Hi Sun IR07 Cover

Transcription

1 Interim Report 中期報告 2007 For Identification Purpose Only 僅供識別

2 目錄 Contents Management Discussion and Analysis 管理層之討論與分析 2 Additional Information 其他資料 13 Condensed Consolidated Income Statement 簡明綜合損益表 29 Condensed Consolidated Balance Sheet 簡明綜合資產負債表 30 Condensed Consolidated Statement of Changes in Equity 簡明綜合權益變動表 32 Condensed Consolidated Cash Flow Statement 簡明綜合現金流轉表

3 Management Discussion and Analysis 管理層之討論與分析 The Directors are pleased to present the Group s condensed consolidated interim financial report for the six months ended 30 June 2007, the condensed consolidated income statement, condensed consolidated cash flow statement and condensed consolidated statement of changes in equity for the Group for the six months ended 30 June 2007, and the condensed consolidated balance sheet as at 30 June 2007 of the Group, all of which are unaudited, along with selected explanatory notes, are set out on pages 35 to 80 of this report. 董事欣然提呈本集團截至二零零七年六月三十日止六個月之簡明綜合中期財務報告 本集團截至二零零七年六月三十日止六個月之簡明綜合損益表 簡明綜合現金流轉表及簡明綜合權益變動表以及本集團於二零零七年六月三十日之簡明綜合資產負債表均為未經審核, 連同選定之說明附註載於本報告第 35 至第 80 頁 MANAGEMENT DISCUSSION AND ANALYSIS Our results for the six months ended 30 June 2007 reflected notable increases in turnover, profit before income tax and net profit as compared with the corresponding period last year. These remarkable results have strengthened our confidence, proving the success of Hi Sun s business model. 管理層之討論與分析本集團截至二零零七年六月三十日止六個月之業績反映營業額 除所得稅前溢利及純利較去年同期均有可觀增長 該等驕人業績增強本公司之信心, 充分展現高陽業務模式之成功 Financial Highlights 財務摘要 1H2007 1H2006 二零零七年 二零零六年 上半年 上半年 Change Results HK$ million HK$ million 變動 業績 百萬港元 百萬港元 +/(-) % Turnover 營業額 Gross profit 毛利 Profit before income tax 除所得稅前溢利 Net profit 純利 Gross profit margin (%) 毛利率 (%) 46.5% 42.2% Net profit margin (%) 純利率 (%) 37.2% 21.8% Basic earnings per share (HK$) 每股基本盈利 ( 港元 ) Diluted earnings per share (HK$) 每股攤薄盈利 ( 港元 )

4 Management Discussion and Analysis 管理層之討論與分析 MANAGEMENT DISCUSSION AND ANALYSIS (continued) Financial Highlights (continued) 管理層之討論與分析 ( 續 ) 財務摘要 ( 續 ) 30 June 31 December 二零零七年 二零零六年 Key balance sheet items 六月三十日 十二月三十一日 Change 資產負債表主要項目 HK$ million HK$ million 變動 百萬港元 百萬港元 +/(-) % Total equity 權益總額 Net current assets 流動資產淨值 Total assets 總資產 1, Net assets per share (HK$) 每股資產淨值 ( 港元 ) Segmental turnover (HK$ 000) 營業額分類 ( 千港元 ) 1H H 2007 二零零六年上半年 二零零七年上半年 Segmental operating profit/(loss) (HK$ 000) 經營溢利 /( 虧損 ) 分類 ( 千港元 ) 1H H 2006 二零零七年上半年 二零零六年上半年 3

5 Management Discussion and Analysis 管理層之討論與分析 MANAGEMENT DISCUSSION AND ANALYSIS (continued) Electronic payment products and services Segmental turnover and operating profit recorded during the current period were HK$ million (1H2006: HK$83.42 million) and HK$34.33 million (1H2006: HK$15.12 million) respectively. Total shipment during period reached 74,000 units with a percentage increase of 90% as compared to 1H2006. During the first half of 2007, we continue to be ranked No.1 in the Mainland China market. The shipment for Mainland China market accounted for 85% of the total shipment, while that of international market was 15%. Despite the keen competition in the market, we managed to maintain a GP% of 34% in 1H2007. 管理層之討論與分析 ( 續 ) 電子支付產品及服務本期內錄得之營業額及經營溢利分類分別為 166,630,000 港元 ( 二零零六年上半年 :83,420,000 港元 ) 及 34,330,000 港元 ( 二零零六年上半年 :15,120,000 港元 ) 期內總出貨量較二零零六年上半年上升 90%, 達 74,000 件 於二零零七年上半年, 本集團繼續穩佔中國內地市場之首 於中國內地市場之出貨量佔總出貨量 85%, 而於國際市場之出貨量則佔 15% 即使市場上競爭激烈, 本集團於二零零七年上半年仍成功維持毛利率於 34% The rapid growth of electronic payment products and services was benefited from the strong market demand and increased penetration in both Mainland China market and overseas market. Starting from this year, we have further exploration of the international market and we have penetrated into certain European countries, such as Luxembourg, Denmark, Belgium, France and Russia etc, as well as the Middle East market, like UAE and Saudi Arabia, and the African countries, such as South Africa, Ghana and Nigeria. 電子支付產品及服務之快速成長, 受惠於國內及海外巿場之龐大巿場需求及滲透性增加 自本年起, 本集團進一步開拓國際巿場, 已進佔若干歐洲國家如盧森堡 丹麥 比利時 法國及俄羅斯等, 以及中東巿場如阿拉伯聯合酋長國及沙地阿拉伯, 以及非洲國家如南非 迦納及尼日利亞 4

6 Management Discussion and Analysis 管理層之討論與分析 MANAGEMENT DISCUSSION AND ANALYSIS (continued) Electronic payment products and services (continued) Electronic payment has become a dominant payment channel in the world as it brings along better security and convenience. Up to 1H2007, EFT-POS terminal penetration in Mainland China is relatively low as compared to most developed countries, with only about 900,000 terminals. The accelerating number of card payments has driven substantial growth in the demand in electronic payment products and services. Following the progressive improvement of the payment transactions processing environment/infrastructure in Mainland China and 2008 Beijing Olympic Games, management considers that the volume of credit card issuance and payment card usage in Mainland China will surge rapidly, leading to tremendous opportunities to the Group. 管理層之討論與分析 ( 續 ) 電子支付產品及服務 ( 續 ) 由於電子支付帶來更佳保安及便利, 已成為國際主要付款方式 截至二零零七年上半年, 電子轉賬售點 (EFT-POS) 終端機於國內之滲透度較大部份發達國家為低, 只有約 900,000 部終端機 信用卡付款數目加速上升, 推動電子支付產品及服務需求大幅增長 隨著中國大陸付款交易處理環境 / 基建不斷逐漸完善, 加上 2008 年北京奧運會, 管理層認為國內之信用卡發卡量及信用卡使用量將快速攀升, 為本集團帶來豐裕機會 Telecommunication solutions, services and related products; information technology operation valueadded services During the current period under review, the segmental turnover and operating profit recorded were HK$93.29 million (1H2006: HK$60.80 million) and HK$49.16 million (1H2006: HK$30.19 million) respectively. Sharp increase in turnover and operating profit was due to the migration of all IVR Service Providers to our nation-wide IVR platform starting from January 2007, due to certain policy changes in 2H2006. Segmental turnover and operating profit increased by 87% and 241% as compared to results in 2H2006, respectively. 電訊解決方案 服務及相關產品 ; 資訊科技運營增值服務於本回顧期內, 營業額及經營溢利分類分別錄得 93,290,000 港元 ( 二零零六年上半年 : 60,800,000 港元 ) 及 49,160,000 港元 ( 二零零六年上半年 : 30,190,000 港元 ) 營業額及經營溢利大幅上升是由於本集團於二零零六年下半年之若干政策改動, 所有 IVR 服務提供者自二零零七年一月起割接至本集團之全網 IVR 平台所致 營業額及經營溢利分類較二零零六年下半年之業績分別上升 87% 及 241% 5

7 Management Discussion and Analysis 管理層之討論與分析 MANAGEMENT DISCUSSION AND ANALYSIS (continued) Telecommunication solutions, services and related products; information technology operation valueadded services (continued) Market size of the IVR business continues to expand further and recover from the reorganisations in 2H2006. Entertainment content, songs dedication and interactive games are ranked the three most popular IVR content categories. Management has the strong belief that following the centralization of the IVR platform and the continuous expansion of the business scale with subsequent launch of the IVVR platforms for the 3G operators, the IVR/IVVR business will be enjoying massive growth and bringing in remarkable and sustainable profit to the Group. 管理層之討論與分析 ( 續 ) 電訊解決方案 服務及相關產品 ; 資訊科技運營增值服務 ( 續 ) IVR 業務之市場規模繼續進一步擴充, 並從二零零六年下半年之整頓中復甦 娛樂內容 歌曲點播及互動遊戲被列為最受歡迎之三種 IVR 內容分類 管理層深信, 藉著 IVR 平台集中, 及其後為 3G 運營商推出之 IVVR 平台而繼續擴充業務規模,IVR/ IVVR 業務將取得顯著增長, 為本集團帶來可觀及持續溢利 In addition, we continuously seek new ideas and innovations in our business. Examples like IVR intelligent toys targeting young children and multi-communicator technology for the use of uniform IP multimedia soft phone etc, are going to bring us new exciting opportunities in the coming years. 此外, 本集團不斷於業務中尋求新意念及創意, 例如以年輕兒童為對象之 IVR 智能玩具及用於統一 IP 多媒體軟體電話之多功能通訊科技等, 將於來年為本集團帶來令人興奮之商機 6

8 Management Discussion and Analysis 管理層之討論與分析 MANAGEMENT DISCUSSION AND ANALYSIS (continued) Financial solutions, services and related products During the period under review, this business segment recorded a turnover of HK$37.21 million (1H2006: HK$49.33 million) and an operating loss of HK$4.57 million (1H2006: operating loss of HK$7.08 million). Despite a drop in turnover, we have narrowed down the segmental operating loss as compared to prior period, which was attributed to our consolidation and refocusing measures to focus on business consultancy and integrated banking systems, as well as business process operation services, for better growth potential and higher margins. The segmental operating loss recorded in the first half year is mainly contributed by certain delays in the Bank of China core banking project and the specific seasonality factors of the industry whilst most of the key project milestones are expected to be completed in the second half year. 管理層之討論與分析 ( 續 ) 金融解決方案 服務及相關產品於回顧期內, 此業務分類錄得營業額 37,210,000 港元 ( 二零零六年上半年 : 49,330,000 港元 ) 及經營虧損 4,570,000 港元 ( 二零零六年上半年 : 經營虧損 7,080,000 港元 ) 雖然營業額下降, 惟對比前期, 本集團已收窄經營虧損分類, 此乃歸因於本集團之綜合及重新定位措施, 集中於業務諮詢及整合銀行系統, 以及業務運營服務, 以取得更大增長潛力及更高邊際利潤 於上半年錄得之經營虧損分類主要由於中國銀行之核心銀行項目有所延誤, 及業界特有之季節性因素所致, 而大部份主要項目里程均預期於下半年度完成 Our core competencies and underlying strengths in the financial solutions have been established over the past years and developed reputation for secure and reliable services. Moving ahead, with the strong and growing demand in Mainland China for local banks to build up their own integrated banking systems for better competitiveness, management is confident in securing more new contracts given the trust and reputation we have built up for years. 本集團於過去多年建立了金融解決方案之核心能力及內在優勢, 並確立安全可靠服務之聲譽 隨著國內本地銀行為提升競爭力而設立其整合銀行系統並帶來強勁及上升的需求, 管理層深信多年來建立之信任及聲譽將為本集團取得更多新合約, 向前邁進 7

9 Management Discussion and Analysis 管理層之討論與分析 MANAGEMENT DISCUSSION AND ANALYSIS (continued) Business process operations The Group has been leveraging its reputation in the financial solutions segment and actively expanding into new business opportunities in the financial sector. With proven technical base in processing transactions, the Group has migrated into new high-margin consumer services and achieved significant progress in business process operations, providing outsourcing services to financial institutions and banks with payment solutions, such as automated teller machines ( ATM ) and EFT-POS terminals. 管理層之討論與分析 ( 續 ) 業務運營本集團一直善用其於金融解決方案分類之信譽, 並積極拓展金融界新商機 憑藉在交易處理中受到肯定之技術基礎, 本集團已轉移至高回報之消費者服務, 並於業務運營上取得重大進展, 向設有支付解決方案之金融機構及銀行提供外包服務, 例如自動櫃員機 ( ATM ) 及電子轉賬售點 (EFT-POS) 終端機 Starting from 2H2006, we have begun the operation of ATM at non-bank locations in certain major cities in Mainland China and accomplished what we targeted. During the six months ended 30 June 2007, this business segment recorded a turnover of HK$3.85 million and an operating loss of HK$2.68 million. 自二零零六年下半年起, 本集團於國內若干主要城巿之非銀行地點開始運營自動櫃員機, 並達到預期效果 於截至二零零七年六月三十日止六個月內, 此業務分類錄得營業額 3,850,000 港元及經營虧損 2,680,000 港元 Up to 1H2007, ATM penetration rate in Mainland China was comparatively low by international standards, with only about 102,000 ATMs and less than 80 ATMs per one million residents. Given the astonishing demand and development of the payment transactions processing infrastructure in Mainland China and the installation of more automated processing systems for consumer payments, the management believes that the Group has various business opportunities for the establishment and expansion of its own payment process operation networks in the coming years. 截至二零零七年上半年, 自動櫃員機於國內之滲透率較國際標準相對偏低, 只有約 102,000 部自動櫃員機, 每一百萬名居民少於 80 部自動櫃員機 基於付款交易處理設施在中國大陸之需求殷切且發展急速, 加上已舖設更多消費者付款之自動處理系統, 管理層相信本集團於未來數年將有多個建立並擴展其付款處理運營網絡之商機 8

10 Management Discussion and Analysis 管理層之討論與分析 PROSPECT Demand for electronic payment solution is accelerating in line with the tremendous increase in the number of card payments. Following the progressive improvement of the payment transactions processing environment/infrastructure in Mainland China and exploration of the international market, we are confident that the electronic solution and payment segment will maintain its momentum for growth in the coming years. 前景電子付款方案需求隨 信用卡付款數目大幅增加而急升 鑒於中國大陸之付款交易處理環境 / 基建顯著改善, 加上開拓國際巿場, 本集團相信電子解決方案及付款分類於未來數年將能維持其增長動力 In the telecommunication front, our enthusiasm and passion for innovations have kept us ahead and competitive despite the ever-changing technology and market demand. It is always our mission to provide first class value-added platform operation and services to our partners. New technology, the IVVR platform, based on 3G communications and several new products and services are ready to hit the market. With these new exciting opportunities and dynamic environment, we will further strengthen our position in the market and continue to create great values to our partners. 於電訊領域, 本集團追求創新之熱忱及熱誠, 使本集團縱使面對千變萬化之科技及巿場需求, 仍保持競爭力且節節領先 本集團之一貫使命乃是為合作伙伴提供一流之增值平台營運及服務 憑藉 3G 通訊及數種新產品及服務,IVVR 平台之嶄新科技已蓄勢打入巿場 融合這些令人鼓舞之新商機及環境, 本集團將進一步鞏固巿場地位, 繼續為本公司之合作伙伴創造價值 Based on our established market position and experience in the financial solution segment, the Group has migrated into high-margin consumer services segments and engaged in the business process operations services for ATM and EFT- POS for the financial institutions and banks. In the longer term, we target to establish and expand our own payment process operation networks in Mainland China. 基於在金融解決方案分類上建立之市場位置及經驗, 本集團已轉移至高回報消費者服務分類, 並投入金融機構及銀行之自動櫃員機 (ATM) 及電子轉賬售點 (EFT-POS) 運營服務 長遠而言, 本集團以在國內建立及擴充本身之付款處理操作系統為目標 9

11 Management Discussion and Analysis 管理層之討論與分析 PROSPECT (continued) In addition, the Group also actively seeks opportunities for expansion. On 30 July 2007, the Company completed the acquisition of the Hualong Group (please refer to subsequent events section for definition), one of the largest manufacturers of electric utility meters in the PRC. Management considers that it will allow the Group to diversify its business to the electronic power meters and solutions industry. We believe that demand for power meters and solutions will experience significant growth given the booming China economy which in turn drives the need to replace the traditional mechanical meters with the more technologically advanced and automated electronic meters and solutions. Besides, the Hualong Group will be able to leverage on the Group s management, sales and solution implementation experience, particularly in the areas of highend solution execution, cooperation and development of the overseas market. 前景 ( 續 ) 此外, 本集團亦積極尋求擴充業務之機會 於二零零七年七月三十日, 本公司完成收購華隆集團 ( 請參照結算日後事項一節之定義 ), 為中國最大電子式電能表製造商之一 管理層認為, 此舉能令本集團業務多元化並擴展至電子式電能表及解決方案行業 我們相信電能表及解決方案之需求將因為中國經濟蓬勃發展大幅增長, 先進自動電子式電能表及解決方案將逐步取代傳統機械電能表 此外, 華隆集團將能善用本集團之管理 銷售及解決方案實施經驗, 特別是執行及合作製作高科技解決方案, 以及開發海外市場 LIQUIDITY AND FINANCIAL RESOURCES As at 30 June 2007, the Group reported total assets of HK$1, million (31 December 2006: HK$ million), which were financed by total liabilities of HK$ million (31 December 2006: HK$ million) and equity of HK$ million (31 December 2006: HK$ million). The net asset value was HK$ million (31 December 2006: HK$ million). The net asset value per share amounted to HK$0.44 per share as compared to HK$0.36 per share as at 31 December 流動資金及財務資源於二零零七年六月三十日, 本集團錄得總資產 1,043,920,000 港元 ( 二零零六年十二月三十一日 :847,110,000 港元 ), 來自總負債 157,860,000 港元 ( 二零零六年十二月三十一日 :167,440,000 港元 ) 及權益 886,050,000 港元 ( 二零零六年十二月三十一日 :679,670,000 港元 ) 資產淨值則為 886,050,000 港元 ( 二零零六年十二月三十一日 :679,670,000 港元 ) 每股資產淨值為每股 0.44 港元, 而於二零零六年十二月三十一日則為每股 0.36 港元 10

