Hi Sun Tech Announces 2015 Annual Results

Segmental EBITDA Surges 10 Times With Outstanding Performance in Payment Processing Solutions Segment
2016-03-09 21:46 2867

HONG KONG, March 9, 2016 /PRNewswire/ -- A leading payment & finance solution provider in China - Hi Sun Technology (China) Limited (the "Company"; Stock code: 818.HK) announced the audited consolidated results of the Company and its subsidiaries (the "Group") for the year ended December 31, 2015 (the "Reporting Period").

During the Reporting Period, the consolidated revenue of the Group amounted to HK$1,376.8 million. Due to better performance of the payment processing solutions business in 2015, the segmental EBITDA totaled HK$135.5 million, 990% up compared to the previous year. Total segmental operating profit of the Group was HK$72.1 million, comparing to a loss of HK$51.7 million in the previous year. During the Reporting Period, profit totaled HK$192.7 million as compared to HK$401.2 million the previous year. Such decrease was primarily attributable to the fact that no gain on disposal of interest in PAX Global was recognised in the Reporting Period.

The segmental profit of payment processing solutions soared by 45 times

During the Reporting Period, the Group's payment processing solutions business has shown encouraging performance. Segmental revenue of the business was increased by 8% to HK$511.2 million, and segmental operating profit soared by 4,466% to HK$60.3 million as compared with the same period of the previous year. In March 2015, SXF - a subsidiary of the Group, has passed the inspections by the People's Bank of China, and gradually resumed the acceptance of new merchants in accordance with the requirement of the relevant regulatory bodies. By leveraging the management's proper operation strategies and untiring efforts, there was a significant growth in the scale of merchants and transaction volume. Meanwhile, the Group actively engaged in early settlement financial service business, which was effective and fruitful. By the year end of 2015, total accumulated number of domestic merchants of SXF was exceeding 800,000, with a monthly transaction volume of over RMB60 billion in December 2015, which reached a new record high. Moreover, during the Reporting Period, revenue of the early settlement financial service business rose from nil to approximately 20% of the payment processing segment. Currently, SXF has conducted its business in over 27 provinces and cities in the PRC. In addition to further expanding market share of existing businesses, SXF will also gradually launch Smart POS acquiring service and other innovative payment businesses, including Internet payment services and mobile payment services. SXF will further develop the prospective financial businesses and enlarge its business scale to enhance the overall strength in the industry of finance and payment businesses.

Other business segments remain steady and supply chain synergies emerge

During the Reporting Period, the Group's other businesses remained steady development. For financial solutions segment, projects of China CITIC Bank and China Construction Bank were successfully put into operations, and other key projects, such as China Guangfa Bank, Dah Sing Bank, China Minsheng Bank (Singapore), China Everbright Bank (Seoul), Bank of Beijing (Hong Kong) were launched as scheduled. Along with the growing commercial banks in the PRC and the sustainable prosperity in Internet finance, the Group will strategically plan and invest in the target of emerging market such as city commercial banks, third-party payment platforms and Internet finance institutions. For payment platform solutions segment, as the full operational service supporter for the China Mobile's "and wallet" business (formerly known as "mobile payment" or "mobile wallet"), the Group has continuously benefited from the increasing investment of China Mobile. During the Reporting Period, the Group recorded an increase of 32% and 31% in segmental revenue and segmental operating profit, respectively.

Along with the overall strategic deployment of the Group in the field of finance and communications, the synergies among all the segments have been gradually appearing. Looking forward, the Group will seize the opportunities from each business segment and maintain steady growth. At the same time, the Group will continue to explore and take the advantages of the synergies among all the business segments, including payment processing and financial solutions, services and system support, online and offline, software and hardware, etc., to continuously enhance the core competitiveness of the Group and develop into a more comprehensive and integrated market leader in finance and communication technology.

About Hi Sun Technology (China) Limited

Hi Sun Technology (China) Limited ("Hi Sun Tech", stock code: 818.HK) is a leading integrated solution provider of payment, finance and telecommunications in China. Hi Sun Tech is principally engaged in the provision of payment processing solutions, provision of financial solutions, sales of electronic power meters and solutions, provision of telecommunication solutions and provision of payment platform solutions.

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