HONG KONG, Aug. 20, 2013 /PRNewswire/ --
Financial Highlights
| Six months ended 30 June | ||
| HK$'000 | 2013 | 2012 |
| Revenue | 84,146 | -- |
| Gross Profit | 81,531 | -- |
| Profit (loss) before tax | 33,644 | (48,904) |
| Earnings (loss) per share (HK cents) | 0.30 | (0.67) |
The board of directors of China Public Procurement Limited (HKEx stock code: 1094, the "Company" or "CPP") announced its unaudited consolidated interim results and financial position for the six months ended 30 June 2013. During the period, the Company recorded a net profit of HK$33.64M (six months ended 30 June 2012: net loss of HK$48.9M), successfully achieved a profit turnaround.
During the period, the Company recorded revenue of HK$84,15M. The profit attributable to shareholders was HK0.30 cents per share (six months ended 30 June 2012: a loss of HK0.67 cents per share), mainly due to the increment of income. The directors of the Company do not recommend the payment of an interim dividend (2012: nil).
Business Review
During the period under review, the Company continued to focus on the businesses of electronic public procurement transaction service, energy management contracting service and bulk commodities trading service. The implementation cycle of the above two businesses was relatively long, therefore the corresponding revenues of the businesses were yet to realise in the period under review. With the good prospects for the growth of public procurement and energy saving sectors, the Board will endeavour to achieve substantial business growth and generate good revenue in the future.
Besides, the Company was approved by Authority of Qianhai Shenzhen-Hongkong Modern Service Industry Cooperation Zone of Shenzhen to establish a subsidiary in Qianhai, which will provide financial information services for the users of the financial service platform, and integrated financial solutions for small and medium enterprises that participate in governmental procurements.
Regarding the Energy Management Contracting Services (EMC) business, the Company has been participating in the public lighting renovation services in various cities and is actively expanding into other new markets.
Prospects
In July this year, the Company proposed to acquire an electronic platform for bulk commodities trading operating in the PRC, which provides trading, clearing, financing, asset management and logistics services for suppliers and customers in bulk commodities. Should the acquisition be successful, the Board expects the Group's bulk commodities business will realize rapid growth and will create a synergy effect with other businesses of the Company.
In October this year, The Group will also facilitate the 2013 Global Public Procurement (Wuhan, China) Forum and Sourcing Fair in Wuhan, which is organised by the China Federation of Logistics and Purchasing, the People's Government of Hubei Province and the Wuhan Municipal People's Government under the guidance of the Ministry of Commerce and the Development Research Centre of the State Council. Over a thousand guests will attend the Forum, including investment institutes, experts, scholars and suppliers from the UN, US, EU, Canada, mainland China, Taiwan and Hong Kong, along with procurement officials of the respective governments.
At the same time, the Company will leverage on the favourable financial policies provided by Qianhai, Shenzhen to offer all financial institutions and small and medium providers of governmental procurements with a quick fundraising services platform.
Mr. Cheng Yuanzhong, Joint Chairman of the Company, said, "Looking forward, we will continue to explore and expand our business, so as to maximize the returns to shareholders."
About China Public Procurement Limited
China Public Procurement Limited is listed on the Main Board of The Stock Exchange of Hong Kong (stock code: 1094). The Group is principally engaged in the development of the public procurement services which involves the provision of procurement services to general public and government in the PRC, and the development of EMC service.