12 Management Discussion and Analysis 管理層之討論與分析 LIQUIDITY AND FINANCIAL RESOURCES (continued) As at 30 June 2007, the Group had cash of HK$ million (31 December 2006: HK$ million) and short term borrowings of HK$5.80 million (31 December 2006: HK$7 million). The net cash position as at that date was HK$ million as compared to HK$ million as at 31 December The short term borrowings included short term bank loan to fund the Group s working capital requirements. As at 30 June 2007, the Group had no financial liability in respect of convertible preference shares issued by a subsidiary (31 December 2006: HK$22.49 million). The gearing ratio (defined as total borrowings divided by shareholders equity) was 0.01 as compared to 0.04 as at 31 December The gearing ratio is considered healthy and suitable for the continuous growth of the Group s business. CAPITAL STRUCTURE AND DETAILS OF CHARGES As at 30 June 2007, the Group s short term borrowings included short term bank loan which was denominated in Renminbi, amounting to RMB5.80 million. The short term bank loan was charged at interest of 6.8% per annum. 流動資金及財務資源 ( 續 ) 於二零零七年六月三十日, 本集團有現金 577,460,000 港元 ( 二零零六年十二月三十一日 :528,080,000 港元 ) 及短期借款 5,800,000 港元 ( 二零零六年十二月三十一日 :7,000,000 港元 ) 於該日之現金淨額狀況為 571,660,000 港元, 相對二零零六年十二月三十一日則為 521,080,000 港元 短期借貸包括短期銀行貸款, 乃撥作應付本集團營運資金需求 於二零零七年六月三十日, 本集團並無就一家附屬公司發行可換股優先股之財務負債 ( 二零零六年十二月三十一日 :22,490,000 港元 ) 資本負債比率 ( 界定為借款總額除股東權益 ) 為 0.01, 相對二零零六年十二月三十一日則為 0.04 此資本負債比率屬穩健, 且符合本集團業務持續增長之需要 資本架構及抵押詳情於二零零七年六月三十日, 本集團之短期借貸包括以人民幣列值之短期銀行貸款人民幣 5,800,000 元 短期銀行貸款按年利率 6.8 厘計息 Approximately HK$63.14 million, HK$ million and HK$ million of the Group s cash balances were denominated in Renminbi, Hong Kong dollar and US dollar respectively as at 30 June 於二零零七年六月三十日, 本集團之現金結餘約 63,140,000 港元 273,460,000 港元及 240,860,000 港元分別以人民幣 港元及美元列值 As at 30 June 2007, short term bank loans of RMB5.80 million (31 December 2006: RMB7 million) were secured by the leasehold land and building of a subsidiary of the Company and the corporate guarantee from an independent third party, 深圳市高新技術投資擔保有限公司 (Shenzhen High and New Technology Investment Guarantee Company Limited). 於二零零七年六月三十日, 為數人民幣 5,800,000 元 ( 二零零六年十二月三十一日 : 人民幣 7,000,000 元 ) 之短期銀行貸款乃以本公司之一家附屬公司之租賃土地及樓宇, 以及獨立第三方深圳市高新技術投資擔保有限公司之公司擔保作抵押 11

13 Management Discussion and Analysis 管理層之討論與分析 EXCHANGE RATES EXPOSURE The Group derives its revenue, makes purchases and incurs expenses denominated mainly in US dollars, Renminbi and Hong Kong dollars. Currently, the Group has not entered into agreements or purchased instruments to hedge the Group s exchange rate risks. Any material fluctuation in the exchange rates of Hong Kong dollar or Renminbi may have an impact on the operating results of the Group. CONTINGENT LIABILITIES The Group had no material contingent liability as at 30 June EMPLOYEES The total number of employees of the Group as at 30 June 2007 was 795. The breakdown of employees by division is as follows: 匯率風險本集團產生之收益 進行採購或支付之費用主要以美元 人民幣及港元列值 目前, 本集團並無訂有任何協議或購買任何工具對沖本集團之匯率風險 倘港元或人民幣之匯率出現任何重大波動, 均可能對本集團之經營業績造成影響 或然負債於二零零七年六月三十日, 本集團並無重大或然負債 僱員本集團於二零零七年六月三十日之僱員總數為 795 人 僱員按部門細分如下 : Financial solutions, services and 金融解決方案 服務 344 related products 及相關產品 Electronic payment products 電子支付產品 164 and services 及服務 Telecommunication solutions, 電訊解決方案 服務 249 services and related products 及相關產品及資訊 and information technology 科技運營增值服務 operation value-added services Business process operations 業務運營 21 Corporate office 企業辦公室 The Group ensures that its remuneration packages are comprehensive and competitive. Employees are remunerated with a fixed monthly income plus annual performance related bonuses. The Group also sponsors selected employees to attend external training courses that suit the needs of the Group s business. 本集團確保其薪酬待遇能顧及僱員全面需要且具競爭力 僱員之薪酬包括每月定額薪金, 另加與表現掛 之年度花紅 本集團亦資助選定僱員參與符合本集團業務需要之外界培訓課程 12

14 Additional Information 其他資料 DIRECTORS AND CHIEF EXECUTIVE S INTERESTS AND SHORT POSITION IN THE SHARES, UNDERLYING SHARES AND DEBENTURES As at 30 June 2007, the interests and short positions of each Director and chief executive in the shares, underlying shares and debentures of the Company and its associated corporations (within the meaning of the Securities and Futures Ordinance ( SFO )), as recorded in the register maintained by the Company under Section 352 of the SFO or as notified to the Company were as follows: (a) Ordinary shares of HK$ each in the Company 董事及行政總裁於股份 相關股份及債券之權益及淡倉 於二零零七年六月三十日, 各董事及行政總裁於本公司及其相聯法團 ( 定義見證券及期貨條例 ( 證券及期貨條例 )) 之股份 相關股份及債券中, 擁有已記入本公司根據證券及期貨條例第 352 條存置之登記冊或已知會本公司之權益及淡倉如下 : (a) 本公司每股面值 港元之普通股 Number of shares held 所持股份數目 Approximate percentage of Personal Corporate Underlying shareholding* Name of Director interest interest shares Total 股權之概約 董事姓名 個人權益 公司權益 相關股份 總數 百分比 * Kui Man Chun 757,083,636 25,200, ,283, % 渠萬春 (Note) ( 附註 ) Xu Wensheng 26,400,000 26,400, % 徐文生 Li Wenjin 26,400,000 26,400, % 李文晉 Chan Yiu Kwong 4,728,000 4,000,000 8,728, % 陳耀光 Xu Chang Jun 26,400,000 26,400, % 徐昌軍 Xu Sitao 600, , % 許思濤 Note: These shares are held by Kui Man Chun through Hi Sun Limited, a company which Kui Man Chun holds a 99.16% interest, and Rich Global Limited, a whollyowned subsidiary of Hi Sun Limited. 附註 : 該等股份乃由渠萬春透過 Hi Sun Limited( 渠萬春持有 99.16% 權益之公司 ) 及 Hi Sun Limited 之全資附屬公司 Rich Global Limited 持有 * This percentage is calculated based on the total issued number of shares of the Company as at 30 June * 百分比乃根據本公司於二零零七年六月三十日之已發行股份總數計算 13

15 Additional Information 其他資料 DIRECTORS AND CHIEF EXECUTIVE S INTERESTS AND SHORT POSITION IN THE SHARES, UNDERLYING SHARES AND DEBENTURES (continued) (b) Ordinary shares in associated corporations 董事及行政總裁於股份 相關股份及債券之權益及淡倉 ( 續 ) (b) 相聯法團之普通股 Name of associated Number of Category Name of Director corporation shares held of interest 董事姓名 相聯法團名稱 所持股份數目 權益類別 Kui Man Chun Rich Global Limited 2 ordinary shares Corporate 渠萬春 2 股普通股 公司 Kui Man Chun Hi Sun Limited 30,245,000 ordinary shares Personal 渠萬春 30,245,000 股普通股 個人 Li Wenjin Hi Sun Limited 255,000 ordinary shares Personal 李文晉 255,000 股普通股 個人 Save as disclosed above, none of the Directors or chief executive had any interests or short positions in the shares, or underlying shares in, or debentures, of the Company or any of its associated corporations. 除上文披露者外, 董事或行政總裁概無於本公司或其任何相聯法團之股份 相關股份或債券中擁有任何權益或淡倉 Save as disclosed under the heading Share Option Scheme below, at no time during the period was the Company, its holding company or any of its subsidiaries or fellow subsidiaries a party to any arrangement to enable the Directors and chief executive of the Company to acquire benefits by means of the acquisition of shares in, or debentures of, the Company or any other body corporate. 除下文 購股權計劃 一節所披露者外, 於期內任何時間, 本公司 其控股公司或其任何附屬公司或同系附屬公司概無訂立任何安排, 致使本公司董事及行政總裁可藉購買本公司或任何其他法人團體之股份或債券而獲益 14

16 Additional Information 其他資料 SHARE OPTION SCHEME (a) The Company The Company operates a share option scheme (the Scheme ) for the purpose of attracting, retaining and motivating talented employees in order to strive for future developments and expansion of the Group. Eligible participants of the Scheme include the Group s full-time employees, and executive and non-executive Directors. The Scheme became effective on 29 November 2001 and unless otherwise cancelled or amended, will remain valid and effective for a period of 10 years from that date. 購股權計劃 (a) 本公司本公司設立購股權計劃 ( 該計劃 ), 旨在吸引 留聘及激勵有潛質之僱員, 以助推動日後發展及擴充本集團業務 該計劃之合資格參與者包括本集團全職僱員以及執行及非執行董事 該計劃於二零零一年十一月二十九日生效, 除另行取消或修訂外, 將由該日起計 10 年期間仍然有效及生效 The total number of shares in respect of which options maybe granted shall not (together with all the other Schemes, if any) exceed 10% of the total issued capital of the Company as at date of approval of the Scheme unless the Company obtains a fresh approval from shareholders to renew the 10% limited. 除非本公司就更新 10% 限額取得股東之新批准, 否則可予授出之購股權 ( 連同其他所有計劃, 如有 ) 所涉及之股份總數, 不得超過本公司於該計劃批准日期之全部已發行股本 10% The maximum number of shares in respect of which options may be granted under the Scheme, together with any unexercised share options granted under the Scheme and any other share option schemes of the Company in issue, may not exceed 30% of the relevant class of securities of the Company in issue at any time. On 18 March 2004, 33,000,000 share options were granted to certain Directors and employees at an exercise price HK$0.374 per share (the average closing price of the shares as quoted in the daily quotations sheets issued by the Stock Exchange of Hong Kong Limited for the five business days immediately preceding 18 March 2004) with an expiry date of 17 March 就該計劃可授出之購股權, 連同根據該計劃或本公司任何其他購股權計劃已授出惟尚未行使之任何購股權涉及之股份數目, 最多不得超過本公司於任何時間已發行之有關類別證券之 30% 於二零零四年三月十八日, 本公司向若干董事及僱員授出 33,000,000 份購股權, 行使價為每股 港元, 即緊接二零零四年三月十八日前五個營業日香港聯合交易所有限公司發佈之每日報價表所報股份平均收市價, 到期日為二零一四年三月十七日 Pursuant to an ordinary resolution passed on 17 August 2005, a refreshment of the limit on grant of options under the Scheme was approved by the shareholders. Upon refreshing the 10% limit on grant of options under the Scheme, 33,305,403 shares may be issued pursuant to the grant of further options under the Scheme. 根據於二零零五年八月十七日通過之普通決議案, 股東批准更新該計劃項下授出購股權之限額 更新該計劃項下授出購股權之 10% 限額後, 可根據該計劃項下進一步授出之購股權發行 33,305,403 股股份 15

17 Additional Information 其他資料 SHARE OPTION SCHEME (continued) (a) The Company (continued) On 26 September 2005, 33,300,000 share options were granted to certain Directors and employees at an exercise price of HK$0.768 per shares (the average closing price of the shares as quoted in the daily quotations sheets issued by the Stock Exchange of Hong Kong Limited for the five business days immediately preceding 26 September 2005) with an expiry date of 25 September The option period commences on 26 September 2005 and expires 10 years thereafter. 購股權計劃 ( 續 ) (a) 本公司 ( 續 ) 於二零零五年九月二十六日, 本公司向若干董事及僱員授出 33,300,000 份購股權, 行使價為每股 港元 ( 即緊接二零零五年九月二十六日前五個營業日香港聯合交易所有限公司發佈之每日報價表所報股份平均收市價 ), 到期日為二零一五年九月二十五日 購股權期間於二零零五年九月二十六日開始, 並自該日起 10 年後到期 Pursuant to an ordinary resolution passed on 28 June 2006, each of the existing issued and unissued ordinary shares of HK$0.01 each in the share capital of the Company was subdivided into four ordinary shares of HK$ each (the Share Subdivision ), which was approved by the shareholders of the Company and became effective on 29 June 根據於二零零六年六月二十八日通過之普通決議案, 本公司股本中每股面值 0.01 港元之現有已發行及未發行普通股已分拆成為四股每股面值 港元之普通股 ( 股份分拆 ) 本公司股東已批准股份分拆, 並於二零零六年六月二十九日生效 The Share Subdivision has led to an adjustment to the exercise prices of the outstanding options and the number of shares to be issued by the Company upon exercise of the outstanding options. For share options with exercise period from 18 March 2004 to 17 March 2014, the number of shares to be issued by the Company upon full exercise of such outstanding options immediately before the Share Subdivision has been increased from 23,000,000 shares to 92,000,000 shares and the exercise price has been adjusted from HK$0.374 to HK$ per share. For share options with exercise period from 26 September 2005 to 25 September 2015, the number of shares to be issued by the Company upon full exercise of such outstanding options immediately before the Share Subdivision has been increased from 33,300,000 shares to 133,200,000 shares and the exercise price has been adjusted from HK$0.768 to HK$0.192 per share. 股份分拆導致須調整未行使購股權之行使價及本公司於未行使購股權獲行使時將予發行之股份數目 就行使期由二零零四年三月十八日至二零一四年三月十七日之購股權而言, 本公司於緊接股份分拆前, 在有關尚未行使購股權獲悉數行使後將予發行之股份數目, 由 23,000,000 股增至 92,000,000 股, 而行使價則由每股股份 港元調整至每股股份 港元 就行使期由二零零五年九月二十六日至二零一五年九月二十五日之購股權而言, 本公司於緊接股份分拆前, 在有關尚未行使購股權獲悉數行使後將予發行之股份數目, 由 33,300,000 股增至 133,200,000 股, 而行使價則由每股股份 港元調整至每股股份 港元 16

18 Additional Information 其他資料 SHARE OPTION SCHEME (continued) (a) The Company (continued) Pursuant to an ordinary resolution passed on 11 December 2006, a refreshment of the limit on grant of options under the Scheme was approved by the shareholders. Upon the refreshment of the limit on grant of options under the Scheme, an additional 43,000,000 shares may be issued pursuant to the grant of further options under the Scheme. 購股權計劃 ( 續 ) (a) 本公司 ( 續 ) 根據於二零零六年十二月十一日通過的普通決議案, 股東批准更新該計劃項下可授出購股權的限額 更新該計劃項下可授出購股權之限額後, 可根據該計劃項下進一步授出之購股權發行額外 43,000,000 股股份 On 2 January 2007, 43,000,000 share options were granted to certain employees at exercise price of HK$2.00 per share (the average closing price of the shares as quoted in the daily quotations sheets issued by the Stock Exchange of Hong Kong Limited for the five business days immediately preceding 2 January 2007) with an expiry date of 1 January 於二零零七年一月二日, 本公司向若干僱員授出 43,000,000 份購股權, 行使價為每股 2.00 港元 ( 即緊接二零零七年一月二日前五個營業日香港聯合交易所有限公司發佈之每日報價表所報股份平均收市價 ), 到期日為二零一零年一月一日 There are no changes in any term of the Scheme during the six months ended 30 June 該計劃之所有條款概無於截至二零零七年六月三十日止六個月內變更 17

19 Additional Information 其他資料 SHARE OPTION SCHEME (continued) (a) The Company (continued) As at 30 June 2007, the particulars of the options granted to each of the Directors and employees of the Company under the Scheme are as follows: 購股權計劃 ( 續 ) (a) 本公司 ( 續 ) 於二零零七年六月三十日, 根據該計劃向每名董事及本公司僱員授出之購股權詳情如下 : Movements in the Share Options: 購股權變動 : Number of Number of options held options held at 1 January at 30 June 於二零零七年 Granted Exercised Lapsed 於二零零七年 Exercise 一月一日 during during during 六月三十日 Name Date of grant price 所持之 the period the period the period 所持之 姓名 授出日期 行使價 購股權數目 期內已授出 期內已行使 期內已失效 購股權數目 (HK$) ( 港元 ) Directors 董事 Mr. Kui Man Chun 18 March 2004* ,000,000 12,000,000 渠萬春先生 二零零四年三月十八日 * 26 September 2005** ,200,000 13,200,000 二零零五年九月二十六日 ** Mr. Xu Wensheng 18 March 2004* 徐文生先生 二零零四年三月十八日 * 26 September 2005** ,200,000 (13,200,000) 二零零五年九月二十六日 ** Mr. Li Wenjin 18 March 2004 * 李文晉先生 二零零四年三月十八日 * 26 September 2005** ,200,000 (13,200,000) 二零零五年九月二十六日 ** Mr. Chan Yiu Kwong 18 March 2004 * 陳耀光先生 二零零四年三月十八日 * 26 September 2005** ,000,000 4,000,000 二零零五年九月二十六日 ** Mr. Xu Chang Jun 18 March 2004 * 徐昌軍先生 二零零四年三月十八日 * 26 September 2005** ,200,000 (13,200,000) 二零零五年九月二十六日 ** 68,800,000 (39,600,000) 29,200,000 18

