SHK Hong Kong Industries : Announcement of 2018 Audited Results

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

(Incorporated in Hong Kong with limited liability)

(Stock Code: 666)

ANNOUNCEMENT OF 2018 AUDITED RESULTS

RESULTS

The board of directors (the "Board") of SHK Hong Kong Industries Limited (the "Company") announces that the audited consolidated results of the Company and its subsidiaries (the "Group") for the year ended 31st December, 2018 are as follows:

CONSOLIDATED STATEMENT OF PROFIT OR LOSS For the year ended 31st December, 2018

2018	2017
Notes	HK$'000	HK$'000
Revenue	3	28,128	23,756
Other net (loss)/income	4	(36,493)	175,889
Administrative and other operating expenses	5	(28,434)	(31,998)
Share of loss of associates	(104)	(975)
(Loss)/profit before income tax	5	(36,903)	166,672
Income tax expense	6	-	-
(Loss)/profit for the year	(36,903)	166,672
(Loss)/profit for the year attributable to:
Owners of the Company	(43,567)	166,667
Non-controlling interests	6,664	5
(36,903)	166,672
(Loss)/earnings per share attributable to
the owners of the Company (HK cents)	8
- Basic	(1.06)	4.05
- Diluted	(1.06)	4.05
Turnover - gross proceeds and revenue	3	731,400	722,628

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

For the year ended 31st December, 2018

2018	2017
HK$'000	HK$'000
(Loss)/profit for the year	(36,903)	166,672
Other comprehensive (expenses)/income
Items that may be reclassified subsequently to profit or loss:
Change in fair value of financial assets at fair value
through other comprehensive income ("FVOCI")	(2,060)	-
Reclassification adjustment for realisation upon
redemption of financial assets at FVOCI	(2,994)	-
Reclassification adjustment for realisation upon
disposal of an associate	(19)	-
Change in fair value of available-for-sale financial assets	-	18,431
Reclassification adjustment for realisation upon
redemption of available-for-sale financial assets	-	2,952
Share of other comprehensive income of an associate	-	228
Other comprehensive (expenses)/income for the year, net of tax	(5,073)	21,611
Total comprehensive (expenses)/income for the year	(41,976)	188,283
Total comprehensive (expenses)/income
for the year attributable to:
Owners of the Company	(48,640)	188,179
Non-controlling interests	6,664	104
(41,976)	188,283

CONSOLIDATED STATEMENT OF FINANCIAL POSITION As at 31st December, 2018

2018	2017
Notes	HK$'000	HK$'000
ASSETS AND LIABILITIES
Non-current assets
Interests in associates	808	3,133
Amount due from an associate	9,736	9,564
Financial assets at FVOCI	9	102,869	-
Financial assets at fair value through profit or loss
("FVPL")	10	157,555	-
Available-for-sale financial assets	11	-	217,551
270,968	230,248
Current assets
Available-for-sale financial assets	11	-	86,564
Other receivables and prepayment	489	162
Financial assets at FVPL	10	464,035	584,734
Cash and cash equivalents	387,053	464,208
851,577	1,135,668
Current liabilities
Trade and other payables and accrued expenses	12	19,334	9,715
Amount due to a holding company	341	341
Amount due to a fellow subsidiary	4,575	7,462
Financial liabilities at FVPL	13	-	4,921
24,250	22,439
Net current assets	827,327	1,113,229
Total assets less current liabilities	1,098,295	1,343,477
Net assets	1,098,295	1,343,477

CONSOLIDATED STATEMENT OF FINANCIAL POSITION (Cont'd)

As at 31st December, 2018

2018	2017
Notes	HK$'000	HK$'000
EQUITY
Equity attributable to the owners of the Company
Share capital	918,978	918,978
Reserves	171,635	423,481
1,090,613	1,342,459
Non-controlling interests	7,682	1,018
Total equity	1,098,295	1,343,477
Net asset value per share attributable to
the owners of the Company (HK$)	14	0.27	0.33

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY For the year ended 31st December, 2018

Non-
controlling	Total
interests	equity
Capital	Investment
Share	contribution	revaluation	Translation	Retained	Dividend
capital	reserve	reserve	reserve	earnings	reserve	Total
HK$'000	HK$'000	HK$'000	HK$'000	HK$'000	HK$'000	HK$'000	HK$'000	HK$'000
At 1st January, 2017	918,978	367	23,618	(110)	211,427	-	1,154,280	914	1,155,194
Profit for the year	-	-	-	-	166,667	-	166,667	5	166,672
Other comprehensive income	-	-	21,383	129	-	-	21,512	99	21,611
Total comprehensive income for the year	-	-	21,383	129	166,667	-	188,179	104	188,283
Interim dividend declared	-	-	-	-	(205,585)	205,585	-	-	-
At 31st December, 2017 and 1st January, 2018	918,978	367#	45,001#	19#	172,509#	205,585#	1,342,459	1,018	1,343,477
Impact on initial application HKFRS 9	-	-	(41,489)	-	43,868	-	2,379	-	2,379
Adjusted balance at 1st January, 2018	918,978	367	3,512	19	216,377	205,585	1,344,838	1,018	1,345,856
Loss for the year	-	-	-	-	(43,567)	-	(43,567)	6,664	(36,903)
Other comprehensive expenses	-	-	(5,054)	(19)	-	-	(5,073)	-	(5,073)
Total comprehensive (expenses)/income
for the year	-	-	(5,054)	(19)	(43,567)	-	(48,640)	6,664	(41,976)
Interim dividend paid	-	-	-	-	-	(205,585)	(205,585)	-	(205,585)
At 31st December, 2018	918,978	367#	(1,542)#	-	172,810#	-	1,090,613	7,682	1,098,295

Equity attributable to the owners of the Company

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The aggregate amount of these balances of HK$171,635,000 (2017: HK$423,481,000) represents the reserves in the consolidated statement of financial position.