China Gem : FINAL RESULTS ANNOUNCEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

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China Gem Holdings Limited

中 國 中 石 控 股 有 限 公 司

(Incorporated in Bermuda with limited liability)

(Stock Code: 1191)

FINAL RESULTS ANNOUNCEMENT

FOR THE YEAR ENDED 31 DECEMBER 2020

The board (the "Board") of directors (the "Directors") of China Gem Holdings Limited (the "Company") announces the audited consolidated results of the Company and its subsidiaries (collectively referred to as the "Group") for the year ended 31 December

2020 together with comparative figures for the year ended 31 December 2019 as follows:

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

For the year ended 31 December 2020

		2020		2019
	Notes	HK$'000	HK$'000
Revenue	5	19,985		103,938
Other income, net	6	65		1,274
Administrative expenses		(28,987)	(41,954)
Other operating expenses		(3,958)	(2,754)
Fair value (losses) gains on investment properties		(731)	22,890
Fair value losses on financial assets at fair value		(409,314)
through profit or loss		(137,195)
Expected credit loss on financial assets		(117,022)	(279,619)
Finance costs		(92,431)	(57,743)
Loss before income tax	7	(632,393)	(391,163)
Income tax credits (expenses)	8	152		(11,352)
Loss for the year		(632,241)	(402,515)

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		2020			2019
	Notes	HK$'000	HK$'000
Other comprehensive income (expenses) for the year,
net of tax
Item that may be reclassified subsequently to profit
or loss
Exchanges differences on translation of foreign		827
operations				(223)
Total comprehensive expenses for the year		(631,414)	(402,738)
Loss for the year attributable to:
- Owners of the Company		(632,240)	(402,514)
- Non-controlling interests		(1)	(1)
		(632,241)	(402,515)
Total comprehensive expenses for the year
attributable to:
- Owners of the Company		(631,413)	(402,737)
- Non-controlling interests		(1)	(1)
		(631,414)	(402,738)
Loss per share:		HK cents	HK cents
	(14.9)
Basic and diluted	9	(9.6)

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CONSOLIDATED STATEMENT OF FINANCIAL POSITION

As at 31 December 2020

		2020	2019
	Notes	HK$'000		HK$'000
Non-current assets
Property, plant and equipment		3,047	9,121
Investment properties		244,845	231,487
Intangible assets		-		-
Total non-current assets		247,892	240,608
Current assets
Properties held for sale		1,671	5,629
Properties under development		31,431	31,431
Loan receivables	11	34,127	113,770
Trade and other receivables	12	20,823	60,166
Deposits and prepayments		2,375	2,211
Financial assets at fair value through profit or loss	13	90,591	499,905
Cash and cash equivalents		5	1,439
Total current assets		181,023	714,551
Current liabilities
Trade and other payables	14	43,865	39,319
Accruals	15	230,787	127,943
Lease liabilities	19	-	4,049
Loan from a former shareholder	16	49,598	49,598
Other borrowings	17	419,933	418,412
Senior notes	18	179,967	179,967
Total current liabilities		924,150	819,288
Net current liabilities		(743,127)	(104,737)
Total assets less current liabilities		(495,235)	135,871

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		2020	2019
	Notes	HK$'000		HK$'000
Non-current liabilities		-
Lease liabilities	19	2,136
Deferred tax liabilities		39,849	37,405
Total non-current liabilities		39,849	39,541
NET (LIABILITIES) ASSETS		(535,084)	96,330
Capital and reserves
Share capital		42,500	42,500
Reserves		(582,474)	48,939
Equity attributable to owners of the Company		(539,974)	91,439
Non-controlling interests		4,890	4,891
TOTAL (DEFICIT) EQUITY		(535,084)	96,330

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 December 2020

1. GENERAL
   China Gem Holdings Limited (the "Company", together with its subsidiaries, the "Group") was incorporated in Bermuda on 29 June 1994 as an exempted company with limited liability and its shares are listed on The Stock Exchange of Hong Kong Limited (the "Stock Exchange"). The registered office of the Company is located at Clarendon House, 2 Church Street, Hamilton, HM11, Bermuda. The principal place of business of the Company is Unit 13B, 13/F., Gaylord Commercial Building, 114 Lockhart Road, Wanchai, Hong Kong.
2. CHANGES IN ACCOUNTING POLICIES
3. 1. HKFRSs that are first effective for the current accounting period
      The HKICPA has issued the following amendments to HKFRSs that are first effective for the current accounting period of the Group:
   2. • Amendments to HKFRS 3, Definition of a Business
      • Amendments to HKFRS 9, HKAS 39 and HKFRS 7, Interest Rate Benchmark Reform
      • Amendments to HKAS 1 and HKAS 8, Definition of Material

None of these developments have had a material effect on how the Group's results and financial position for the current or prior periods have been prepared or presented. The Group has not applied any new standard or interpretation that is not yet effective for the current accounting period.

1. New/revised HKFRSs that have been issued but are not yet effective

Up to the date of issue of the financial statements, the HKICPA has issued a number of amendments, and a new standard, HKFRS 17, Insurance contracts, which are not yet effective for the year ended 31 December 2020 and which have not been adopted in the financial statements. These developments include the following which may be relevant to the Group.

Amendments to HKFRS 3	Reference to the Conceptual Framework1
Amendments to HKAS 16	Property, Plant and Equipment: Proceeds before
	Intended Use1
Amendments to HKAS 37	Onerous Contracts - Cost of Fulfilling a Contract1
Annual Improvements to
HKFRSs 2018-2020 Cycle1

1. Effective for annual periods beginning on or after 1 January 2022

The directors of the Company (the "Directors") anticipate that the application of these new and revised HKFRSs will have no material impact on the Group's consolidated financial statements in the foreseeable future.

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