20 Additional Information 其他資料 SHARE OPTION SCHEME (continued) (a) The Company (continued) 購股權計劃 ( 續 ) (a) 本公司 ( 續 ) Number of Number of options held options held at 1 January at 30 June 於二零零七年 Granted Exercised Lapsed 於二零零七年 Exercise 一月一日 during during during 六月三十日 Name Date of grant price 所持之 the period the period the period 所持之 姓名 授出日期 行使價 購股權數目 期內已授出 期內已行使 期內已失效 購股權數目 (HK$) ( 港元 ) Employees 僱員 (In aggregate) 18 March 2004 * ,200,000 (13,200,000) ( 總計 ) 二零零四年三月十八日 * 26 September 2005** 二零零五年九月二十六日 ** 2 January 2007*** ,000,000 (518,000) (332,000) 42,150,000 二零零七年一月二日 *** 82,000,000 43,000,000 (53,318,000) (332,000) 71,350,000 * The exercisable period of the above share options is from 18 March 2004 to 17 March 2014 (both dates inclusive). * 上述購股權之行使期由二零零四年三月十八日至二零一四年三月十七日 ( 包括首尾日 ) ** The option period commences on 26 September 2005 and expires 10 years thereafter. Options granted are vested as follows: ** 購股權期間由二零零五年九月二十六日開始,10 年後到期 已授出購股權歸屬如下 : On 26 September 2005 Up to 50% 於二零零五年最多 50% 九月二十六日 On 26 September 2006 Up to 100% 於二零零六年最多 100% 九月二十六日 *** The exercisable period of the above share options is from 2 January 2007 to 1 January 2010 (both dates inclusive). *** 上述購股權之行使期由二零零七年一月二日至二零一零年一月一日 ( 包括首尾日 ) 19

21 Additional Information 其他資料 SHARE OPTION SCHEME (continued) (a) The Company (continued) 購股權計劃 ( 續 ) (a) 本公司 ( 續 ) Exercise price HK$ per share 行使價每股港元 Number of share options exercised during the period 期內已行使之購股權數目 Expiry date 到期日 17 March 2014 二零一四年三月十七日 ,200, September 2015 二零一五年九月二十五日 ,600,000 1 January 2010 二零一零年一月一日 ,000 53,318,000 During the period, the weighted average closing price immediately before the dates on which the options were exercised was HK$2.51 per share. 期內, 緊接購股權行使日期前之加權平均收市價為每股 2.51 港元 The Group has no legal or constructive obligation to repurchase or settle the options in cash. 本集團並無法定或推定責任須以現金購回或結算購股權 As at the date of this report, the Company has 71,350,000 share options outstanding. 於本報告日期, 本公司有 71,350,000 份購股權尚未行使 20

22 Additional Information 其他資料 SHARE OPTION SCHEME (continued) (b) Employee incentive scheme of a subsidiary On 4 April 2005, the Company approved its whollyowned subsidiary, Turbo Speed Technology Limited ( Turbo Speed ), to adopt an employee incentive scheme (the Employee Incentive Scheme ) to motivate the employees of Turbo Speed and its subsidiary (the Turbo Speed Group ). Eligible participants of the Employee Incentive Scheme include the full-time employees of Turbo Speed or any of its subsidiaries, including any Directors of Turbo Speed or any of its subsidiaries (but excluding any person who is a Director of the Company) provided always that such term shall exclude any person who has tendered his resignation or who at the relevant time is working out his period of notice pursuant to his employment contract or otherwise. The Employee Incentive Scheme became effective from 4 April 2005 to 31 December 2008 unless terminated by resolution of a remuneration committee formed by the Board to administer the Employee Incentive Scheme (the Committee ). 購股權計劃 ( 續 ) (b) 一家附屬公司之僱員獎勵計劃於二零零五年四月四日, 本公司批准其全資附屬公司 Turbo Speed Technology Limited( Turbo Speed ) 採納其僱員獎勵計劃 ( 僱員獎勵計劃 ), 以鼓勵 Turbo Speed 及其附屬公司 ( Turbo Speed 集團 ) 之僱員 僱員獎勵計劃之合資格參與者包括 Turbo Speed 或其任何附屬公司之全職僱員, 包括 Turbo Speed 或其任何附屬公司之任何董事 ( 但不包括為本公司董事之任何人士 ), 惟上述計劃不適用於已遞交辭呈或根據彼之僱傭合約或以其他形式之僱用條款, 已於有關時間發出離職通知之人士 除非董事會就執行僱員獎勵計劃而成立之薪酬委員會 ( 委員會 ) 以決議案終止該計劃外, 僱員獎勵計劃於二零零五年四月四日起生效, 直至二零零八年十二月三十一日止 The total number of shares in respect of which options may be granted shall not exceed 4,682,275 ordinary shares of Turbo Speed ( Turbo Speed Shares ), representing approximately 13.0% of the existing issued share capital of Turbo Speed, currently held by a whollyowned subsidiary of the Company. Share options may be offered to any employee determined by the Committee in its absolute discretion from time to time by reference to: (i) the performance of that employee; and (ii) the financial performance of the Turbo Speed Group and the extent to which the Turbo Speed Group has achieved its intended business plans. The maximum number of the Turbo Speed Shares which may be offered to an employee who is also a Director of companies within the Turbo Speed Group in any 12-month period may not exceed 1% of the entire issued share capital of Turbo Speed. 有關授出購股權所涉及的股份總數不得超過 Turbo Speed 的 4,682,275 股普通股 ( Turbo Speed 股份 ), 相當於 Turbo Speed 現時由本公司一家全資附屬公司持有之現有已發行股本約 13.0% 購股權可由委員會不時參考下列各項後全權酌情決定向任何僱員提呈.. (i) 該名僱員之表現 ; 及 (ii)turbo Speed 集團之財務表現及其可達致其擬定業務計劃之程度 於任何十二個月期間, 可向同時為 Turbo Speed 集團內公司董事之僱員提呈的 Turbo Speed 股份, 最多不得超過 Turbo Speed 全部已發行股本的 1% 21

23 Additional Information 其他資料 SHARE OPTION SCHEME (continued) (b) Employee incentive scheme of a subsidiary (continued) On 8 July 2005, 1,425,000 share options had been granted to certain Directors and employees of a subsidiary of Turbo Speed to subscribe ordinary shares of Turbo Speed at an exercise price of HK$1.922 per share. The exercisable period of the above share options is from 8 July 2005 to 31 December 2008 (both dates inclusive). During the six months ended 30 June 2007, no share options have been exercised and lapsed. The Group has no legal or constructive obligation to repurchase or settle the options in cash. As at the date of this report, Turbo Speed has 180,000 share options outstanding. SUBSTANTIAL SHAREHOLDERS INTERESTS AND SHORT POSITIONS IN THE SHARES AND UNDERLYING SHARES The register of substantial shareholders maintained under Section 336 of the SFO shows that as at 30 June 2007, the Company had been notified of the following substantial shareholders interests and short positions and underlying shares, being 5% or more of the Company s issued share capital. These interests are in addition to those disclosed above in respect of the Directors and chief executive. 購股權計劃 ( 續 ) (b) 一家附屬公司之僱員獎勵計劃 ( 續 ) 於二零零五年七月八日, 已向 Turbo Speed 一家附屬公司若干董事及僱員授出 1,425,000 份購股權, 可按每股 港元之行使價認購 Turbo Speed 普通股 上述購股權之行使期為二零零五年七月八日至二零零八年十二月三十一日 ( 包括首尾日 ) 截至二零零七年六月三十日止六個月, 並無任何購股權獲行使及失效 本集團並無以現金購回或償付購股權之法律或推定責任 於本報告刊發日期,Turbo Speed 有 180,000 份尚未行使購股權 主要股東於股份及相關股份之權益及淡倉 按本公司根據證券及期貨條例第 336 條存置之主要股東登記冊所顯示, 於二零零七年六月三十日, 本公司獲知會下列主要股東擁有本公司已發行股本 5% 或以上股份及相關股份之權益及淡倉 該等權益不包括上文所披露有關董事及行政總裁之權益 Approximate percentage Number of Number of of shareholding* Name of shareholder ordinary shares underlying shares Total 股權之概約 股東名稱 普通股數目 相關股份數目 總數 百分比 * Rich Global Limited ( RGL )** 757,083,636(L) 757,083, % Hi Sun Limited ( HSL )** 757,083,636(L) 757,083, % (Note 2) ( 附註 2) Kui Man Chun 757,083,636(L) 25,200, ,283, % 渠萬春 (Note 2) ( 附註 2) OZ Funds (Note 3)( 附註 3) 81,866,667(L) 64,356, ,223, % 22

24 Additional Information 其他資料 SUBSTANTIAL SHAREHOLDERS INTERESTS AND SHORT POSITIONS IN THE SHARES AND UNDERLYING SHARES (continued) Notes: 主要股東於股份及相關股份之權益及淡倉 ( 續 ) 附註 : 1. The Letter L denotes a long position in shares. 1. L 表示股份之好倉 2. HSL is interested in the Company s share capital by virtue of its 100% shareholding in RGL, and these shares are held by Kui Man Chun through HSL, a company which Kui Man Chun holds a 99.16% interest. 2. HSL 因持有 RGL 之 100% 股權而於本公司股本擁有權益 該等股份由渠萬春通過 HSL( 渠萬春持有 99.16% 權益之公司 ) 持有 3. OZ Master Fund, Ltd., OZ Asia Master Fund, Ltd. and OZ Global Special Investments Master Fund. L.P., collectively the OZ Funds. 3. OZ Master Fund, Ltd. OZ Asia Master Fund, Ltd. 及 OZ Global Special Investments Master Fund. L.P., 統稱為 OZ Funds * This percentage is calculated based on the total issued number of shares of the Company as at 30 June * 百分比乃根據本公司於二零零七年六月三十日之已發行股份總數計算 ** Mr. Kui Man Chun and Mr. Li Wenjin are Directors of RGL and Mr. Kui Man Chun, Mr. Li Wenjin, Mr. Xu Wensheng and Mr. Chan Yiu Kwong are Directors of HSL which were deemed or taken to have interests or short positions in the shares or underlying shares of the Company which would fall to be disclosed under the provisions of Divisions 2 and 3 of Part XV of the Securities and Futures Ordinance. ** 渠萬春先生及李文晉先生為 RGL 董事及渠萬春先生 李文晉先生 徐文生先生及陳耀光先生為 HSL 董事. 而其於本公司股份或相關股份中, 擁有或被視作或當作擁有須根據證券及期貨條例第 XV 部第 2 及 3 分部規定披露之權益或淡倉 PURCHASE, SALE OR REDEMPTION OF SHARES The Company has not redeemed any of its shares during the period. Neither the Company nor any of its subsidiaries has purchased or sold any of the Company s shares during the period. 購買 出售或贖回股份本公司於期內並無贖回其任何股份 期內, 本公司或其任何附屬公司概無購買或出售任何本公司股份 23

25 Additional Information 其他資料 MODEL CODE FOR SECURITIES TRANSACTIONS BY DIRECTORS The Company has adopted the Model Code for Securities Transactions by Directors of the Listed Issuers on terms no less exacting than the required standard set out in Appendix 10 of the Listing Rules (the Model Code ). The Model Code sets a required standard against which Directors and employees of the Company and its subsidiaries (the Group ) must measure their conduct regarding transactions in securities of the Company. 董事進行證券交易的標準守則本公司已採納上市公司董事進行證券交易的標準守則, 有關條款不寬鬆於上市規則附錄 10 所載之規定準則 ( 標準守則 ) 標準守則載有關於本公司及其附屬公司 ( 本集團 ) 董事及僱員於進行本公司證券交易時必須遵循之操守之規定準則 Specific enquiry had been made to all the Directors and the Directors have confirmed that they have complied with the required standard set out in the Model Code throughout the six months ended 30 June 經向全體董事作出具體查詢後, 董事確認, 彼等於截至二零零七年六月三十日止六個月一直遵守標準守則所載規定準則 CORPORATE GOVERNANCE The Company has complied with the code provisions of the Code on Corporate Governance Practices (the CG Code ) as set out in Appendix 14 of the Listing Rules throughout the six months ended 30 June 2007, except for the deviation from code provision A.2.1, A.4.1 and E.1.2 of the CG Code. 企業管治截至二零零七年六月三十日止六個月, 本公司一直遵守上市規則附錄 14 所載企業管治常規守則 ( 企業管治守則 ) 之守則條文, 惟下述偏離企業管治守則第 A.2.1 A.4.1 及 E.1.2 條之情況除外 Code provision A.2.1 stipulates that the roles of the chairman and Chief Executive Officer should be separate and should not be performed by the same individual. The chairman of the Board does not perform the duty of Chief Executive Officer, however, five of the other executive Directors who are also members of the senior management share the role of the Chief Executive Officer. The Board considers that due to the scale of operations of the Group and the daily operation of the Group s business are delegated to the senior management and department heads, the appointment of a Chief Executive Officer is not necessary. 守則條文第 A.2.1 條規定, 主席及行政總裁之職責應有所區分, 不應由同一人擔任 董事會主席並無擔任行政總裁之職務, 職務由五名身兼高級管理人員之其他執行董事分擔 董事會認為, 鑑於本集團業務規模及日常營運授權高級管理人員及部門主管負責, 故無需要委任行政總裁 24

26 Additional Information 其他資料 CORPORATE GOVERNANCE (continued) Code provision A.4.1 stipulates that non-executive Director should be appointed for a specific term, subject to reelection. Although the independent non-executive Directors are not appointed for a specific term, all Directors of the Company are subject to retirement by rotation once every three years and any new Director appointed to fill a causal vacancy shall submit himself/herself for re-election by shareholders at the first general meeting after appointment pursuant to the Company s Bye-laws. 企業管治 ( 續 ) 守則條文第 A.4.1 條訂明非執行董事須按特定任期委任, 並須膺選連任 儘管獨立非執行董事並非按特定任期委任, 本公司全體董事均須每三年輪值告退一次, 而任何就填補臨時空缺委任之新任董事, 須根據本公司之公司細則, 於獲委任後首個股東大會由股東重選 Code provision E.1.2 stipulates that the chairman of the Board should attend the annual general meeting. The Chairman did not attend the annual general meeting held on 30 May 2007, however, Mr. Li Wenjin, as an executive Director of the Company, took the chair pursuant to the Bye-laws of the Company. 守則條文第 E.1.2 條訂明, 董事會主席須出席股東週年大會 儘管主席並無出席於二零零七年五月三十日舉行之股東週年大會, 然而, 本公司執行董事李文晉先生根據本公司之公司細則出任大會主席 As such, the Company considers that sufficient measures have been taken to ensure that the Company s corporate governance practices are no less exacting than those in the CG Code. 因此, 本公司認為已採取足夠措施, 確保本公司之企業管治常規不寬鬆於企業管治守則 AUDIT COMMITTEE The Audit Committee comprises three independent nonexecutive Directors, namely Mr. Tam Chun Fai, Mr. Leung Wai Man, Roger and Mr. Xu Sitao. The Audit Committee has reviewed with management the accounting principles and practices adopted by the Group and discussed internal controls and financial reporting matters including a review of the unaudited condensed consolidated financial report for the six months ended 30 June 2007 with the Directors. 審核委員會審核委員會由三名獨立非執行董事譚振輝先生 梁偉民先生及許思濤先生組成 審核委員會已與管理層審閱本集團所採納會計原則及慣例, 並討論內部監控及財務申報事宜, 包括與董事審閱截至二零零七年六月三十日止六個月之未經審核簡明綜合財務報告 25

27 Additional Information 其他資料 DIRECTORS INTEREST IN COMPETING BUSINESS None of the Directors of the Company have an interest in any business constituting a competing business to the Group. PENSION SCHEME The subsidiaries operating in Hong Kong are required to participate in a defined contribution retirement scheme of the Group or Company set up in accordance with the Hong Kong Mandatory Provident Fund Ordinance. Under the scheme, the employees are required to contribute 5% of their monthly salaries up to a maximum of HK$1,000 and they can choose to make additional contributions. The employer s monthly contributions are calculated at 5% of the employee s monthly salaries up to a maximum of HK$1,000 (the Mandatory Contributions ). The employees are entitled to 100% of the employer s Mandatory Contributions upon their retirement at the age of 65 years old, death or total incapacity. In addition, pursuant to the government regulations in the People s Republic of China (the PRC ), the Group is required to contribute an amount to certain retirement benefit schemes based on approximately 7% to 20% of the wages for the year of those workers in the PRC. The local municipal government undertakes to assume the retirement benefits obligations of those workers of the Group. SUFFICIENCY OF PUBLIC FLOAT Based on the information that is publicly available to the Company and within the knowledge of the Directors, the Directors confirmed that the Company has maintained the amount of public float as required under the Listing Rules throughout the six months ended 30 June 董事於競爭業務之權益概無任何本公司董事於任何與本集團構成競爭之業務中持有任何權益 退休金計劃於香港營運之附屬公司須參加本集團或本公司根據香港強制性公積金條例成立之定額供款退休計劃 根據計劃, 僱員須按月薪 5% 作出供款, 上限為 1,000 港元, 而彼等可選擇作出額外供款 僱主每月供款按僱員月薪 5% 計算, 上限為 1,000 港元 ( 強制性供款 ) 僱員年屆 65 歲退休或身故或喪失工作能力時, 享有全部僱主供款 此外, 根據中華人民共和國 ( 中國 ) 政府法規規定, 本集團須按中國僱員該年薪金約 7% 至 20%, 向若干退休福利計劃作出供款 當地市政府承擔向本集團該類僱員支付退休福利之責任 足夠公眾持股量根據本公司現有公開資料及就董事所知, 董事確認, 本公司於截至二零零七年六月三十日止六個月維持上市規則規定之公眾持股量 26

