Leeport () : Announces 2019 Interim Results (in PDF)

To: Business Editors

For Immediate Release

Leeport (Holdings) Limited Announces 2019 Interim Results

• Sales in the 1st half of 2019 decreased by 11.7% to HK$379,751,000 (1st half 2018: HK$430,297,000)
• Loss attributable to owners of the company amounted to HK$6,241,000 in the 1st half of 2019 (1st half of 2018: profit attributable to owners of the company HK$17,243,000)
• No dividend is recommended (1st half of 2018: HK3.0 cents)

(Hong Kong, 6 August 2019) Leeport (Holdings) Limited ("Leeport" or the "Group") (Stock Code: 387), which is principally engaged in the distribution of advanced manufacturing equipment and precision tools for the manufacturing industry, today announced its interim results for the six months ended 30 June 2019.

The Group's sales amounted to HK$379,751,000 (2018: HK$430,297,000), representing a decrease of 11.7% compared with the same period last year. The loss attributable to owners of the company was HK$6,241,000 (2018: profit attributable to owners of the company HK$17,243,000).

The basic loss per share was HK2.71 cents in the first half of 2019, compared with the basic earnings per share of HK7.49 cents in the same period last year.

The Directors recommended no dividend declaration (2018: HK3.0 cents per ordinary share).

Due to the uncertain global economy and the trade war between China and the U.S. since the middle of 2018, the Group's business in equipment and measuring instrument sales in the first half of 2019 was adversely affected. The total value of contracts signed in the first half of 2019 was HK$312,289,000 compared with HK$473,069,000 in the same period last year, representing a decrease of 34.0%. The share of post-tax profits of associates in the first half of 2019 was HK$4,884,000, compared with HK$10,049,000 in the same period last year, representing a decrease of 51.4%.

香港葵涌大連排道 152-160 號金龍工業中心第一期一樓

1/F., Block 1, Golden Dragon Industrial Centre, 152-160 Tai Lin Pai Road, Kwai Chung, NT, Hong Kong

Tel: [phone] Fax: [phone] [e-mail] www.leeport.com.hk

Mr. Joseph Lee, Chairman and Group CEO of Leeport (Holdings) Limited, commented, "The Group's business in China has faced significant challenges since the end of 2018. Both of the major customer segments of the Group's business, i.e., the automotive industry and mobile phone manufacturing, recorded a significant reduction in production volume in the first half of 2019. The Group's automation business in Germany also faced uncertain economic situation, and business was fairly poor in the first half of 2019."

"In the first half of 2019, most of the Group's business divisions faced a drop in the number of orders received. The weakening orders for equipment and measuring instruments were an indication of the reluctance by manufacturers in China to make capital investments. The business for the Group's cutting tools and assembly tools divisions recorded a slight increase in the first half of 2019, indicating that production is still active. The Group's sheetmetal machinery business recorded a significant increase in sales, which was attributable to some infrastructure projects in China. Given the current unfavourable market situation, the Group must cut costs and develop sales strategies to win more orders. We expect that business will improve in the second half of 2019," concluded Mr. Lee.

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About Leeport (Holdings) Limited (Stock Code: 387)

Established in 1967, Leeport is principally engaged in the trading and installation of machine tools, measuring instruments, cutting tools, assembly tools, as well as equipment for the electronics industry. Over the years, Leeport has established long-term relationships with reputable leading global suppliers to provide a wide range of products and services. Leeport is committed to supplying advanced equipment and manufacturing solutions and providing quality customer services.

For enquiries, please contact:

Ms Jennie Lau / Ms Capper Ngan

Tel: [phone]

Fax: [phone]

Email: [e-mail]/ [e-mail]

香港葵涌大連排道 152-160 號金龍工業中心第一期一樓

1/F., Block 1, Golden Dragon Industrial Centre, 152-160 Tai Lin Pai Road, Kwai Chung, NT, Hong Kong

Tel: [phone] Fax: [phone] [e-mail] www.leeport.com.hk