cost of sales		(2,611,199)	(1,884,415)
Gross profit		1,268,215		932,563
Other income	4	103,423		122,248
Distribution costs		(71,356)	(49,681)
Administrative expenses		(219,838)	(148,943)
Profit from operations		1,080,444		856,187
Finance costs	5(a)	(152,616)	(108,421)
Share of profits of associates	8	2,746,808		2,910,247
Profit before taxation	5	3,674,636		3,658,013
Income tax	6	(131,427)	(119,470)
Profit for the period		3,543,209		3,538,543
Attributable to:
- Equity shareholders of the Company		3,476,780		3,468,485
- Non-controlling interests		66,429		70,058
Profit for the period		3,543,209		3,538,543
Earnings per share	7
	- Basic (RMB)		1.93		1.92
	- Diluted (RMB)		1.85		1.85

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CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

for the six months ended 30 June 2021 - unaudited (Expressed in Renminbi Yuan)

Six months ended 30 June

2021 2020

RMB'000 RMB'000

Profit for the period	3,543,209	3,538,543
Other comprehensive income for the period
(after tax and reclassification adjustments)
Items that will not be reclassified to profit or loss:
Share of other comprehensive income of
associates, net of tax	(10,016)	20,002

Items that may be reclassified subsequently to

	profit or loss:
Share of other comprehensive income of
associates, net of tax	(18,697)	(3,314)
Exchange differences on translation of financial
statements of overseas subsidiaries	25,834		(26,597)
Other comprehensive income for the period	(2,879)	(9,909)
Total comprehensive income for the period	3,540,330		3,528,634
Attributable to:
Equity shareholders of the Company	3,473,901		3,458,576
	Non-controlling interests	66,429		70,058
Total comprehensive income for the period	3,540,330		3,528,634

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CONSOLIDATED STATEMENT OF FINANCIAL POSITION at 30 June 2021 - unaudited

(Expressed in Renminbi Yuan)

			At		At
			30 June		31 December
			2021	2020
		Note	RMB'000		RMB'000
Non-current assets		4,851,715
Property, plant and equipment		3,714,696
Right-of-use assets		710,612	590,650
Intangible assets		7,792,968	6,366,195
Goodwill		5,815		-
Interests in associates	8	32,396,023	31,085,116
Non-current portion of service concession assets	9	5,497,360	4,945,952
Non-current portion of trade and other receivables	10	1,337,491	1,073,404
Financial assets measured at fair value through		82,500
profit and loss ("FVPL")		82,500
Deferred tax assets		66,842	63,093
			52,741,326	47,921,606
Current assets
Financial assets measured at fair value through		14,571
profit and loss ("FVPL")		13,239
Inventories		359,803	269,957
Service concession assets	9	194,352	137,088
Trade and other receivables	10	3,387,960	1,908,676
Restricted bank deposits		73,935	44,767
Bank deposits with original maturity		971,680
	over three months		681,700
Cash and cash equivalents		3,377,601	3,350,539
			8,379,902	6,405,966
Current liabilities		1,113,100
Bank loans		1,282,264
Trade and other payables	11	4,596,480	4,201,641
Contract liabilities		73,622	62,153
Lease liabilities		2,061	2,652
Dividends payable to equity shareholders		1,054,182
	of the Company	13		-
Income tax payables		203,701	139,028
			7,043,146	5,687,738
Net current assets		1,336,756	718,228
Total assets less current liabilities		54,078,082	48,639,834
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CONSOLIDATED STATEMENT OF FINANCIAL POSITION (Continued)

at 30 June 2021 - unaudited (Expressed in Renminbi Yuan)

		At		At
		30 June		31 December
		2021	2020
	Note	RMB'000		RMB'000
Non-current liabilities
Bank loans		8,046,540	5,124,458
Convertible bonds	12	3,487,367	3,470,110
Lease liabilities		3,936	397
Deferred tax liabilities		10,903	67,690
		11,548,746	8,662,655
Net assets		42,529,336	39,977,179
Capital and reserves
Share capital		14,530	14,347
Reserves		41,201,809	38,550,638
Equity attributable to equity shareholders
of the Company		41,216,339	38,564,985
Non-controlling interests		1,312,997	1,412,194
Total equity		42,529,336	39,977,179

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