28 Additional Information 其他資料 SUBSEQUENT EVENTS Acquisition of the entire interest in Baifu Hualong and Pacific Sheen and disposal of 5% interest in New Concept Services Limited On 10 February 2007, the Company entered into a sale and purchase agreement (the Hualong Agreement ) with 王秉人 (Wang Bing Ren), 王中方 (Wang Zhong Fang), 蔣杰忠 (Jiang Jie Zhong), 趙樹勳 (Zhao Shu Xun (also known as 趙力斌 (Zhao Li Bin)), 李寧川 (Li Ning Chuan) and Everon Group Holdings Limited (a company incorporated in Hong Kong) (collectively the Vendors ), who are parties independent of the Group, pursuant to which the Company conditionally agreed to procure the acquisition of the entire registered capital of Hangzhou Baifu Holding Company Limited ( Baifu Hualong ), a company incorporated in the PRC which will hold the entire interest in 杭州華隆電子技術有限公司 (Hangzhou Hualong Electronic Technology Company Limited), a company established in the PRC ( Hualong Electronic ) and 杭州華隆信息技術有限公司 (Hangzhou Hualong Information Technology Company Limited), a company established in the PRC ( Hualong Information ), the entire issued share capital of Pacific Sheen International Limited ( 富順國際有限公司 ), a company incorporated in Hong Kong ( Pacific Sheen ) and their respective subsidiaries (collectively referred to as the Hualong Group ) and the shareholders loans (the Hualong Acquisition ). 結算日後事項收購百富華隆及富順國際全部權益及出售新創服務有限公司 5% 權益 於二零零七年二月十日, 本公司與王秉人 王中方 蔣杰忠 趙樹勳 ( 又名趙力斌 ) 李寧川及信安控股有限公司 ( 一家於香港註冊成立之公司 )( 統稱為 賣方, 均獨立於本集團 ) 訂立買賣協議, 據此, 本公司有條件同意促使收購一家於中國註冊成立之公司杭州百富控股有限公司 ( 百富華隆 )( 將持有均於中國成立之公司杭州華隆電子技術有限公司 ( 華隆電子 ) 及杭州華隆信息技術有限公司 ( 華隆信息技術 ) 之全部權益 ) 之全部註冊股本 於香港註冊成立之富順國際有限公司 ( 富順國際 ) 及其各自之附屬公司 ( 以下統稱 華隆集團 ) 之全部已發行股本以及股東貸款 ( 華隆收購 ) As part of the transactions in relation to the Hualong Acquisition, the Company disposed of 5% of the issued share capital of New Concept Services Limited, a subsidiary of the Company and the immediate holding company of Baifu Hualong and Pacific Sheen, to the Vendors for a total consideration of RMB15.0 million (equivalent to approximately HK$15.5 million), which is equal to 5% of the total consideration to be paid by the Group for the Hualong Acquisition (the Hualong Disposal ). 作為有關華隆收購交易之其中一環, 本公司向賣方出售其附屬公司及百富華隆及富順國際之直接控股公司新創服務有限公司已發行股本之 5%, 總代價為人民幣 15,000,000 元 ( 相當於約 15,500,000 港元, 相當於本集團就華隆收購應付總代價 5%)( 華隆出售 ) 27

29 Additional Information 其他資料 SUBSEQUENT EVENTS (continued) Acquisition of the entire interest in Baifu Hualong and Pacific Sheen and disposal of 5% interest in New Concept Services Limited (continued) The Hualong Acquisition and the Hualong Disposal and the transactions contemplated herein have been completed on 30 July The consideration of RMB300,650,000 (equivalent to approximately HK$310.7 million) for the Hualong Acquisition was reduced by the amount of dividends of RMB30,000,000 (equivalent to approximately HK$31.0 million) that the Hualong Group declared and paid to the Vendors prior to the completion. The consideration of RMB270,650,000 (equivalent to approximately HK$279.7 million) for the Hualong Acquisition was satisfied by the Company as to: (a) a cash payment of RMB170,650,000 (equivalent to approximately HK$176.3 million); and (b) the balance of RMB100,000,000 (equivalent to approximately HK$103.3 million) by way of the consideration shares. The Company received cash consideration of RMB15,032,500 (equivalent to approximately HK$15.5 million) for the Hualong Disposal. 結算日後事項 ( 續 ) 收購百富華隆及富順國際全部權益及出售新創服務有限公司 5% 權益 ( 續 ) 華隆收購及華隆出售及其項下擬進行之交易已於二零零七年七月三十日完成 華隆收購之代價人民幣 300,650,000 元 ( 相當於約 310,700,000 港元 ) 已減去於完成前華隆集團向賣方派付之股息金額人民幣 30,000,000 元 ( 相當於約 31,000,000 港元 ) 華隆收購代價人民幣 270,650,000 元 ( 相當於約 279,700,000 港元 ) 由本公司按以下方式支付 :(a) 現金付款人民幣 170,650,000 元 ( 相當於約 176,300,000 港元 ); 及 (b) 以代價股份支付餘額人民幣 100,000,000 元 ( 相當於約 103,300,000 港元 ) 本公司就華隆出售收取現金代價人民幣 15,032,500 元 ( 相當於約 15,500,000 港元 ) As at 31 December 2006, the aggregate audited carrying value of the total net assets of the Hualong Group amounted to approximately HK$169.8 million. Goodwill arising from the Hualong Acquisition and Hualong Disposal will be finalised upon completion of management s assessment of the fair value of identifiable assets and liabilities of the Hualong Group as at the date of completion. 於二零零六年十二月三十一日, 華隆集團資產淨值總額經審核賬面值總額約為 169,800,000 港元 華隆收購及華隆出售所產生商譽將於管理層完成評估華隆集團於完成日期之可識別資產及負債公平值後落實 28

30 Condensed Consolidated Income Statement 簡明綜合損益表 For the six months ended 30 June 2007 截至二零零七年六月三十日止六個月 Unaudited 未經審核 Six months ended 30 June 截至六月三十日止六個月 二零零七年 二零零六年 Notes HK$ 000 HK$ 000 附註 千港元 千港元 Turnover 營業額 4 301, ,554 Cost of sales 銷售成本 5 (161,368) (111,839) Gross profit 毛利 140,175 81,715 Other gains, net 其他收益, 淨額 4 83,953 19,377 Selling expenses 銷售開支 5 (23,126) (15,451) Administrative expenses 行政費用 5 (78,068) (37,713) Operating profit 經營溢利 122,934 47,928 Finance costs 融資成本 7 (1,299) (1,902) Profit before income tax 除所得稅前溢利 121,635 46,026 Income tax expense 所得稅開支 8 (9,387) (3,805) Profit for the period 期內溢利 112,248 42,221 Attributable to: 應佔 : Equity shareholders 本公司權益持有人 110,414 42,221 of the Company Minority interests 少數股東權益 1, ,248 42,221 Earnings per share for profit 本公司權益 attributable to the equity 持有人應佔溢利 holders of the Company: 之每股盈利 : Basic - 基本 11 HK$0.056 HK$0.028 Diluted - 攤薄 11 HK$0.050 HK$0.025 The notes on pages 35 to 80 form an integral part of these condensed consolidated financial statements. 第 35 至 80 頁之附註構成此等簡明綜合財務報表其中部分 29

31 Condensed Consolidated Balance Sheet 簡明綜合資產負債表 As at 30 June 2007 and 31 December 2006 於二零零七年六月三十日及二零零六年十二月三十一日 Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 Note HK$ 000 HK$ 000 附註 千港元 千港元 ASSETS 資產 Non-current assets 非流動資產 Investment properties 投資物業 12 3,452 3,540 Property, plant and equipment 物業 廠房及設備 13 75,646 75,959 Leasehold land 租賃土地 14 30,177 30, , ,058 Current assets 流動資產 Inventories 存貨 49,372 28,552 Trade and other receivables, 應收賬款及其他應收款項 prepayments and deposits 預付款項及按金 , ,076 Due from a fellow subsidiary 應收一家同系 附屬公司款項 18, 23(b) 1,003 Due from a related company 應收一家關連公司款項 18, 23(b) Financial assets at fair value 按公平值計入溢利或 through profit or loss 虧損之金融資產 35,728 41,281 Cash and cash equivalents 現金及現金等價物 577, , , ,052 Total assets 總資產 1,043, ,110 EQUITY 權益 Capital and reserves 本公司權益持有人 attributable 應佔股本及儲備 to the Company s equity holders Share Capital 股本 19 5,091 4,699 Other reserves 其他儲備 844, , , ,672 Minority interests 少數股東權益 36,701 Total equity 權益總額 886, ,672 The notes on pages 35 to 80 form an integral part of these condensed consolidated financial statements. 第 35 至 80 頁之附註構成此等簡明綜合財務報表其中部分 30

32 Condensed Consolidated Balance Sheet 簡明綜合資產負債表 Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 Note HK$ 000 HK$ 000 附註 千港元 千港元 LIABILITIES 負債 Non-current liabilities 非流動負債 Financial liability portion 一家附屬公司發行 of convertible preference 可換股優先股之 shares issued by a subsidiary 財務負債部分 17, 21-22,485 Current liabilities 流動負債 Trade and other payables 應付賬款及 其他應付款項 , ,282 Due to a fellow subsidiary 應付一家同系 附屬公司款項 18, 23(b) - 13,497 Taxation payable 應繳稅項 11,370 7,174 Short term borrowings 短期借款 17 5,800 7, , ,953 Total liabilities 負債總額 157, ,438 Total equity and liabilities 權益及負債總額 1,043, ,110 Net current assets 流動資產淨值 776, ,099 Total assets less current liabilities 資產總值減流動負債 886, ,157 On behalf of the Board 代表董事會 Xu Wensheng Li Wenjin 徐文生 李文晉 Director Director 董事 董事 The notes on pages 35 to 80 form an integral part of these condensed consolidated financial statements. 第 35 至 80 頁之附註乃簡明綜合財務報表之其中部分 31

33 Condensed Consolidated Statement of Changes in Equity 簡明綜合權益變動表 For the six months ended 30 June 2007 截至二零零七年六月三十日止六個月 Unaudited 未經審核 Attributable to equity holders of the Company 本公司權益持有人應佔 Share Share Contributed Other Exchange Retained Minority capital premium surplus reserve reserve earnings interests Total 股本 股份溢價 實繳盈餘 其他儲備 外匯儲備 保留盈利 少數股東權益 合計 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 千港元 千港元 千港元 千港元 千港元 千港元 千港元 千港元 At 1 January 2007 於二零零七年一月一日 4, , , ,494 7,688 72, ,672 Profit for the period 期內溢利 ,414 1, ,248 Shares issued under 根據本公司購股權 share option 計劃發行股份 scheme of the ( 附註 19(a)) Company (Note 19(a)) 133 9, ,873 Issue of new shares 兌換一家附屬公司發行之 upon the conversion 可換股優先股後發行 of convertible 新股份 ( 附註 19 及 21(a)) preference shares issued by a subsidiary (Notes 19 and 21(a)) , ,080 Employee share 僱員購股權計劃 - option scheme 僱員服務價值 value of employee ( 附註 6 及 19(a)) services (Notes 6 and 19(a)) , ,615 Deemed disposal of 視作出售一家附屬公司 20% equity interest in 之 20% 股權 ( 附註 10) a subsidiary (Note 10) ,867 34,867 Exchange differences 換算海外附屬公司 arising on translation 財務報表產生之 of the financial 匯兌差額 statements of foreign subsidiaries (301) - - (301) At 30 June 2007 於二零零七年 六月三十日 5, , , ,109 7, ,185 36, ,054 The notes on pages 35 to 80 form an integral part of these condensed consolidated financial statements. 第 35 至 80 頁之附註乃簡明綜合財務報表之其中部分 32

34 Condensed Consolidated Statement of Changes in Equity 簡明綜合權益變動表 Unaudited 未經審核 Attributable to equity holders of the Company 本公司權益持有人應佔 Share Share Contributed Other Exchange Accumulated capital premium surplus reserve reserve losses Total 股本 股份溢價 實繳盈餘 其他儲備 外匯儲備 累計虧損 合計 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 千港元 千港元 千港元 千港元 千港元 千港元 千港元 At 1 January 2006 於二零零六年一月一日 3, , ,310 15, (118,261) 127,434 Profit for the period 期內溢利 42,221 42,221 Shares issued under 根據本公司購股權 share options 計劃發行股份 scheme of the Company 100 3,640 3,740 Issue of new shares 發行新股份 ,700 96,360 Share issuance expenses 股份發行開支 (60) (60) Share premium reduction 削減股份溢價 (Note 20) ( 附註 20) (100,556) 43,125 57,431 Employee share 僱員購股權計劃 - option scheme 僱員服務價值 value of employee services 1,612 1,612 Exchange differences 換算海外附屬公司 arising on translation 財務報表產生之 of the financial 匯兌差額 statements of foreign subsidiaries At 30 June 2006 於二零零六年 六月三十日 4,090 99, ,435 17,239 1,305 (18,609) 271,740 The notes on pages 35 to 80 form an integral part of these condensed consolidated financial statements. 第 35 至 80 頁之附註乃簡明綜合財務報表之其中部分 33

35 Condensed Consolidated Cash Flow Statement 簡明綜合現金流轉表 For the six months ended 30 June 2007 截至二零零七年六月三十日止六個月 Unaudited 未經審核 Six months ended 30 June 截至六月三十日止六個月 二零零七年二零零六年 HK$ 000 HK$ 000 千港元千港元 Net cash outflow from 經營業務所得現金 operating activities 流出淨額 (32,394) (10,570) Net cash outflow from 投資活動所得現金 investing activities 流出淨額 (5,020) (18,229) Net cash inflow from 融資活動所得現金 financing activities 流入淨額 86,798 51,541 Increase in cash and 現金及現金等價物增加 cash equivalents 49,384 22,742 Cash and cash equivalents 期初之現金及現金等價物 at beginning of period 528, ,579 Cash and cash equivalents 期末之現金及現金等價物 at end of period 577, ,321 Analysis of balances of cash and cash equivalents 現金及現金等價物 結餘之分析 Bank balances and cash 銀行結存及現金 577, ,321 The notes on pages 35 to 80 form an integral part of these condensed consolidated financial statements. 第 35 至 80 頁之附註乃簡明綜合財務報表之其中部分 34

36 1. GENERAL INFORMATION The principal activity of Hi Sun Technology (China) Limited (the Company ) is investment holding. 1. 一般資料高陽科技 ( 中國 ) 有限公司 ( 本公司 ) 之主要業務為投資控股 The Company and its subsidiaries (collectively referred to as the Group ) are principally engaged in the sales of information technology products, provision of business process operation services, provision of information system consultancy and integration services, and information technology operation value-added services. 本公司及其附屬公司 ( 合稱為 本集團 ) 主要從事銷售資訊科技產品 提供業務運營服務 資訊系統諮詢及集成服務以及資訊科技運營增值服務 The Company is a limited liability company incorporated in Bermuda. The address of its registered office is Clarendon House, 2 Church Street, Hamilton HM 11, Bermuda. 本公司為一家於百慕達註冊成立之有限公司, 其註冊辦事處地址為 Clarendon House, 2 Church Street, Hamilton HM 11, Bermuda The Company is listed on the Stock Exchange of Hong Kong Limited. 本公司於香港聯合交易所有限公司上市 These condensed consolidated financial statements were approved for issue on 27 August 此等簡明綜合財務報表於二零零七年八月二十七日獲批准刊發 2. BASIS OF PREPARATION These unaudited condensed consolidated financial statements for the six months ended 30 June 2007 ( Condensed Interim Accounts ) have been prepared in accordance with Hong Kong Accounting Standard ( HKAS ) 34 Interim financial reporting issued by the Hong Kong Institute of Certified Public Accountants. 2. 編製基準此等截至二零零七年六月三十日止六個月之未經審核簡明綜合財務報表 ( 簡明中期賬目 ) 乃按香港會計師公會頒佈之香港會計準則 ( 香港會計準則 ) 第 34 號 中期財務報告 編製 These condensed consolidated financial statements should be read in conjunction with the annual financial statements for the year ended 31 December 此等簡明綜合財務報表應與截至二零零六年十二月三十一日止年度之年度財務報表一併閱讀 35

37 36 3. ACCOUNTING POLICIES The following new standards, amendments and interpretations to existing standards, which have become effective for accounting periods beginning on or after 1 January 2007, are mandatory for financial year ending 31 December The Group adopted those which are relevant to its operations. HKAS 1 (Amendments) Presentation of Financial Statement: Capital Disclosures HKFRS 7 Financial Instruments: Disclosures HK(IFRIC)-Int 8: Scope of IFRS/HKFRS 2, Share-based Payment HK(IFRIC)-Int 9: Reassessment of Embedded Derivatives HK(IFRIC)-Int 10: Interim Financial Reporting and Impairment The adoption of the above standards, amendments and interpretations did not result in substantial changes to the Group s results of operations and financial position. The Group has not adopted the following new standards, amendments and interpretations to existing standards have been published but not effective for the financial year ending 31 December HKAS 23 (Revised) Borrowing Costs HKFRS 8 Operating Segments HK(IFRIC)-Int 11: HKFRS 2 Group and Treasury Share Transactions HK(IFRIC)-Int 12: Service Concession Arrangements The Group is in the process of making an assessment of the impact of these HKFRS and is not yet in a position to state what impact all these new HKFRS would have on its results of operations and financial position. 3. 會計政策下列新訂準則 現有準則之修訂及詮釋於二零零七年一月一日或之後開始之會計期間生效, 並須於截至二零零七年十二月三十一日止財政年度強制採納 本集團採納該等與其業務有關之準則 修訂及詮釋 香港會計準則第 1 號 ( 修訂本 ) 財務報表之呈列 : 資本披露 香港財務報告準則第 7 號財務工具 : 披露 香港 ( 國際財務報告詮釋委員會 )- 詮釋第 8 號 : 國際財務報告準則 / 香港財務報告準則第 2 號之範圍, 股份支付 香港 ( 國際財務報告詮釋委員會 )- 詮釋第 9 號 : 重估嵌入式衍生工具 香港 ( 國際財務報告詮釋委員會 )- 詮釋第 10 號 : 中期財務報告及減值 採納上述準則 修訂及詮釋不會對本集團之經營業績及財務狀況造成重大影響 本集團並無採納以下已頒佈, 惟於截至二零零七年十二月三十一日止財政年度尚未生效之新訂準則 現行準則之修訂及詮釋 香港會計準則第 23 號 ( 經修訂 ) 借貸成本 香港財務報告準則第 8 號經營分部 香港 ( 國際財務報告詮釋委員會 )- 詮譯第 11 號 : 香港財務報告準則第 2 號 - 集團及庫存股份交易 香港 ( 國際財務報告詮譯委員會 )- 詮譯第 12 號 : 服務特許權安排 本集團現正評估此等香港財務報告準則之影響, 惟尚未能指出所有此等新香港財務報告準則對其經營業績及財務狀況之影響

