Evergreen International : Announcement - ANNOUNCEMENT OF INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 JUNE 2019

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EVERGREEN INTERNATIONAL HOLDINGS LIMITED

長 興 國 際（ 集 團 ）控 股 有 限 公 司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 238)

ANNOUNCEMENT OF INTERIM RESULTS

FOR THE SIX MONTHS ENDED 30 JUNE 2019

FINANCIAL HIGHLIGHTS
	Six months ended 30 June
	2019	2018	Change
	RMB' million	RMB' million	%
Revenue	103.0	144.6	-28.8
Gross profit	55.0	79.9	-31.2
Loss attributable to ordinary equity
holders of the Company	(40.2)	(51.4)	-21.8
Basic and diluted loss per share (RMB cents)	(4.2)	(5.4)	-22.2
Gross profit margin	53.4%	55.2%
Net loss margin	(39.0)%	(35.6)%
Effective tax rate	(2.3)%	6.8%
	As at	As at
	30 June	31 December
	2019	2018
Inventory turnover days	426	379
Trade receivables turnover days	95	92
Trade payables turnover days	82	61

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The board (the "Board") of directors (the "Directors") of Evergreen International Holdings Limited (the "Company") is pleased to announce the unaudited consolidated results of the Company and its subsidiaries (collectively the "Group") for the six months ended 30 June

2019 together with the comparative figures for the same period of last year, as follows:

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS

For the six months ended 30 June 2019

		Six months ended 30 June
		2019			2018
	Notes	RMB'000	RMB'000
		(Unaudited)	(Unaudited)
REVENUE	4	102,996			144,606
Cost of sales		(48,016)	(64,734)
Gross profit		54,980		79,872
Other income and gains	5	9,263		6,127
Selling and distribution expenses		(71,879)	(89,962)
Administrative expenses		(21,998)	(26,087)
Other expenses		2,218		(13,056)
Finance costs	7	(11,830)	(12,109)
LOSS BEFORE TAX	6	(39,246)	(55,215)
Income tax (expense)/credit	8	(908)	3,782
LOSS ATTRIBUTABLE TO ORDINARY
EQUITY HOLDERS OF THE COMPANY		(40,154)	(51,433)

LOSS PER SHARE ATTRIBUTABLE TO

• ORDINARY EQUITY HOLDERS OF
• THE COMPANY

Basic and diluted	9	RMB(4.2) centsRMB(5.4) cents

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UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

For the six months ended 30 June 2019

Six months ended 30 June

20192018

RMB'000 RMB'000

(Unaudited) (Unaudited)

LOSS ATTRIBUTABLE TO ORDINARY EQUITY
HOLDERS OF THE COMPANY	(40,154)	(51,433)

OTHER COMPREHENSIVE (LOSS)/INCOME

Other comprehensive loss that may be

• reclassified to profit or loss in subsequent periods:
• Exchange differences on translation of operations

	outside Mainland China	(2,282)	(5,216)
Net other comprehensive loss that may be reclassified to
	profit or loss in subsequent periods	(2,282)	(5,216)

Other comprehensive income that will not be reclassified

• to profit or loss in subsequent periods:
• Equity investments designated at fair value through
• other comprehensive income:

	Changes in fair value	1,147		639
	Income tax effect	(287)	-
		860		639
Gains on property revaluation	-	77,626
	Income tax effect	-	(19,406)
		-	58,220
Net other comprehensive income that will not to be
reclassified to profit or loss in subsequent periods	860		58,859
OTHER COMPREHENSIVE (LOSS)/INCOME FOR
THE PERIOD, NET OF TAX	(1,422)	53,643
TOTAL COMPREHENSIVE (LOSS)/INCOME FOR
	THE PERIOD	(41,576)	2,210

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UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

30 June 2019

		30 June	31 December
		2019		2018
	Notes	RMB'000	RMB'000
		(Unaudited)	(Audited)
NON-CURRENT ASSETS
Property, plant and equipment		101,788		106,434
Investment properties		329,854		329,854
Right-of-use assets		110,361		-
Prepaid land lease payment		-	44,162
Other intangible asset		4,047		4,031
Long term lease prepayment		-	61,016
Equity investments designated at fair value
through other comprehensive income		-	27,830
Financial asset at fair value through profit or loss		-	-
Total non-current assets		546,050		573,327
CURRENT ASSETS
Equity investments designated at fair value
through other comprehensive income		28,977		-
Inventories	11	113,789	112,474
Trade receivables	12	45,110	63,342
Prepayments, other receivables and other assets		32,699	27,163
Time deposits		350,000	-
Cash and cash equivalents		84,196	458,681
Total current assets		654,771		661,660
CURRENT LIABILITIES
Trade payables	13	16,707	26,768
Other payables and accruals		52,064	63,764
Interest-bearing bank and other borrowings		165,958	119,018
Amount due to the ultimate holding company		78,017	87,472
Tax payable		2,096	1,799
Total current liabilities		314,842		298,821
NET CURRENT ASSETS		339,929		362,839
TOTAL ASSETS LESS CURRENT
LIABILITIES		885,979		936,166

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	30 June	31 December
	2019	2018
	RMB'000	RMB'000
	(Unaudited)	(Audited)
TOTAL ASSETS LESS CURRENT
LIABILITIES	885,979		936,166
NON-CURRENT LIABILITIES
Interest-bearing bank and other borrowings	108,338		117,825
Deferred tax liabilities	24,481		23,605
Total non-current liabilities	132,819		141,430
Net assets	753,160		794,736
EQUITY
Equity attributable to ordinary equity
holders of the Company
Share capital	829		829
Reserves	752,331		793,907
Total equity	753,160		794,736

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