Top Spring International : Annoucement- Announcement of Interim Results for the Six months ended 30 June 2020

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TOP SPRING INTERNATIONAL HOLDINGS LIMITED

萊 蒙 國 際 集 團 有 限 公 司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 03688)

ANNOUNCEMENT OF INTERIM RESULTS

FOR THE SIX MONTHS ENDED 30 JUNE 2020

HIGHLIGHTS

• For the six months ended 30 June 2020, the Group recorded an aggregate of pre- sales of properties and car park units of approximately HK$33.6 million, representing a decrease of approximately 55.7% as compared with the corresponding period of 2019, of which approximately HK$30.8 million was from pre-sales of properties with pre-sold saleable GFA of approximately 2,176 sq.m. and approximately HK$2.8 million was from pre-sales of 22 car park units. The ASP of the Group's pre-sales of properties was approximately HK$14,154.4 per sq.m., representing an increase of approximately 5.8% as compared with the corresponding period of 2019.
• As at 30 June 2020, the Group had 22 projects across 11 cities with a total estimated net saleable/leasable GFA of approximately 516,132 sq.m..
• Revenue for the six months ended 30 June 2020 decreased by approximately 9.5% to approximately HK$254.0 million from approximately HK$280.7 million for the six months ended 30 June 2019.

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• For the six months ended 30 June 2020, the Group generated recurring rental income of approximately HK$101.8 million (for the six months ended 30 June 2019: approximately HK$135.3 million) from its investment properties which mainly comprised shopping malls, community commercial centres, retail shops, serviced apartments and car park units. As at 30 June 2020, the investment property portfolio (inclusive of investment properties classified as held for sale) had a total leasable GFA of approximately 244,874 sq.m. and a fair value of approximately HK$6,350.9 million, representing approximately 25.9% of the Group's total asset value.
• Gross profit margin for the six months ended 30 June 2020 was approximately 52.1%, as compared with approximately 60.4% for the corresponding period of 2019.
• For the six months ended 30 June 2020, the loss attributable to equity shareholders of the Company and holders of bonus perpetual subordinated convertible securities ("PCSs") was approximately HK$211.4 million (for the six months ended 30 June 2019: approximately HK$168.0 million).
• Basic loss per Share and diluted loss per Share attributable to equity shareholders of the Company and the holders of PCSs for the six months ended 30 June 2020 were approximately HK$0.14 and HK$0.14, respectively (for the six months ended 30 June 2019: HK$0.11 and HK$0.11, respectively).
• Net assets per Share attributable to equity shareholders of the Company and the holders of PCSs as at 30 June 2020 was approximately HK$6.0 (as at 31 December 2019: approximately HK$6.3).
• As at 30 June 2020, the net gearing ratio of the Group was approximately 64.4% (as at 31 December 2019: approximately 50.0%)
• No interim dividend is declared for the six months ended 30 June 2020.

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INTERIM RESULTS

The board (the "Board") of directors (the "Directors" and each a "Director") of Top Spring International Holdings Limited (the "Company") is pleased to announce the unaudited consolidated interim results of the Company and its subsidiaries (collectively, the "Group") for the six months ended 30 June 2020 as follows:

CONSOLIDATED STATEMENT OF PROFIT OR LOSS

FOR THE SIX MONTHS ENDED 30 JUNE 2020 - UNAUDITED

(Expressed in Hong Kong dollars)

		Six months ended 30 June
		2020					2019
	Note	$'000	$'000
Revenue	3	254,026					280,717
Direct costs		(121,697)	(111,241)
Gross profit		132,329		169,476
Valuation (losses)/gains on investment properties		(114,497)	58,758
Other revenue	4	70,492	88,633
Other net income	5	12,936	19,148
Selling and marketing expenses		(18,658)	(8,965)
Administrative expenses		(162,315)	(208,516)
Impairment loss on trade and other receivables		(10,006)	(14,923)
(Loss)/profit from operations		(89,719)	103,611
Finance costs	6(a)	(156,659)	(180,529)
Share of losses of associates		(1,012)	(648)
Share of losses of joint ventures		(6,767)	(13,274)
Loss before taxation	6	(254,157)	(90,840)
Income tax	7	19,384					(68,284)
Loss for the period		(234,773)	(159,124)
Attributable to:
Equity shareholders of the Company and holders		(211,393)
of PCSs		(168,012)
Non-controlling interests		(23,380)	8,888
Loss for the period		(234,773)	(159,124)
Loss per share (HK$)	8
Basic		(0.14)	(0.11)
Diluted		(0.14)	(0.11)
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CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

FOR THE SIX MONTHS ENDED 30 JUNE 2020 - UNAUDITED

(Expressed in Hong Kong dollars)

	Six months ended 30 June
	2020			2019
	$'000	$'000
Loss for the period	(234,773)	(159,124)
Other comprehensive income for the period
(after tax and reclassification adjustments):
Items that may be reclassified subsequently to
profit or loss:
- Exchange differences on translation of
financial statements of foreign subsidiaries	(192,796)	(18,113)
- Share of other comprehensive income of
associates and joint ventures	(9,353)	(4,403)
	(202,149)	(22,516)
Total comprehensive income for the period	(436,922)	(181,640)
Attributable to:
Equity shareholders of the Company and
the holders of PCSs	(410,821)	(187,606)
Non-controlling interests	(26,101)	5,966
Total comprehensive income for the period	(436,922)	(181,640)

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