38 4. TURNOVER, OTHER GAINS AND SEGMENT REPORTING The Group is principally engaged in the sales of information technology products, provision of business process operation services, provision of information system consultancy and integration services, and information technology operation value-added services. Turnover and other gains recognised are as follows: 4. 營業額 其他收益及分類資料本集團之主要業務為銷售資訊科技產品 提供業務運營服務 資訊系統諮詢及集成服務以及資訊科技運營增值服務 已確認之營業額及其他收益如下.. Unaudited 未經審核 Six months ended 30 June 截至六月三十日止六個月 二零零七年二零零六年 HK$ 000 HK$ 000 千港元千港元 Turnover 營業額 Sales of goods 銷售貨品 171, ,329 Provision of business process 提供業務運營服務 operation services 3,847 Provision of information 提供資訊系統諮詢及 system consultancy and 集成服務 integration services 33,585 32,821 Information technology 資訊科技運營增值服務 operation value-added services 91,713 57,404 Rental income 租賃收入 , ,554 Other gains, net 其他收益, 淨額 Interest income 利息收入 4,666 1,410 Gain on disposal of financial 出售按公平值計入 assets at fair value through 溢利或虧損之 profit or loss 金融資產之收益 34,406 17,938 Fair value loss on financial 按公平值計入溢利或 assets at fair value through 虧損之金融資產 profit or loss 公平值虧損 (118) Gain on deemed disposal of 視作出售於一家 20% equity interest 附屬公司之 20% 股權 in a subsidiary (Note 10) 之收益 ( 附註 10) 43,258 Finance lease income 融資租賃收入 17 Other income 其他收入 1, ,953 19,377 Turnover and other gains 營業額及其他收益 385, ,931 37

39 4. TURNOVER, OTHER GAINS AND SEGMENT REPORTING (continued) The Group is organised into five main business segments: 4. 營業額 其他收益及分類資料 ( 續 ) 本集團分為五大業務分類 : (a) Electronic payment products and services sales of (a) 電子支付產品及服務 - 銷售電 electronic fund transfer point-of-sale ( EFT-POS ) 子轉賬售點 ( EFT-POS ) 終端 terminals; 機 ; (b) Information technology operation value-added (b) 資訊科技運營增值服務 - 提供 services provision of Interactive Voice Response 語音互動 ( IVR ) 服務 ; ( IVR ) services; (c) Telecommunication solutions, services and related (c) 電訊解決方案 服務及相關產 products provision of information system 品 - 向電訊行業提供資訊系統 consultancy and integration services and sales of 諮詢及集成服務和銷售資訊科 information technology products to the 技產品 ; telecommunications industries; (d) Financial solutions, services and related products provision of information system consultancy and integration services and sales of information technology products to financial institutions and banks; and (d) 金融解決方案 服務及相關產品 - 向財務機構及銀行提供資訊系統諮詢及集成服務和銷售資訊科技產品 ; 及 (e) Business process operations provision of (e) 業務運營 - 向提供支付解決方 outsourcing services to financial institutions and 案之金融機構及銀行提供自動 banks with payment solutions, such as automatic 櫃員機 ( ATM ) 及電子轉賬售 teller machines ( ATM ) and EFT-POS terminals. 點 (EFT-POS) 終端機等外判服 務 There are no sales or other transactions between the business segments. 各業務分類之間並無銷售或其他交易 38

40 4. TURNOVER, OTHER GAINS AND SEGMENT REPORTING (continued) An analysis of the Group s revenue and results for the period by business segment is as follows: 4. 營業額 其他收益及分類資料 ( 續 ) 本集團期內之收入及業績按業務分類分析如下 : Unaudited 未經審核 Six months ended 30 June 2007 截至二零零七年六月三十日止六個月 Telecom- Information munication Financial technology solutions, solutions, Electronic operation services and services payment value-added related and related products services products products Business and services 資訊科技 電訊解決 金融解決 process 電子支付 運營 方案 服務 方案 服務 operations Unallocated Group 產品及服務 增值服務 及相關產品 及相關產品 業務運營 未分配 本集團 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 千港元 千港元 千港元 千港元 千港元 千港元 千港元 Turnover 營業額 166,632 91,713 1,581 37,212 3, ,543 Other gains, net 其他收益, 淨額 ,953 83,953 Segment results 業績分類 34,332 48, (4,565) (2,676) 46, ,934 Finance costs 融資成本 (1,299) (1,299) Profit before income tax 除所得稅前溢利 121,635 Income tax expense 所得稅開支 (9,387) (9,387) Profit for the period 期內溢利 112,248 39

41 4. TURNOVER, OTHER GAINS AND SEGMENT REPORTING (continued) 4. 營業額 其他收益及分類資料 ( 續 ) Unaudited 未經審核 Six months ended 30 June 2006 截至二零零六年六月三十日止六個月 Telecom- Information munication Financial technology solutions, solutions, Electronic operation services and services payment value-added related and related products services products products and services 資訊科技 電訊解決 金融解決 電子支付 運營 方案 服務 方案 服務 Unallocated Group 產品及服務 增值服務 及相關產品 及相關產品 未分配 本集團 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 HK$ 000 千港元 千港元 千港元 千港元 千港元 千港元 Turnover 營業額 83,424 57,404 3,395 49, ,554 Other gains 其他收益 19,377 19,377 Segment results 業績分類 15,122 28,531 1,661 (7,077) 9,691 47,928 Finance costs 融資成本 (1,902) (1,902) Profit before income tax 除所得稅前溢利 46,026 Income tax expense 所得稅開支 (3,805) (3,805) Profit for the period 期內溢利 42,221 40

42 4. TURNOVER, OTHER GAINS AND SEGMENT REPORTING (continued) Secondary reporting format Geographical segments The Group s five business segments operate in two main geographical areas: 4. 營業額 其他收益及分類資料 ( 續 ) 次要呈報方式 - 地區分類 本集團之五項業務分類在兩個主要地區經營 : Mainland China electronic payment products and services, information technology operation value-added services, telecommunication solutions, services and related products, financial solutions, services and related products, and business process operations 中國大陸 - 電子支付產品及服務 資訊科技運營增值服務 電訊解決方案 服務及相關產品 金融解決方案 服務及相關產品, 以及業務運營 Hong Kong, electronic payment products and South East Asia services, and financial solutions, and others services and related products 香港 東南亞及其他 - 電子支付產品及服務, 以及金融解決方案 服務及相關產品 There are no sales or other transactions between the geographical segments. 各地區分類之間並無銷售或其他交易 41

43 4. TURNOVER, OTHER GAINS AND SEGMENT REPORTING (continued) Secondary reporting format Geographical segments (continued) 4. 營業額 其他收益及分類資料 ( 續 ) 次要呈報方式 - 地區分類 ( 續 ) Unaudited 未經審核 Six months ended 30 June 2007 截至二零零七年六月三十日止六個月 Segment Turnover results 營業額業績分類 HK$ 000 HK$ 000 千港元千港元 Mainland China 中國大陸 266,495 74,706 Hong Kong, South East Asia 香港 東南亞 and others 及其他 35,048 1, ,543 76,374 Other gains, net, unallocated 其他收益, 淨額, 未分配 83,953 Unallocated expenses 未分配開支 (37,393) Operating profit 經營溢利 122,934 Unaudited 未經審核 Six months ended 30 June 2006 截至二零零六年六月三十日止六個月 Segment Turnover results 營業額業績分類 HK$ 000 HK$ 000 千港元千港元 Mainland China 中國大陸 163,475 31,129 Hong Kong, South East Asia 香港 東南亞 and others 及其他 30,079 7, ,554 38,237 Other gains, unallocated 其他收益, 未分配 19,377 Unallocated expenses 未分配開支 (9,686) Operating profit 經營溢利 47,928 42

44 5. EXPENSES BY NATURE Expenses included in cost of sales, selling expenses and administrative expenses are analysed as follows: 5. 以性質區分之開支於銷售成本 銷售開支及行政費用計入之開支分析如下.. Unaudited 未經審核 Six months ended 30 June 截至六月三十日止六個月 二零零七年二零零六年 HK$ 000 HK$ 000 千港元千港元 Auditor s remuneration 核數師酬金 1, Depreciation of property, 物業 廠房及 plant and equipment 設備折舊 9,811 5,855 Depreciation of investment 投資物業折舊 properties 88 Amortisation of leasehold land 租賃土地攤銷 Employee benefit expense 僱員褔利開支 (including Directors ( 包括董事 emoluments) (Note 6) 酬金 )( 附註 6) 76,447 41,176 Costs of inventories sold 售出存貨成本 113,230 69,904 Operating lease rentals 土地及樓宇之營業 for land and buildings 租賃租金 4,564 4,922 Operating lease rentals 設備之營業租賃租金 for equipment 5,365 4,494 Research and development 研究及開發成本 costs 1,129 1,643 Loss on disposal of 出售物業 廠房及 property, plant and 設備虧損 equipment 188 Provision for impairment 應收賬款減值撥備 of trade receivables Write-back of provision 應收賬款減值 for impairment of 撥備撥回 trade receivables (225) Write-off of inventories 存貨撇銷 1, Refund of value-added tax 增值稅退款 (98) (639) 43

45 6. EMPLOYEE BENEFIT EXPENSE (INCLUDING DIRECTORS EMOLUMENTS) 6. 僱員福利開支 ( 包括董事酬金 ) Unaudited 未經審核 Six months ended 30 June 截至六月三十日止六個月 二零零七年二零零六年 HK$ 000 HK$ 000 千港元千港元 Wages and salaries 工資及薪金 42,881 34,454 Social security costs 社會保障成本 2,860 2,905 Employee share option 僱員購股權 scheme value of 計劃 - 已授出 employee services for 購股權之 share options granted 僱員服務價值 (Note 19(a)) ( 附註 19(a)) 27,615 1,612 Pension costs defined 退休金成本 - contribution plans 定額供款計劃 3,091 2,205 76,447 41, FINANCE COSTS 7. 融資成本 Unaudited 未經審核 Six months ended 30 June 截至六月三十日止六個月 二零零七年二零零六年 HK$ 000 HK$ 000 千港元千港元 Interest on bank loans and 銀行貸款及 overdrafts 透支利息 Interest on financial 一家附屬公司 liability portion 發行可換股 of convertible 優先股之 preference shares 財務負債 issued by a subsidiary 部分之利息 (Note 21(a)) ( 附註 21(a)) 333 1,019 1,299 1,902 44

46 8. INCOME TAX EXPENSE No Hong Kong profits tax has been provided as there is no estimated assessable profit for the period (six months ended 30 June 2006: Nil). Taxation on overseas profits has been calculated on the estimated assessable profit for the period at the rates of taxation prevailing in the countries in which the Group operates. 8. 所得稅開支由於期內並無估計應課稅溢利 ( 截至二零零六年六月三十日止六個月 : 無 ), 故無就香港利得稅作出撥備 對於海外溢利之稅項根據期內估計應課稅溢利以本集團經營業務之國家適用稅率計算 Unaudited 未經審核 Six months ended 30 June 截至六月三十日止六個月 二零零七年二零零六年 HK$ 000 HK$ 000 千港元千港元 Current Income tax 現時所得稅 Hong Kong profits tax - 香港利得稅 Overseas taxation - 海外稅項 9,387 3,805 Income tax expense 所得稅開支 9,387 3,805 PRC taxation has been provided on the profits of the Group s subsidiaries operating in the PRC and calculated at the applicable rates for the six months ended 30 June 2007 and 本集團於中國經營之附屬公司所得溢利已就中國稅項作出撥備, 並按截至二零零七年及二零零六年六月三十日止六個月之適用稅率計算 45

47 8. INCOME TAX EXPENSE (continued) A subsidiary in the PRC, Pax Technology (Shenzhen) Limited, enjoys tax concessions made available to Foreign Investment Enterprises and Foreign Enterprises during the six months ended 30 June 2007 and Pursuant to the Income Tax Law of the PRC concerning Foreign Investment Enterprises and Foreign Enterprises, the subsidiaries in the PRC are subjected to tax rate and tax concessions as follows: 8. 所得稅開支 ( 續 ) 截至二零零七年及二零零六年六月三十日止六個月內, 國內一家附屬公司百富計算機技術 ( 深圳 ) 有限公司享有外資企業及外國企業稅務優惠 根據有關外資企業及外國企業之中國所得稅法, 在中國之附屬公司享有稅率及稅務優惠如下 : Year of tax Applicable exemption/relief Name of subsidiaries tax rate 年內稅務 附屬公司名稱 適用稅率 豁免 / 減免 Pax Technology (Shenzhen) Limited 15% 2004 to 2008 百富計算機技術 ( 深圳 ) 有限公司 二零零四年至二零零八年 Beijing Hi Sun Advanced Business Solutions Information Technology Limited 15% 2000 to 2005 北京高陽金信信息技術有限公司 二零零零年至二零零五年 Beijing Hi Sunsray Information Technology Limited 15% 2000 to 2005 北京高陽聖思園信息技術有限公司 二零零零年至二零零五年 9. DIVIDEND No dividend on ordinary share has been paid or declared by the Company for the six months ended 30 June 2007 (six months ended 30 June 2006: Nil). 9. 股息本公司並無就截至二零零七年六月三十日止六個月派付或宣派普通股股息 ( 截至二零零六年六月三十日止六個月 : 無 ) 46

48 10. DEEMED DISPOSAL OF 20% EQUITY INTEREST IN A SUBSIDIARY On 4 April 2007, PAX Technology Limited ( PAX ), a then wholly-owned subsidiary of the Company, and the Company entered into a subscription agreement with Digital Investment Limited (the PAX Subscriber ) in relation to the subscription by the PAX Subscriber of 8,750,000 preference shares of PAX of HK$1.00 each (the PAX Preference Shares ) at a total subscription price of US$10 million (equivalent to approximately HK$78.1 million) (the PAX Subscription ). The PAX Preference Shares represent 25% of the then existing issued share capital of PAX and 20% of the issued share capital of PAX as enlarged by the PAX Subscription. The PAX Subscriber is a third party independent of the Group. The PAX Subscription was completed on 23 May 視作出售於一家附屬公司之 20% 股權於二零零七年四月四日, 本公司當時之全資附屬公司百富科技有限公司 ( 百富 ) 及本公司與 Digital Investment Limited( 百富認購人 ) 就百富認購人按總認購價 10,000,000 美元 ( 相等約 78,100,000 港元 ) 認購 8,750,000 股每股面值 1.00 港元之優先股 ( 百富優先股 ) 訂立認購協議 ( 百富認購事項 ) 百富優先股佔百富當時已發行股本之 25%, 以及佔百富經百富認購事項擴大後已發行股本之 20% 百富認購人乃本集團之獨立第三方 百富認購事項已於二零零七年五月二十三日完成 Unaudited 未經審核 As at 23 May 2007 於二零零七年五月二十三日 HK$ 000 千港元 Net assets of: 下列各項之資產淨值 : Property, plant and equipment 物業 廠房及設備 8,010 Due from immediate 應收直接控股公司款項 holding company 5,600 Due from a fellow subsidiary 應收一家同系附屬公司款項 1,080 Inventories 存貨 43,377 Trade receivables 應收賬款 134,993 Prepayments, deposits and 預付款項 按金及 other receivables 其他應收款項 4,048 Cash and cash equivalents 現金及現金等價物 87,712 Due to fellow subsidiaries 應付同系附屬公司款項 (15,390) Trade payables 應付賬款 (66,508) Other payables and 其他應付款項及 accrued expenses 應計開支 (20,071) Bank loans and overdraft 銀行貸款及透支 (6,000) Taxation payable 應繳稅項 (2,515) 174,336 Minority Interests 少數股東權益 34,867 Gain on deemed disposal 視作出售一家附屬公司 of 20% equity interest 20% 股權之收益 in a subsidiary 43,258 Total subscription price received 已收總認購價 78,125 47

