China Environmental Resources : INTERIM RESULTS ANNOUNCEMENT FOR THE SIX MONTHS ENDED 31 DECEMBER 2021

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CHINA ENVIRONMENTAL RESOURCES GROUP LIMITED

中 國 環 境 資 源 集 團 有 限 公 司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 1130)

INTERIM RESULTS ANNOUNCEMENT

FOR THE SIX MONTHS ENDED 31 DECEMBER 2021

FINANCIAL RESULTS

The board of directors (the "Board") of China Environmental Resources Group Limited (the "Company") announces the unaudited condensed consolidated interim results of the Company and its subsidiaries (collectively referred to as the "Group") for the six months ended 31 December 2021 together with the comparative figures for the corresponding period in 2020. The interim financial statements have not been audited, but have been reviewed by the audit committee and auditor of the Company.

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CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

For the six months ended 31 December 2021

		Six months ended
		31 December
		2021			2020
	Notes	HK$'000	HK$'000
		(Unaudited)	(Unaudited)
Revenue	5	39,460			34,151
Cost of sales		(29,599)	(24,743)
Gross profit		9,861			9,408
Other income		4,217			3,496
Administrative and operating expenses		(19,091)	(20,457)
Fair value loss on investment properties		(3,267)	(1,031)
Gain/(loss) arising from changes in fair value less
costs to sell of biological assets		3,756			(334)
Net gain/(loss) on fair value changes in
investments
at fair value through profit or loss		207			(106)
Provision for impairment loss of intangible assets		-	(2,900)
Reversal of provision/(provision) for impairment
loss of receivables		300			(119)
Loss from operations		(4,017)	(12,043)
Finance costs	6	(1,779)	(1,056)
Loss before tax		(5,796)	(13,099)
Income tax (expense)/credit	7	(618)	186
Loss for the period		(6,414)	(12,913)
Other comprehensive income after tax:
Item that may be reclassified to profit or loss:
Exchange differences on translation of foreign
operations		6,867			26,762
Other comprehensive income for the period,
net of tax		6,867			26,762
Total comprehensive income for the period		453			13,849

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		Six months ended
		31 December
		2021		2020
	Notes	HK$'000	HK$'000
		(Unaudited)	(Unaudited)
Loss for the period attributable to:
Owners of the Company		(7,809)	(13,626)
Non-controlling interests		1,395		713
		(6,414)	(12,913)
Total comprehensive (loss)/income for the period
attributable to:
Owners of the Company		(1,131)	12,395
Non-controlling interests		1,584		1,454
		453		13,849
Loss per share	8
Basic (HK cents per share)		(0.38)	(0.67)
Diluted (HK cents per share)		(0.38)	(0.67)

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CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

As at 31 December 2021

			As at		As at
		31 December		30 June
		2021	2021
	Notes		HK$'000		HK$'000
			(Unaudited)		(Audited)
Non-current assets
Property, plant and equipment	10	7,848	7,740
Right-of-use assets		39,304	21,716
Investment properties		265,762	267,534
Biological assets		273,399	264,209
Intangible assets		89,074	89,893
Goodwill		1,087	1,087
Investments at fair value through profit or loss		17,661	17,203
Loans receivable	12	84		-
		694,219	669,382
Current assets
Inventories		28,154	25,264
Trade and other receivables	11	58,873	60,728
Loans receivable	12	12,766	12,142
Investments at fair value through profit or loss		3,877	1,129
Refundable secured deposit	13	11,000	12,000
Bank and cash balances		3,763	19,005
		118,433	130,268
Current liabilities
Trade and other payables	14	29,864	32,987
Contract liabilities		8,435	6,700
Lease liabilities		4,896	10,948
Borrowings		69,734	71,787
Current tax liabilities		468	2,867
		113,397	125,289
Net current assets		5,036	4,979
Total assets less current liabilities		699,255	674,361

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		As at		As at
	31 December		30 June
	2021	2021
Notes		HK$'000		HK$'000
		(Unaudited)		(Audited)
Non-current liabilities
Lease liabilities	47,766	26,600
Other non-current payables	1,174		-
Deferred tax liabilities	90,161	88,060
	139,101	114,660
NET ASSETS	560,154	559,701
Capital and reserves
Share capital	40,731	40,731
Reserves	507,233	508,364
Equity attributable to owners of the Company	547,964	549,095
Non-controlling interests	12,190	10,606
TOTAL EQUITY	560,154	559,701

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