OCT (Asia) Announces 2012 Annual Results

Turnover Increases 35% to RMB3.45 Billion

Gross Profit Surges 54% to RMB1.19 Billion

Comprehensive development business achieves a major transformation

Strives to become a prominentdeveloper and operator of commercial complex 

HONG KONG, Feb. 28, 2013 /PRNewswire/ -- Overseas Chinese Town (Asia) Holdings Limited ("OCT (Asia)" or the "Company", stock code: 03366.HK) and together with its subsidiaries, the "Group", is pleased to announce its audited annual results for the year ended 31 December 2012 ("period under review").

During the period under review, under the guidance of the new strategic goal, OCT(Asia) proactively responded to the complicated economic developments both within and outside China and achieved satisfactory operating results. As of 31 December 2012, the Company recorded a turnover of approximately RMB3,453 million, representing an increase of approximately 34.9% over the same period of 2011; profits attributable to shareholders were approximately RMB177 million, representing an increase of approximately 11.3% over the same period of 2011. The Board recommended payment of a final dividend of HK8.0 cents per share (2011: HK7.3 cents per share).

Ms. Wang Xiaowen, Chairman and Executive Director of OCT (Asia), said, "2012 is a year of a major transformation for the Company. The Group currently holds 5 comprehensive development projects in total with controlling interest and participation interest, gradually becoming a developer and operator of commercial complex. During the period under review, in order to broaden the sources of revenue and improve the overall profitability, the Group successively made capital contribution to Shanghai Suhewan, Tianjin Tianxiao, Beijing Laiguangying projects, increasing land reserves by approximately 517,000 sq.m."

During the period under review, the Company's comprehensive development business recorded a turnover of approximately RMB2,624 million, representing an increase of approximately 50.5% over the same period of 2011; profits attributable to shareholders were approximately RMB154 million, representing an increase of approximately 18.8% over the same period of 2011.

Comprehensive Development Business

Shanghai Suhewan

Shanghai Suhewan project is advantageously situated and possesses the scarce landscape resources. The project comprises a total site area of approximately 71,000 sq.m., a gross floor area (above ground) of approximately 280,000 sq.m. and a total gross floor area of approximately 430,000 sq.m.. The project includes multi-storey riverside residential buildings, luxury residential properties, apartment-style offices, luxury hotels, boutique business premises and studios for artists. The project is scheduled to be completed in 2016. The pre-sale of the first batch of products of the project started in September 2012 with settlement within the same year. In 2012, the Shanghai Suhewan project was awarded "21st Century City Composite New Landmark in China for the year 2012" by 21st Century Economy Review. During the period under review, contract sales area and revenue of the project reached approximately 13,000 sq.m. and approximately RMB710 million respectively, while the area and revenue settled were approximately 12,000 sq.m. and approximately RMB680 million respectively.

Tianjin Tianxiao

Tianjin Tianxiao project has a total site area of approximately 132,000 sq.m.. The land is at early stage of development and will be developed into residential and commercial properties, including high-rise residential properties, multi-storey residential properties and shops with a total maximum gross floor area of approximately 316,000 sq.m. It is expected that construction to be commenced in the second half of 2013, pre-sale in 2014 and completion of development in 2016.

Beijing Laiguangying

Beijing Guangying project has a total site area of approximately 73,000 sq.m. At present, the land is at the early stage of development with a total maximum gross floor area of approximately 182,000 sq.m. for residential development. The project will commence construction and pre-sale in mid-2013 and is scheduled to complete development in 2016.

Chengdu OCT

During the period under review, Chengdu OCT recorded a turnover of approximately RMB1,983 million. The major products launched in 2012 were high-rise residential properties, part of the low density residential properties and multi-storey residential properties. The contract sales area and revenue of the residential property project reached approximately 137,000 sq.m. and approximately RMB1,680 million respectively, while the settled area and revenue were approximately 160,000 sq.m. and approximately RMB1,830 million respectively. The current rentable area for commercial use is approximately 65,000 sq.m., of which 99% have been occupied. Chengdu OCT's theme park, "Chengdu Happy Valley", has attracted approximately 2.44 million visitors throughout the period under review, which was in line with that of the past year. Phase II of Chengdu Happy Valley will open to public in May 2013 and is expected to attract more visitors.

Xi'an OCT

Xi'an OCT has a total site area of approximately 137,000 sq.m., all products are low-density residential properties. During the period under review, the products launched by Xi'an OCT included duplex, compound and detached houses. The contract sales area and revenue reached approximately 45,000 sq.m. and approximately RMB950 million respectively. The settled area and revenue were approximately 39,000 sq.m. and approximately RMB830 million respectively. Investment income which the Company obtained according to its equity interest in Xi'an OCT was approximately RMB40 million.

Paper Packaging Business

In 2012, the Company's paper packaging business faced a lot of challenges as domestic manufacturing industry endured a harsh time while the economic performance in European and American countries is sluggish. During the period under review, paper packaging business recorded a turnover of RMB829 million, representing an increase of approximately 1.7% over the same period of 2011. Profits attributable to shareholders amounted to approximately RMB23.28 million, representing a decrease of approximately 21.4% over the same period of 2011. Thanks to a number of strategies adopted by the Company, paper packaging business recorded stable development.

Ms. Wang Xiaowen concluded, "In 2013, the Company plans to fasten the development pace, so as to increase turnover rate and enhance profit level. Looking forward, we will continue to leverage on the unique overall planning and advantage from accurate market positioning, fully utilize high quality branding and resources, continue to increase input, actively seek for lands which fit into the Company's positioning in cities with location advantages and growth potential, increase project reserves, succeed in organic integration and rational allocation of large-scale composite development projects with quick turnover rate, so that both the project scale and profitability will be enhanced. At the same time, we will continue to maintain stable development in paper packaging business. We aim to become a prominent developer and operator of commercial complex and continue to bring satisfactory returns to the shareholders. "

About OCT (Asia)

Overseas Chinese Town (Asia) Holdings Limited was listed on the Main Board of the Stock Exchange of Hong Kong on 2 November, 2005. Besides the manufacture and sales of quality paper-based packaging containers and materials, the Group has started engaging in the comprehensive development since 2007, striving to become an outstanding developer and operator of commercial complex. The Company currently holds 5 comprehensive development projects in total with controlling interest and participation interest, including Shanghai Suhewan, Chengdu OCT, Tianjin Tianxiao, Beijing Laiguangying project and Xi'an OCT projects, in which Shanghai, Tianjin and Beijing projects were projects newly acquired in 2012. Shenzhen Overseas Chinese Town Co., Ltd, the Group's indirect controlling shareholder, was established with the exclusive initiation by Overseas Chinese Town Enterprises Company, directly under State-owned Asses Supervision and Administration Commission of the State Council and was listed on Shenzhen Stock Exchange on 10 September, 1997.

Please visit http://www.oct-asia.com for more details.

Issued by Porda Havas International Finance Communications Group for and on behalf of Overseas Chinese Town (Asia) Holdings Limited. For further information, please contact:

Porda Havas International Finance Communications Group

Overseas Chinese Town (Asia) Holdings Limited
Tel: 86-755-26935118
Email: contact.asia@chinaoct.com