49 10. DEEMED DISPOSAL OF 20% EQUITY INTEREST IN A SUBSIDIARY (continued) 10. 視作出售於一家附屬公司之 20% 股權 ( 續 ) Unaudited 未經審核 As at 23 May 2007 於二零零七年五月二十三日 HK$ 000 千港元 Satisfied by: 支付方式 : Cash received 已收現金 78,125 Analysis of net inflow of cash 視作出售一家附屬公司 and cash equivalents in 相關之現金及 connection with the deemed 現金等價物流 disposal of a subsidiary: 入淨額之分析如下 : Cash consideration 現金代價 78,125 Cash and cash equivalents of 視作出售附屬公司之現金 the subsidiary deemed disposed 及現金等價物 - Net inflow of cash and cash 有關視作出售一家附屬公司之 equivalents in respect of 現金及現金等價物 deemed disposal of 流入淨額 a subsidiary 78,125 According to a shareholders agreement entered into by the Company, PAX and the PAX Subscriber on 23 May 2007, if the audited net profit after taxation of the PAX and its subsidiary for the financial year ending 31 December 2007, as stated in the audited consolidated financial statements of PAX, is less than US$7 million, the Company shall transfer an agreed percentage of ordinary shares in PAX, up to 5% of the issued share capital of PAX as enlarged by the PAX Subscription, to the PAX Subscriber at a nominal consideration of HK$1. 根據本公司 百富與百富認購人於二零零七年五月二十三日訂立之股東協議, 倘誠如百富之經審核綜合財務報表所載, 百富及其附屬公司截至二零零七年十二月三十一日止財政年度之經審核除稅後純利不足 7,000,000 美元, 本公司須向百富認購人轉讓協定百分比之百富普通股股份 ( 最多合共百富認購事項經擴大之百富已發行股本之 5%), 象徵式代價為 1 港元 48

50 11. EARNINGS PER SHARE (a) Basic Basic earnings per share is calculated by dividing the profit attributable to equity holders of the Company by the weighted average number of ordinary shares in issue during the period. 11. 每股盈利 (a) 基本每股基本盈利乃按本公司權益持有人應佔溢利除期內已發行普通股加權平均數計算 Unaudited 未經審核 Six months ended 30 June 截至六月三十日止六個月 二零零七年二零零六年 Profit attributable to 本公司權益持有人 equity holders of 應佔溢利 the Company (HK$ 000) ( 千港元 ) 110,414 42,221 Weighted average number 已發行普通股 of ordinary shares in issue 加權平均數 (thousands) ( 千股 ) 1,970,502 1,484,181 Basic earnings per share 每股基本盈利 (HK$ per share) ( 每股港元 )

51 11. EARNINGS PER SHARE (continued) (b) Diluted Diluted earnings per share is calculated by adjusting the number of ordinary shares outstanding to assume conversion of all dilutive ordinary shares. The Company has two categories of dilutive ordinary shares: convertible preference shares issued by subsidiaries and share options. The convertible preference shares issued by subsidiaries are assumed to have been converted into ordinary shares and the net profit is adjusted to eliminate the interest expense less the tax effect. For the share options, a calculation is done to determine the number of shares that could have been acquired at fair value (determined as the average market share price of the Company s shares during the period) based on the monetary value of the subscription rights attached to outstanding share options. The number of shares calculated as above for the purpose of diluted earnings per share calculation is compared with the number of shares that would have been issued assuming the exercise of the share options. 11. 每股盈利 ( 續 ) (b) 攤薄每股攤薄盈利乃按兌換所有攤薄普通股之假設而調整已發行普通股數目計算 本公司之攤薄普通股分為兩類 : 附屬公司發行之可換股優先股及購股權 附屬公司發行之可換股優先股假設已轉換為普通股, 並已調整純利以對銷利息開支扣除稅務影響 購股權方面, 按尚未行使購股權所附認購權之貨幣價值計算, 以釐定可按公平值 ( 定為本公司股份期內之平均市價 ) 購買之股份數目 就每股攤薄盈利按上述方式計算之股份數目與假設購股權獲行使時應已發行之股份數目作比較 50

52 11. EARNINGS PER SHARE (continued) (b) Diluted (continued) 11. 每股盈利 ( 續 ) (b) 攤薄 ( 續 ) Unaudited 未經審核 Six months ended 30 June 截至六月三十日止六個月 二零零七年二零零六年 Profit attributable to equity 本公司權益持有人 holders of the Company 應佔溢利 (HK$ 000) ( 千港元 ) 110,414 42,221 Interest expense on 一家附屬公司發行之 convertible preference 可換股優先股利息開支 shares issued by a subsidiary ( 附註 7)( 千港元 ) (Note 7) (HK$ 000) 333 1,019 Profit used to determine 用作釐定每股攤薄 diluted earnings per 盈利之溢利 share (HK$ 000) ( 千港元 ) 110,747 43,240 Weighted average number 已發行普通股 of ordinary shares in issue 加權平均數 (thousands) ( 千股 ) 1,970,502 1,484,181 Adjustments for 就下列各項作出調整 assumed conversion of - 假設轉換 convertible preference 附屬公司發行之 shares issued by 可換股優先股 subsidiaries (thousands) ( 千股 ) 167, ,000 share options (thousands) - 購股權 ( 千份 ) 61, ,749 Weighted average number 計算每股攤薄盈利之 of ordinary shares for 普通股加權平均數 diluted earnings per share ( 千股 ) (thousands) 2,199,833 1,747,930 Diluted earnings per share 每股攤薄盈利 (HK$ per share) ( 每股港元 )

53 12. INVESTMENT PROPERTIES 12. 投資物業 Unaudited 未經審核 HK$ 000 千港元 Net book value as at 於二零零七年一月一日 1 January 2007 之賬面淨值 3,540 Additions 添置 - Depreciation 折舊 (88) Net book value as at 於二零零七年六月三十日 30 June 2007 之賬面淨值 3,452 Net book value as at 於二零零六年六月三十日 30 June 2006 之賬面淨值 Additions 添置 3,548 Depreciation 折舊 (8) Net book value as at 於二零零六年十二月三十一日 31 December 2006 之賬面淨值 3,540 Note: The fair value of HK$3,548,000 of the investment property located at 北京市海淀區阜成路 67 號銀都大廈 樓 as at 31 December 2006 was assessed by an independent and professionally qualified valuer, Vigers Appraisal & Consulting Limited based on current prices in an active market. No valuation was performed subsequently. Interests in investment properties at their net book values are analysed as follows: 附註 : 截至二零零六年十二月三十一日, 位於北京市海淀區阜成路 67 號銀都大廈 樓之投資物業之公平值為 3,548,000 港元, 由獨立專業合資格估值師威格斯資產評估顧問有限公司按於活躍市場之現行價格估值 其後並無進行評估 投資物業權益按賬面淨值分析如下 : Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 HK$ 000 HK$ 000 千港元 千港元 Outside Hong Kong, held on: 於香港以外地方持有 : Leases of between 10 至 50 年之租賃 10 to 50 years 3,452 3,540 52

54 13. PROPERTY, PLANT AND EQUIPMENT 13. 物業 廠房及設備 Unaudited 未經審核 HK$ 000 千港元 Net book value as at 於二零零七年一月一日 1 January 2007 之賬面淨值 75,959 Additions 添置 9,848 Disposals 出售 (350) Depreciation 折舊 (9,811) Net book value as at 於二零零七年六月三十日 30 June 2007 之賬面淨值 75,646 Net book value as at 於二零零六年一月一日 1 January 2006 之賬面淨值 37,760 Additions 添置 18,229 Depreciation 折舊 (5,855) Net book value as at 於二零零六年六月三十日 30 June 2006 之賬面淨值 50,134 Exchange differences 匯兌差額 2,169 Additions 添置 30,911 Disposals 出售 (21) Depreciation 折舊 (7,234) Net book value as at 於二零零六年十二月三十一日 31 December 2006 之賬面淨值 75,959 53

55 14. LEASEHOLD LAND The Group s interests in leasehold land represent prepaid operating lease payments and their net book values are analysed as follows: 14. 租賃土地本集團於租賃土地的權益即預繳營業租賃款項, 其賬面淨值分析如下 : Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 HK$ 000 HK$ 000 千港元 千港元 Outside Hong Kong, held on: 於香港以外地方持有 : Leases of between 10 至 50 年 10 to 50 years 之租賃 30,595 30,595 Accumulated amortisation 累計攤銷 (418) (36) Net book value 賬面淨值 30,177 30,559 The movement of the lease prepayment for land is as follows: 土地預付租金之變動如下 : Unaudited 未經審核 HK$ 000 千港元 Net book value as at 於二零零七年一月一日 1 January 2007 之賬面淨值 30,559 Amortisation 攤銷 (382) Net book value as at 於二零零七年六月三十日 30 June 2007 之賬面淨值 30,177 Net book value as at 於二零零六年一月一日 1 January 2006 之賬面淨值 208 Amortisation 攤銷 (4) Net book value as at 於二零零六年六月三十日 30 June 2006 之賬面淨值 204 Exchange differences 匯兌差額 9 Additions 添置 30,378 Amortisation 攤銷 (32) Net book value as at 於二零零六年十二月三十一日 31 December 2006 之賬面淨值 30,559 54

56 15. TRADE AND OTHER RECEIVABLES, PREPAYMENTS AND DEPOSITS 15. 應收賬款及其他應收款項 預付款項及按金 Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 HK$ 000 HK$ 000 千港元 千港元 Trade receivables (Note (a)) 應收賬款 ( 附註 (a)) 253, ,220 Finance leases receivables 融資租賃應收賬款 Less: provision for impairment 減 : 應收賬款減值 of receivables 撥備 (3,519) (4,318) Trade receivables net 應收賬款 - 淨值 249, ,622 Prepayments, deposits and 預付款項 按金及 other receivables 其他應收款項 21,271 12, , ,076 Note (a): The Group s credit terms to trade receivables range from 0 to 180 days. At 30 June 2007 and 31 December 2006, the ageing analysis of the trade receivables were as follows: 附註 (a): 本集團應收賬款之信貸期為 0 至 180 日 於二零零七年六月三十日及二零零六年十二月三十一日, 應收賬款之賬齡分析如下: Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 HK$ 000 HK$ 000 千港元 千港元 Current to 90 days 即時至 90 日 157, , days to 180 days 91 日至 180 日 77,782 6, days to 365 days 181 日至 365 日 15,210 3,519 Over 365 days 365 日以上 2,373 2,476 Trade receivables 應收賬款 253, ,220 55

57 16. TRADE AND OTHER PAYABLES 16. 應付賬款及其他應付款項 Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 HK$ 000 HK$ 000 千港元 千港元 Trade payables 應付賬款 83,805 54,611 Other payables and accruals 其他應付款項及應計款項 33,490 44,399 Pension obligations 退休金供款 9,051 8,696 Social security and other taxes 社會保障及其他稅項 14,345 9, , ,282 At 30 June 2007 and 31 December 2006, the ageing analysis of the trade payables were as follows: 於二零零七年六月三十日及二零零六年十二月三十一日, 應付賬款之賬齡分析如下 : Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 HK$ 000 HK$ 000 千港元 千港元 Current to 90 days 即時至 90 日 69,655 44, days to 180 days 91 日至 180 日 5,875 4, days to 365 days 181 日至 365 日 4,768 2,987 Over 365 days 365 日以上 3,507 1,813 83,805 54,611 56

58 17. BORROWINGS 17. 借款 Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 HK$ 000 HK$ 000 千港元 千港元 Non-current 非流動 Financial liability portion - 一家附屬公司 of convertible 發行可換股 preference shares 優先股之 issued by a 財務負債 subsidiary (Note 21(a)) 部分 ( 附註 21(a)) 22,485 Current 流動 Short term bank borrowings 短期銀行借款 Short term bank loans - 短期銀行貸款 PRC, secured (Note) - 中國, 有抵押 ( 附註 ) 5,800 7,000 Total borrowings 借款總額 5,800 29,485 Note: 附註 : As at 30 June 2007, short term bank loans of RMB5,800,000 million (HK$5,800,000) were secured by the leasehold land and building of a subsidiary of the Company and the corporate guarantee from an independent third party, 深圳市高新技術投資擔保有限公司 (Shenzhen High and New Technology Investment Guarantee Company Limited) (31 December 2006: HK$7,000,000). 於二零零七年六月三十日, 人民幣 5,800,000 元 (5,800,000 港元 ) 之短期銀行貸款 ( 二零零六年十二月三十一日 :7,000,000 港元 ) 由本公司一家附屬公司之租賃土地及樓宇以及一名獨立第三方深圳市高新技術投資擔保有限公司之公司擔保作抵押 57

59 17. BORROWINGS (continued) As at 31 December 2006, the carrying amount of financial liability portion of convertible preference shares issued by a subsidiary approximated its fair value. 17. 借款 ( 續 ) 於二零零六年十二月三十一日, 一家附屬公司所發行可換股優先股之財務負債部分之賬面值與其公平值相若 The carrying amounts of the borrowings are denominated in the following currencies: 借款賬面值以下列貨幣列值 : Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 HK$ 000 HK$ 000 千港元 千港元 Hong Kong dollar 港元 22,485 Renminbi 人民幣 5,800 7,000 5,800 29, DUE FROM/(TO) A RELATED COMPANY AND A FELLOW SUBSIDIARY The amounts due from/(to) a related company and a fellow subsidiary are interest free, unsecured and repayable on demand. 18. 應收 /( 應付 ) 一家有關連公司及一家同系附屬公司款項應收 /( 應付 ) 一家有關連公司及一家同系附屬公司款項均為免息 無抵押及索還時償付 58

60 19. SHARE CAPITAL 19. 股本 Unaudited 未經審核 Ordinary shares of HK$ each Number 每股面值 港元之普通股 Number of Shares HK$ 000 股份數目千港元 Authorised: 法定 : At 1 January 2007 and 於二零零七年一月一日及 30 June 2007 二零零七年六月三十日 4,000,000,000 10,000 Issued and fully paid: 已發行及繳足 : At 1 January 2007 於二零零七年一月一日 1,879,416,120 4,699 Shares issued upon the 兌換由一家附屬公司 conversion of convertible 發行之可換股 preference shares issued 優先股後之 by a subsidiary (Note 21(a)) 已發行股份 ( 附註 21(a)) 103,733, Shares issued under share 按本公司購股權計劃 option scheme of the 項下發行股份 Company (Note (a)) ( 附註 (a)) 53,318, At 30 June 2007 於二零零七年六月三十日 2,036,467,454 5,091 Notes: 附註 : (a) Share option scheme of the Company (a) 本公司之購股權計劃 The Company operates a share option scheme (the 本公司設立購股權計劃 ( 該計 Scheme ) for the purpose of attracting, retaining and 劃 ), 旨在吸引 留聘及激勵有 motivating talented employees in order to strive for future 潛質之僱員, 以助推動日後發展 developments and expansion of the Group. Eligible 及擴充本集團業務 該計劃之合 participants of the Scheme include the Group s full-time 資格參與者包括本集團之全職僱 employees, and executive and non-executive Directors. 員以及執行及非執行董事 該計 The Scheme became effective on 29 November 2001 and 劃於二零零一年十一月二十九日 unless otherwise cancelled or amended, will remain valid 生效, 除另行取消或修訂以外, and effective for a period of 10 years from that date. 將由該日起計 10 年期間仍然有效 及生效 59

61 19. SHARE CAPITAL (continued) Notes: 19. 股本 ( 續 ) 附註 : (a) Share option scheme of the Company (continued) The total number of shares in respect of which options may be granted shall not (together with all the other Schemes, if any) exceed 10% of the total issued capital of the Company as at the date of approval of the Scheme unless the Company obtains a fresh approval from shareholders to renew the 10% limit. (a) 本公司之購股權計劃 ( 續 ) 除非本公司就更新 10% 限額取得股東之新批准, 否則可予授出之購股權 ( 連同其他所有計劃, 如有 ) 所涉及之股份總數, 不得超過本公司於該計劃批准日期之全部已發行股本 10% The maximum number of shares in respect of which options may be granted under the Scheme, together with any unexercised share options granted under the Scheme and any other share option schemes of the Company in issue, may not exceed 30% of the relevant class of securities of the Company in issue at any time. On 18 March 2004, 33,000,000 share options were granted to certain Directors and employees at an exercise price of HK$0.374 per share (the average closing price of the shares as quoted in the daily quotations sheets issued by The Stock Exchange of Hong Kong Limited for the five business days immediately preceding 18 March 2004) with an expiry date of 17 March 就該計劃可授出之購股權, 連同根據該計劃或本公司任何其他購股權計劃已授出惟尚未行使之任何購股權涉及之股份數目, 最多不得超過本公司於任何時間已發行之有關類別證券之 30% 於二零零四年三月十八日, 本公司向若干董事及僱員授出 33,000,000 份購股權, 行使價為每股 港元, 即緊接二零零四年三月十八日前五個營業日香港聯合交易所有限公司發佈之每日報價表所報股份平均收市價, 到期日為二零一四年三月十七日 Pursuant to an ordinary resolution passed on 17 August 2005, a refreshment of the limit on grant of options under the Scheme was approved by the shareholders. Upon refreshing the 10% limit on grant of options under the Scheme, 33,305,403 shares may be issued pursuant to the grant of further options under the Scheme. 根據於二零零五年八月十七日通過之普通決議案, 股東批准更新該計劃項下可授出購股權之限額 更新該計劃項下可授出購股權之 10% 限額後, 可根據該計劃項下進一步授出之購股權發行 33,305,403 股股份 On 26 September 2005, 33,300,000 share options were granted to certain Directors and employees at an exercise price of HK$0.768 per share (the average closing price of the shares as quoted in the daily quotations sheets issued by The Stock Exchange of Hong Kong Limited for the five business days immediately preceding 26 September 2005) with an expiry date of 25 September The option period commences on 26 September 2005 and expires 10 years thereafter. 於二零零五年九月二十六日, 本公司向若干董事及僱員授出 33,300,000 份購股權, 行使價為每股 港元, 即緊接二零零五年九月二十六日前五個營業日香港聯合交易所有限公司發佈之每日報價表所報股份平均收市價, 到期日為二零一五年九月二十五日 購股權期間由二零零五年九月二十六日開始, 並自該日起 10 年後到期 60

62 19. SHARE CAPITAL (continued) Notes: 19. 股本 ( 續 ) 附註 : (a) Share option scheme of the Company (continued) Options granted are vested as follows: (a) 本公司之購股權計劃 ( 續 ) 已授出購股權歸屬如下.. On 26 September 2005 Up to 50% On 26 September 2006 Up to 100% 於二零零五年最多 50% 九月二十六日於二零零六年最多 100% 九月二十六日 Pursuant to an ordinary resolution passed on 28 June 2006, each of the existing issued and unissued ordinary shares of HK$0.01 each in the share capital of the Company was subdivided into four ordinary shares of HK$ each (the Share Subdivision ), which was approved by the shareholders of the Company and became effective on 29 June 根據於二零零六年六月二十八日通過之普通決議案, 本公司股本中每股面值 0.01 港元之現有已發行及未發行普通股, 已分拆為四股每股面值 港元之普通股 ( 股份分拆 ) 本公司股東已批准股份分拆, 並已於二零零六年六月二十九日生效 The Share Subdivision has led to an adjustment to the exercise price of the outstanding options and the number of shares to be issued by the Company upon exercise of the outstanding options. For share options with exercise period from 18 March 2004 to 17 March 2014, the number of shares to be issued by the Company upon full exercise of such outstanding options immediately before the Share Subdivision has been increased from 23,000,000 shares to 92,000,000 shares and the exercise price has been adjusted from HK$0.374 to HK$ per share. For share options with exercise period from 26 September 2005 to 25 September 2015, the number of shares to be issued by the Company upon full exercise of such outstanding options immediately before the Share Subdivision has been increased from 33,300,000 shares to 133,200,000 shares and the exercise price has been adjusted from HK$0.768 to HK$0.192 per share. 股份分拆導致須調整未行使購股之行使價及本公司於未行使購股權獲行使時將予發行之股份數目 就行使期由二零零四年三月十八日至二零一四年三月十七日之購股權而言, 本公司於緊接股份分拆前, 在有關尚未行使購股權獲悉數行使時將予發行之股份數目由 23,000,000 股增至 92,000,000 股, 而行使價則由每股股份 港元調整至每股股份 港元 就行使期由二零零五年九月二十六日至二零一五年九月二十五日之購股權而言, 本公司於緊接股份分拆前, 在有關尚未行使購股權獲悉數行使時將予發行之股份數目由 33,300,000 股增至 133,200,000 股, 而行使價則由每股股份 港元調整至每股股份 港元 61

63 19. SHARE CAPITAL (continued) Notes: 19. 股本 ( 續 ) 附註 : (a) Share option scheme of the Company (continued) On 2 January 2007, 43,000,000 share options were granted to certain employees at an exercise price of HK$2.00 per share (the average closing price of the shares as quoted in the daily quotations sheets issued by the Stock Exchange of Hong Kong Limited for the five business days immediately preceding 2 January 2007) with an expiry date of 1 January (a) 本公司之購股權計劃 ( 續 ) 於二零零七年一月二日, 本公司向若干僱員授出 43,000,000 份購股權, 行使價為每股 2.00 港元, 即緊接二零零七年一月二日前五個營業日香港聯合交易所有限公司發佈之每日報價表所報股份平均收市價, 到期日為二零一零年一月一日 The fair values of options granted during the period determined using the Black-Scholes-Merton option pricing model were: 期內授出之購股權以柏力克 - 舒爾斯購股權定價模式釐定之公平值如下 : Fair value 公平值 Options to be vested on Number of options HK$ 000 於下列日期歸屬的購股權 購股權數目 千港元 2 January 2007 二零零七年一月二日 43,000,000 27,615 The significant inputs into the model were share price of HK$2.00 at the grant date, exercise price shown above, standard deviation of expected share price returns of 63.5%, expected life of options of 1.5 years, expected dividend paid out rate of 0% and annual risk-free interest rate of 3.552%. The volatility measured at the standard deviation of expected share price returns is based on statistical analysis of daily share prices of the Company over the past 260 trading days prior to the grant date. 於該模式輸入的重要資料為於授出日期之股份價格 2.00 港元 上述行使價 預計股價回報 63.5% 之標準差 預計為 1.5 年之購股權有效期 預計為 0% 之派息率及 3.552% 之年度無風險利率 以標準差計算之預計股價回報波動, 是以本公司每日股價於授出日期前過去 260 個交易日之統計分析資料為基準而計算 62

64 19. SHARE CAPITAL (continued) Notes: 19. 股本 ( 續 ) 附註 : (a) Share option scheme of the Company (continued) Share options outstanding have the following expiry date and exercise prices: (a) 本公司之購股權計劃 ( 續 ) 尚未行使購股權之到期日及行使價如下.. Exercise price HK$ per share 30 June 2007 行使價 二零零七年 每股港元 六月三十日 Expiry date 到期日 17 March 2014 二零一四年三月十七日 ,000, September 2015 二零一五年九月二十五日 ,200,000 1 January 2010 二零一零年一月一日 ,150,000 71,350,000 Exercise price 31 December HK$ per share 2006 行使價 二零零六年 每股港元 十二月三十一日 Expiry date 到期日 17 March 2014 二零一四年三月十七日 ,200, September 2015 二零一五年九月二十五日 ,800,000 82,000,000 63

65 19. SHARE CAPITAL (continued) Notes: 19. 股本 ( 續 ) 附註 : (a) Share option scheme of the Company (continued) For the six months ended 30 June 2007, 53,318,000 share options have been exercised (the details are as follows), and 332,000 share options have been lapsed, resulting in the issue of 53,318,000 additional ordinary shares of the Company. (a) 本公司之購股權計劃 ( 續 ) 於截至二零零七年六月三十日止六個月,53,318,000 份購股權獲行使 ( 有關詳情如下 ), 另有 332,000 份購股權失效, 令本公司發行 53,318,000 股額外普通股 Exercise price HK$ per share 行使價每股港元 Number of share options exercised during the period 期內已行使之購股權數目 Expiry date 到期日 17 March 2014 二零一四年三月十七日 ,200, September 2015 二零一五年九月二十五日 ,600,000 1 January 2010 二零一零年一月一日 ,000 53,318,000 During the six months ended 30 June 2007, the weighted average closing price immediately before the dates on which the options were exercised was HK$2.51 per share. The Group has no legal or constructive obligation to repurchase or settle the options in cash. 於截至二零零七年六月三十日止六個月, 緊接購股權獲行使日期前之加權平均收市價為每股 2.51 港元 本集團並無以現金贖回或償付購股權之法定或推定責任 As at the date of this report, the Company has 71,350,000 share options outstanding. 於本報告日期, 本公司有 71,350,000 份購股權尚未行使 64

66 19. SHARE CAPITAL (continued) Notes: 19. 股本 ( 續 ) 附註 : (b) Employee incentive scheme of a subsidiary On 4 April 2005, the Company approved its whollyowned subsidiary, Turbo Speed Technology Limited ( Turbo Speed ), to adopt an employee incentive scheme (the Employee Incentive Scheme ) to motivate the employees of Turbo Speed and its subsidiary (the Turbo Speed Group ). Eligible participants of the Employee Incentive Scheme include the full-time employees of Turbo Speed or any of its subsidiaries, including any Directors of Turbo Speed or any of its subsidiaries (but excluding any person who is a Director of the Company) provided always that such term shall exclude any person who has tendered his resignation or who at the relevant time is working out his period of notice pursuant to his employment contract or otherwise. The Employee Incentive Scheme became effective from 4 April 2005 to 31 December 2008, unless terminated by resolution of a remuneration committee formed by the Board to administer the Employee Incentive Scheme (the Committee ). (b) 一家附屬公司之僱員獎勵計劃於二零零五年四月四日, 本公司批准其全資附屬公司 Turbo Speed Technology Limited( Turbo Speed ) 採納一項僱員獎勵計劃 ( 僱員獎勵計劃 ), 以鼓勵 Turbo Speed 及其附屬公司 ( Turbo Speed 集團 ) 之僱員 僱員獎勵計劃之合資格參與者包括 Turbo Speed 或其任何附屬公司之全職僱員, 包括 Turbo Speed 或其任何附屬公司之任何董事 ( 但不包括為本公司董事之任何人士 ), 惟上述計劃不適用於已遞交辭呈或根據其僱傭合約或以其他形式之僱用條款, 已於有關時間發出離職通知之人士 僱員獎勵計劃於二零零五年四月四日起生效, 直至二零零八年十二月三十一日止, 惟董事會就執行僱員獎勵計劃而成立之薪酬委員會 ( 委員會 ) 以決議案終止該計劃者除外 The total number of shares in respect of which options may be granted shall not exceed 4,682,275 ordinary shares of Turbo Speed ( Turbo Speed Shares ), representing approximately 13.0% of the existing issued share capital of Turbo Speed, currently held by a whollyowned subsidiary of the Company. Share options may be offered to any employee determined by the Committee in its absolute discretion from time to time by reference to: (i) the performance of that employee; and (ii) the financial performance of the Turbo Speed Group and the extent to which the Turbo Speed Group has achieved its intended business plans. The maximum number of the Turbo Speed Shares which may be offered to an employee who is also a Director of companies within the Turbo Speed Group in any 12-month period may not exceed 1% of the entire issued share capital of Turbo Speed. 可授出購股權所涉及之股份總數不得超過 4,682,275 股 Turbo Speed 之普通股 ( Turbo Speed 股份 ), 相當於 Turbo Speed 現時由本公司一家全資附屬公司持有之已發行股本約 13.0% 購股權可由委員會不時參考下列各項後全權酌情決定向任何僱員提呈.. (i) 該名僱員的表現..及 (ii)turbo Speed 集團之財務表現及其可達致其擬定業務計劃之程度 於任何十二個月期間, 可向同時為 Turbo Speed 集團內公司董事之僱員提呈之 Turbo Speed 股份, 最多不得超過 Turbo Speed 全部已發行股本之 1% 65

67 19. SHARE CAPITAL (continued) Notes: 19. 股本 ( 續 ) 附註 : (b) Employee incentive scheme of a subsidiary (continued) On 8 July 2005, 1,425,000 share options had been granted to certain Directors and employees of a subsidiary of Turbo Speed to subscribe ordinary shares of Turbo Speed at an exercise price of HK$1.922 per share. The exercisable period of the above share options is from 8 July 2005 to 31 December 2008 (both dates inclusive). (b) 一家附屬公司之僱員獎勵計劃 ( 續 ) 於二零零五年七月八日, 已向 Turbo Speed 一家附屬公司若干董事及僱員授出 1,425,000 份購股權, 可按每股 港元之行使價認購 Turbo Speed 普通股 上述購股權之行使期為二零零五年七月八日至二零零八年十二月三十一日 ( 包括首尾兩日 ) Share options outstanding have the following expiry date and exercise price: 尚未行使購股權之到期日及行使價如下.. 30 June 31 December Exercise price HK$ per share 二零零七年 二零零六年 行使價每股港元 六月三十日 十二月三十一日 Expiry date 到期日 31 December 2008 二零零八年十二月三十一日 , ,000 During the six months ended 30 June 2007, no share options have been exercised and lapsed. The Group has no legal or constructive obligation to repurchase or settle the options in cash. As at the date of this report, Turbo Speed has 180,000 share options outstanding. 截至二零零七年六月三十日止六個月, 並無任何購股權獲行使及失效 本集團並無以現金購回或償付購股權之法律或推定責任 於本報告刊發日期,Turbo Speed 有 180,000 份尚未行使購股權 66

68 20. SHARE PREMIUM REDUCTION In compliance with section 46 of the Companies Act 1981 of Bermuda and with effect from 28 June 2006 (the date of the passing of the special resolution), the entire amount standing to the credit of the share premium account of the Company as at 31 December 2005 was cancelled and the Directors of the Company was authorised to apply part of the credit arising from the aforesaid reduction of the share premium account of the Company in the sum of HK$57,431,000 to offset the accumulated losses of the Company in full and the remaining balance of the credit arising therefrom in the sum of HK$43,125,000 was transferred to the contributed surplus account of the Company in accordance with the Bye-laws of the Company and all applicable laws. 21. CONVERTIBLE PREFERENCE SHARES ISSUED BY SUBSIDIARIES (a) Convertible preference shares issued by Turbo Speed Technology Limited ( Turbo Speed ) On 9 November 2004, Turbo Speed, a wholly-owned subsidiary of the Company, entered into a subscription agreement with independent third parties in relation to the subscription of 6,837,608 convertible preference shares of US$0.10 each of Turbo Speed for a total subscription price of US$4 million (approximately HK$31.2 million) ( the TS Subscription ). The subscription price had been received by Turbo Speed shortly after signing of the said subscription agreement and was held in jointly controlled bank account and were released on completion of the Subscription. 20. 削減股份溢價根據百慕達一九八一年公司法第 46 條及自特別決議案獲通過日期二零零六年六月二十八日起, 本公司於二零零五年十二月三十一日股份溢價賬之進賬已悉數註銷, 而本公司董事獲授權動用自上述削減本公司股份溢價賬產生之部分進賬合共 57,431,000 港元, 以悉數抵銷本公司之累計虧損, 而自上述削減產生之進賬餘額合共 43,125,000 港元已根據本公司之公司細則及一切適用法例, 轉撥至本公司之繳入盈餘賬內 21. 附屬公司發行可換股優先股 (a) Turbo Speed Technology Limited( Turbo Speed ) 發行之可換股優先股於二零零四年十一月九日, 本公司全資附屬公司 Turbo Speed 與獨立第三方訂立認購協議, 以總認購價 4,000,000 美元 ( 約 31,200,000 港元 ) 認購 6,837,608 股每股面值 0.10 美元之 Turbo Speed 可換股優先股 ( 該 TS 認購 ) Turbo Speed 於簽訂上述認購協議後隨即收取認購價, 有關認購價存入聯名銀行賬戶, 並已於認購事項完成後解除 Pursuant to an ordinary resolution passed on 4 April 2005, the Company approved the TS Subscription and the TS Subscription was completed on 29 April 根據於二零零五年四月四日通過之普通決議案, 本公司批准該 TS 認購, 而該 TS 認購已於二零零五年四月二十九日完成 67

69 21. CONVERTIBLE PREFERENCE SHARES ISSUED BY SUBSIDIARIES (continued) (a) Convertible preference shares issued by Turbo Speed Technology Limited ( Turbo Speed ) (continued) According to the said subscription agreement, the rights attached to holders of convertible preference shares of Turbo Speed are summarised as follows: 21. 附屬公司發行可換股優先股 ( 續 ) (a) Turbo Speed Technology Limited( Turbo Speed ) 發行之可換股優先股 ( 續 ) 根據上述認購協議,Turbo Speed 可換股優先股持有人所附權利概述如下 : (a) Income (assuming no conversion of convertible preference shares) (i) A fixed cumulative preferred dividend equal to HK$624,000 for each financial year of Turbo Speed; and (a) 收入 ( 假設並無兌換可換股優先股 ) (i) 於 Turbo Speed 每個財政年度享有相當於 624,000 港元之定額累計優先股息 ; 及 (ii) Participation in part of dividends declared and payable by Turbo Speed (after the preferred dividend), calculated by applying an agreed formula so that the aggregate of the preferred dividend and ordinary dividend to the holders of the convertible preference shares would be equal to 16% (on annual basis) of the total dividends payable by Turbo Speed. (ii) 享有 Turbo Speed 派發優先股息後宣派及應派之部分股息, 乃按經協定程式計算, 致使可換股優先股持有人之優先股息及普通股息總額將相等於按年計算之 Turbo Speed 應派股息總額 16% (b) Conversion options (i) Convertible at any time from the date of completion of the TS Subscription for a period of 24 months into new shares of the Company at a conversion price of HK$1.2 per share, subject to adjustment set out in the subscription agreement (the Conversion ). The Share Subdivision had led to an adjustment of the conversion price. The conversion price has been adjusted from HK$1.2 to HK$0.3 per share. The amount for the Conversion shall be US$4 million. (b) 兌換選擇權 (i) 可於該 TS 認購事項完成日期起計 24 個月期間, 隨時按兌換價每股 1.2 港元 ( 可按認購協議所載者作出調整 ) 兌換為本公司新股份 ( 兌換事項 ) 股份分拆導致兌換價之調整 兌換價由每股 1.2 港元調整至每股 0.3 港元 兌換事項金額應為 4,000,000 美元 68 (ii) Automatic conversion into ordinary shares of Turbo Speed at a ratio of 1:1 on the business day after Turbo Speed has paid total dividends on each convertible preference share which exceed its original issue price of US$4 million. (ii) 於 Turbo Speed 派付超逾其原定發行價 4,000,000 美元之每股可換股優先股股息總額後之營業日, 按 1:1 之兌換比率自動兌換為 Turbo Speed 普通股

70 21. CONVERTIBLE PREFERENCE SHARES ISSUED BY SUBSIDIARIES (continued) (a) Convertible preference shares issued by Turbo Speed Technology Limited ( Turbo Speed ) (continued) According to a shareholders agreement entered into by the Company and the convertible preference shareholders of Turbo Speed on 29 April 2005, under certain specified conditions, the Company shall transfer an agreed percentage of shares in Turbo Speed to the then convertible preference shareholders of Turbo Speed for a consideration of HK$ 附屬公司發行可換股優先股 ( 續 ) (a) Turbo Speed Technology Limited( Turbo Speed ) 發行之可換股優先股 ( 續 ) 根據本公司與 Turbo Speed 可換股優先股股東於二零零五年四月二十九日訂立之股東協議, 於若干特定條件下, 本公司須向當時之 Turbo Speed 可換股優先股股東轉讓協定百分比之 Turbo Speed 股份, 代價為 1 港元 The fair values of the liability component and the equity conversion component were determined at issuance of the convertible preference shares. 負債部分及權益轉換部分之公平值於發行可換股優先股時釐定 The fair value of the liability component, included in long-term borrowings, was calculated using a market interest rate for an equivalent nonconvertible preference shares. The residual amount, representing the value of the equity conversion component, is included in shareholders equity in other reserve. 負債部分 ( 包括長期借款 ) 之公平值採用等值不可換股優先股之市場利率計算 餘額指權益轉換部分之價值, 計入其他儲備之股東權益內 69

71 21. CONVERTIBLE PREFERENCE SHARES ISSUED BY SUBSIDIARIES (continued) (a) Convertible preference shares issued by Turbo Speed Technology Limited ( Turbo Speed ) (continued) 21. 附屬公司發行可換股優先股 ( 續 ) (a) Turbo Speed Technology Limited( Turbo Speed ) 發行之可換股優先股 ( 續 ) Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 HK$ 000 HK$ 000 千港元 千港元 At beginning of the 期 / 年初 period/year 22,485 21,173 Interest expenses for the 期 / 年內利息開支 period/year (Note 7) ( 附註 7) 333 1,734 Preferred dividend paid 期 / 年內已派 for the period/year 優先股息 (738) (422) Conversion of convertible 將可換股優先股兌換 preference shares into 為本公司普通股 the ordinary shares ( 附註如下 ) of the Company (Note below) (22,080) At end of period/year 期 / 年末 (Note 17) ( 附註 17) 22, Note: On 12 January 2007 and 23 April 2007, the Company received Notices from holders of the convertible preference shares issued by Turbo Speed for the conversions of all of their 6,837,608 convertible preference shares into the ordinary shares of the Company pursuant to the terms of the subscription agreement dated 9 November As a result of the above conversions, aggregate total of 103,733,334 new ordinary shares of the Company were issued and allotted to the convertible preference shares holders at a conversion price of HK$0.3 per share on 18 January 2007 and 27 April 2007, respectively (Note 19). 附註 : 於二零零七年一月十二月及二零零七年四月二十三日, 本公司收到由 Turbo Speed 發行之可換股優先股持有人發出之通知, 要求根據二零零四年十一月九日訂立之認購協議條款, 將彼等全部 6,837,608 股可換股優先股兌換為本公司普通股 進行上述兌換後, 本公司分別於二零零七年一月十八日及二零零七年四月二十七日, 按兌換價每股 0.3 港元向可換股優先股持有人發行及配發合共 103,733,334 股新普通股 ( 附註 19)

72 21. CONVERTIBLE PREFERENCE SHARES ISSUED BY SUBSIDIARIES (continued) (a) Convertible preference shares issued by Turbo Speed Technology Limited ( Turbo Speed ) (continued) 21. 附屬公司發行可換股優先股 ( 續 ) (a) Turbo Speed Technology Limited( Turbo Speed ) 發行之可換股優先股 ( 續 ) During the six months ended 30 June 2007, the weighted average closing price immediately before the dates on which the shares were converted was HK$2.78 per share. 於截至二零零七年六月三十日止六個月, 緊接股份獲兌換日期前加權平均收市價為每股 2.78 港元 The fair value of the liability component of convertible preference shares at 31 December 2006 amounted to HK$21,525,000. The fair value is calculated using cash flows discounted at a rate based on the borrowings rate of 6.59% per annum. 於二零零六年十二月三十一日, 可換股優先股負債部分之公平值為 21,525,000 港元 該公平值乃採用現金流量折現法按借款年利率 6.59 厘計算 Interest expense on the convertible preference shares is calculated using the effective interest method by applying the effective interest rate of 8.27% (2006: 8.27%) per annum to the liability component. 可換股優先股利息開支乃於負債部分採用實際利率法以年利率 8.27 厘 ( 二零零六年 :8.27 厘 ) 計算 (b) Convertible preference shares issued by Emerging Technology Limited ( Emerging Technology ) On 21 August 2006, Emerging Technology, a wholly- owned subsidiary of the Company, entered into a subscription agreement with independent third parties in relation to the subscription of 760,778 convertible preference shares of US$1.00 each of Emerging Technology at a total subscription price of US$18 million (approximately HK$140 million) (the ET Subscription ). (b) 由 EmergingTechnology Limited( Emerging Technology ) 發行之可換股優先股於二零零六年八月二十一日, 本公司全資附屬公司 Emerging Technology 與獨立第三方就認購 760,778 股每股面值 1.00 美元之 Emerging Technology 可換股優先股訂立認購協議, 總認購價為 18,000,000 美元 ( 約 140,000,000 港元 )( 該 ET 認購 ) Pursuant to an ordinary resolution passed on 25 September 2006, the Company approved the ET Subscription and the ET Subscription was completed on 12 October 根據於二零零六年九月二十五日通過之普通決議案, 本公司批准該 ET 認購, 而該 ET 認購於二零零六年十月十二日完成 71

73 21. CONVERTIBLE PREFERENCE SHARES ISSUED BY SUBSIDIARIES (continued) (b) Convertible preference shares issued by Emerging Technology Limited ( Emerging Technology ) (continued) According to the said subscription agreement, the rights attached to holders of convertible preference shares of Emerging Technology are summarised as follows: 21. 附屬公司發行可換股優先股 ( 續 ) (b) 由 EmergingTechnology Limited( Emerging Technology ) 發行之可換股優先股 ( 續 ) 根據上述認購協議,Emerging Technology 可換股優先股持有人所附權利概述如下 : (a) Income (assuming no conversion of convertible preference shares) (i) Participation in dividends declared and payable by Emerging Technology so that the aggregate of the preferred dividend to the holders of the convertible preference shares would be equal to 9% (on an annual basis) of the total dividends payable by Emerging Technology. (a) 收入 ( 假設並無兌換可換股優先股 ) (i) 享有 Emerging Technology 宣派及應派之股息, 致使可換股優先股持有人之優先股息總額將相等於按年計算之 Emerging Technology 應派股息 總額 9% (b) Conversion options (i) Convertible at any time from the date of completion of the ET Subscription for a period of 24 months into new shares of the Company at a conversion price of HK$1.088 per share, subject to adjustment set out in the subscription agreement (the HS Conversion ). The amount for the HS Conversion shall be US$18 million; (b) 兌換選擇權 (i) 可於該 ET 認購完成日期起 24 個月期間隨時兌換為本公司新股份, 轉換價為每股 港元, 可按認購協議所載者調整 ( HS 轉換 ) 而定 HS 轉換之金額將為 18,000,000 美元 ; (ii) Convertible at any time from the date of completion of the ET Subscription for a period of 24 months into ordinary share of Emerging Technology at a ratio of 1:1; and (ii) 可於該 ET 認購完成日期起計 24 個月期間, 隨時按 1:1 比例兌換為 Emerging Technology 普通股 ; 及 72

74 21. CONVERTIBLE PREFERENCE SHARES ISSUED BY SUBSIDIARIES (continued) (b) Convertible preference shares issued by Emerging Technology Limited ( Emerging Technology ) (continued) (b) Conversion options (continued) (iii) Automatic conversion into ordinary shares of Emerging Technology at a ratio of 1:1 on the business day after Emerging Technology has paid total dividends on each convertible preference share which exceed its original issue price. 21. 附屬公司發行可換股優先股 ( 續 ) (b) 由 EmergingTechnology Limited( Emerging Technology ) 發行之可換股優先股 ( 續 ) (b) 轉換選擇權 ( 續 ) (iii) 於 Emerging Technology 就每股可換股優先股派付超逾其原有發行價之股息總額後之營業日, 自動以 1:1 比率兌換為 Emerging Technology 之普通股 The convertible preference shares issued are initially recognised as follows: 已發行可換股優先股初步確認如下 : HK$ 000 千港元 Face value of convertible 於二零零六年十月十二日 preference shares issued on 發行之可換股優先股 12 October 2006 面值 140,040 Legal and professional 與該 ET 認購直接有關 fees directly attributable to 之法律及 (1,560) the ET Subscription 專業費用 Equity component 權益部分 (138,480) Liability component on initial 於初次確認時及 recognition and as at 於二零零七年六月三十日 30 June 2007 and 及二零零六年十二月 31 December 2006 三十一日之負債部分 73

75 22. OPERATING LEASE COMMITMENTS At 30 June 2007, the Group had future aggregate minimum lease payments under non-cancellable operating leases as follows: 22. 營業租賃承擔於二零零七年六月三十日, 根據不可註銷營業租賃, 本集團之未來最低租約付款總額如下 : Land and buildings Equipment 土地及樓宇 設備 Unaudited Audited Unaudited Audited 未經審核 經審核 未經審核 經審核 30 June 31 December 30 June 31 December 六月 十二月 六月 十二月 三十日 三十一日 三十日 三十一日 二零零七年 二零零六年 二零零七年 二零零六年 HK$ 000 HK$ 000 HK$ 000 HK$ 000 千港元 千港元 千港元 千港元 Not later than one year 不超過一年 5,945 4,978 3,241 3,059 Later than one year and 一年以上 not later than five years 但不超過五年 2,908 5,402 8,853 10,380 3,241 3,059 74

76 23. RELATED PARTY TRANSACTIONS The Group is controlled by Rich Global Limited (incorporated in British Virgin Islands), which owns 37.18% of the Company s shares. The remaining 62.82% of the shares are widely held. In the opinion of the Directors, the ultimate holding company of the Company is Hi Sun Limited (incorporated in the British Virgin Islands). 23. 關連方交易本集團由於英屬處女群島註冊成立之 Rich Global Limited 控制, 該公司擁有本公司 37.18% 股份 餘下 62.82% 股份由公眾人士持有 董事認為, 本公司最終控股公司為於英屬處女群島註冊成立之 Hi Sun Limited (a) The following transactions were carried out with related parties: (a) 與關連方進行之交易如下 : Unaudited 未經審核 Six months ended 30 June 截至六月三十日止六個月 二零零七年二零零六年 HK$ 000 HK$ 000 千港元千港元 Rentals paid to 向一家關連公司 a related company 支付租金 (Note (i)) ( 附註 (i)) 367 Note: 附註 : (i) The subsidiaries, Beijing Hi Sun Advanced Business (i) 附屬公司北京高陽金信信息 Solutions Information Technology Limited and Pax 技術有限公司及百富計算機 Technology (Shenzhen) Limited, paid rentals to 技術 ( 深圳 ) 有限公司向由本 Beijing Hi Sun Electric Power Information Technology 公司一名董事兼主要股東擁 Limited, a fellow subsidiary company owned by a 有之同系附屬公司北京高陽 Director, who is also a substantial shareholder, of 萬為電力信息技術有限公司 the Company. 支付租金 75

77 23. RELATED PARTY TRANSACTIONS (continued) (b) Period/year end balances with related parties are as follows: 23. 關連方交易 ( 續 ) (b) 與關連方之期 / 年結算日結餘如下 : Unaudited Audited 未經審核 經審核 30 June 31 December 六月三十日 十二月三十一日 二零零七年 二零零六年 HK$ 000 HK$ 000 千港元 千港元 Receivable from 應收一家 a related company 關連公司全景傳媒 Panorama Stock Limited 有限公司款項 Receivable from/(payable to) 應收 /( 應付 ) 一家 a fellow subsidiary 同系附屬公司 Beijing Hi Sun Electric 北京高陽萬為 Power Information 電力信息技術 Technology Limited 有限公司款項 1,003 (13,497) The balances with related parties are unsecured, interest-free and repayable on demand. 與關連方之結餘, 為無抵押 免息及索還時償付 Panorama Stock Limited is a related company owned by a Director of the Company. 全景傳媒有限公司為本公司一名董事擁有之關連公司 76

78 23. RELATED PARTY TRANSACTIONS (continued) (c) Key management compensation (equivalent to Directors emoluments) 23. 關連方交易 ( 續 ) (c) 主要管理人員補償 ( 相當於董事酬金 ) Unaudited 未經審核 Six months ended 30 June 截至六月三十日止六個月 二零零七年二零零六年 HK$ 000 HK$ 000 千港元千港元 Fees 袍金 Other emoluments: 其他酬金 : Basic salaries, 基本薪金 other allowances and 其他津貼及 benefits in kind 實物利益 2,320 2,641 Contributions to 退休金計劃供款 pension schemes ,626 2,869 77

79 24. SUBSEQUENT EVENTS Acquisition of the entire interest in Baifu Hualong and Pacific Sheen and disposal of 5% interest in New Concept Services Limited On 10 February 2007, the Company entered into a sale and purchase agreement (the Hualong Agreement ) with 王秉人 (Wang Bing Ren), 王中方 (Wang Zhong Fang), 蔣杰忠 (Jiang Jie Zhong), 趙樹勳 (Zhao Shu Xun (also known as 趙力斌 (Zhao Li Bin)), 李寧川 (Li Ning Chuan) and Everon Group Holdings Limited (a company incorporated in Hong Kong) (collectively the Vendors ), who are parties independent of the Group, pursuant to which the Company conditionally agreed to procure the acquisition of the entire registered capital of Hangzhou Baifu Holding Company Limited ( Baifu Hualong ), a company incorporated in the PRC which will hold the entire interest in 杭州華隆電子技術有限公司 (Hangzhou Hualong Electronic Technology Company Limited), a company established in the PRC ( Hualong Electronic ) and 杭州華隆信息技術有限公司 (Hangzhou Hualong Information Technology Company Limited), a company established in the PRC ( Hualong Information ), the entire issued share capital of Pacific Sheen International Limited ( 富順國際有限公司 ), a company incorporated in Hong Kong ( Pacific Sheen ) and their respective subsidiaries (collectively referred to as the Hualong Group ) and the shareholders loans ( Hualong Acquisition ). 24. 結算日後事項收購百富華隆及富順國際全部權益及出售新創服務有限公司 5% 權益於二零零七年二月十日, 本公司與王秉人 王中方 蔣杰忠 趙樹勳 ( 又名趙力斌 ) 李寧川及信安控股有限公司 ( 一家於香港註冊成立之公司 )( 統稱為 賣方, 均獨立於本集團 ) 訂立買賣協議, 據此, 本公司有條件同意促使收購一家於中國註冊成立之公司杭州百富控股有限公司 ( 百富華隆 )( 將持有均於中國成立之公司杭州華隆電子技術有限公司 ( 華隆電子 ) 及杭州華隆信息技術有限公司 ( 華隆信息技術 ) 之全部權益 ) 全部註冊股本 於香港註冊成立之富順國際有限公司 ( 富順國際 ) 及其各自之附屬公司 ( 以下統稱 華隆集團 ) 之全部已發行股本以及股東貸款 ( 華隆收購 ) 78

80 24. SUBSEQUENT EVENTS (continued) Acquisition of the entire interest in Baifu Hualong and Pacific Sheen and disposal of 5% interest in New Concept Services Limited (continued) As part of the transactions in relation to the Hualong Acquisition, the Company disposed of 5% of the issued share capital of New Concept Services Limited, a subsidiary of the Company and the immediate holding company of Baifu Hualong and Pacific Sheen, to the Vendors for a total consideration of RMB15.0 million (equivalent to approximately HK$15.5 million), which is equal to 5% of the total consideration to be paid by the Group for the Hualong Acquisition (the Hualong Disposal ). 24. 結算日後事項 ( 續 ) 收購百富華隆及富順國際全部權益及出售新創服務有限公司 5% 權益 ( 續 ) 作為有關華隆收購交易之其中一環, 本公司向賣方出售其附屬公司及百富華隆及富順國際之直接控股公司新創服務有限公司已發行股本之 5%, 總代價為人民幣 15,000,000 元 ( 約相當於 15,500,000 港元, 相當於本集團就華隆收購應付總代價 5%)( 華隆出售 ) The Hualong Acquisition and the Hualong Disposal and the transactions contemplated herein have been completed on 30 July The consideration of RMB300,650,000 (equivalent to approximately HK$310.7 million) for the Hualong Acquisition was reduced by the amount of dividends of RMB30,000,000 (equivalent to approximately HK$31.0 million) that the Hualong Group declared and paid to the Vendors prior to the completion. The consideration of RMB270,650,000 (equivalent to approximately HK$279.7 million) for the Hualong Acquisition was satisfied by the Company as to: (a) a cash payment of RMB170,650,000 (equivalent to approximately HK$176.3 million); and (b) the balance of RMB100,000,000 (equivalent to approximately HK$103.3 million) by way of the Consideration Shares. The Company received cash consideration of RMB15,032,500 (equivalent to approximately HK$15.5 million) for the Hualong Disposal. 華隆收購及華隆出售及其項下擬進行之交易已於二零零七年七月三十日完成 華隆收購之代價人民幣 300,650,000 元 ( 相當於約 310,700,000 港元 ) 已減去於完成前華隆集團向賣方派付之股息金額人民幣 30,000,000 元 ( 相當於約 31,000,000 港元 ) 華隆收購代價人民幣 270,650,000 元 ( 相當於約 279,700,000 港元 ) 由本公司按以下方式支付 :(a) 現金付款人民幣 170,650,000 元 ( 相當於約 176,300,000 港元 ); 及 (b) 以代價股份支付餘額人民幣 100,000,000 元 ( 相當於約 103,300,000 港元 ) 本公司就華隆出售收取現金代價人民幣 15,032,500 元 ( 相當於約 15,500,000 港元 ) 79

81 24. SUBSEQUENT EVENTS (continued) Acquisition of the entire interest in Baifu Hualong and Pacific Sheen and disposal of 5% interest in New Concept Services Limited (continued) As at 31 December 2006, the aggregate audited carrying value of the total net assets of the Hualong Group amounted to approximately HK$169.8 million. Goodwill arising from the Hualong Acquisition and Hualong Disposal will be finalised upon completion of management s assessment of the fair value of identifiable assets and liabilities of the Hualong Group as at the date of completion. 24. 結算日後事項 ( 續 ) 收購百富華隆及富順國際全部權益及出售新創服務有限公司 5% 權益 ( 續 ) 於二零零六年十二月三十一日, 華隆集團資產淨值總額之經審核賬面值總額約為 169,800,000 港元 華隆收購及華隆出售所產生之商譽將於管理層完成評估華隆集團於完成日期之可識別資產及負債之公平值後落實 On behalf of the Board Li Wenjin Director 承董事會命董事李文晉 Hong Kong, 27 August 2007 香港, 二零零七年八月二十七日 80