Silverman : UNAUDITED INTERIM RESULTS ANNOUNCEMENT FOR THE SIX MONTHS ENDED 30 JUNE 2017

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Silverman Holdings Limited

銀 仕 來 控 股 有 限 公 司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 1616)

UNAUDITED INTERIM RESULTS ANNOUNCEMENT FOR THE SIX MONTHS ENDED 30 JUNE 2017 SUMMARY

• Revenue was approximately RMB408.3 million, representing an increase of approximately 17.6% as compared to that of RMB347.2 million for the corresponding period of last year.

• Gross profit margin was approximately 21.1% of revenue, representing an increase of approximately 2.5 basis points as compared to that of approximately 18.6% for the corresponding period of last year.

• Gross profit increased by approximately RMB21.6 million, or approximately 33.3% as compared with the corresponding period of last year, to approximately RMB86.3 million for the six months ended 30 June 2017.

• Profit attributable to the equity shareholders of the Company was approximately RMB30.0 million, representing an increase of approximately 464.8% as compared to that of RMB5.3 million for the corresponding period of last year.

The board of directors (the "Board") of Silverman Holdings Limited (the "Company") announce the unaudited consolidated interim financial results of the Company and its subsidiaries (collectively, the "Group") for the six months ended 30 June 2017 (the "Period Under Review") together with the comparative figures for the corresponding period in 2016 and the relevant explanatory note as set out below. The consolidated interim results are unaudited, but have been reviewed by the audit committee (the "Audit Committee") of the Group.

Consolidated statement of profit or loss for the six months ended 30 June 2017 - unaudited

(Expressed in Renminbi)

Six months ended 30 June
2017	2016
Note	RMB'000	RMB'000
Revenue	3	408,256	347,190
Cost of sales and services	(321,994)	(282,501)
Gross profit	86,262	64,689
Other net gains	4	52,222	1,347
Distribution costs	(11,943)	(7,199)
Administrative expenses	(50,296)	(42,804)
Profit from operations	76,245	16,033
Finance income	5(a)	6,929	687
Finance costs	5(a)	(40,484)	(9,029)
Share of profit less loss of associates	(4,020)	(1,234)
Profit before taxation	38,670	6,457
Income tax	6	(8,820)	(1,152)
Profit for the period	29,850	5,305
Attributable to:
Equity shareholders of the Company	29,961	5,305
Non-controlling interest	(111)	-
Profit for the period	29,850	5,305
Earnings per share (cents)	7
Basic	2.8650	0.5476
Diluted	0.0004	0.5476

Details of dividends payable to equity shareholders of the Company are set out in note 14.

Consolidated statement of profit or loss and other comprehensive income for the six months ended 30 June 2017 - unaudited

(Expressed in Renminbi)

Six months ended 30 June
2017	2016
RMB'000	RMB'000
Profit for the period	29,850	5,305
Other comprehensive income for the period (after tax and reclassification adjustments)
Item that may be reclassified subsequently to profit or loss:
Exchange differences on translation of financial statements of overseas subsidiaries	-	399
Other comprehensive income for the period	-	399
Total comprehensive income for the period	29,850	5,704
Attributable to:
Equity shareholders of the Company	29,961	5,704
Non-controlling interests	(111)	-
Total comprehensive income for the period	29,850	5,704

Consolidated statement of financial position at 30 June 2017 - unaudited

(Expressed in Renminbi)

Note	At 30 June 2017	At 31 December 2016
RMB'000	RMB'000
Non-current assets
Property, plant and equipment	8	434,421	455,748
Interests in leasehold land held for own use under operating leases	8	63,671	64,281
498,092	520,029
Intangible assets	1,708	3,476
Goodwill	499,471	499,471
Investment in associates	3,439	7,459
Investments in equity securities	1,100	1,100
Other receivables	9	2,206	2,647
Deferred tax assets	855	1,095
1,006,871	1,035,277
Current assets
Inventories	166,664	164,938
Television drama series and films	127,267	118,892
Trade and other receivables	9	448,276	228,712
Pledged bank deposits	10	27,369	1,626
Cash and bank	11	234,638	198,037
1,004,214	712,205
Current liabilities
Trade and other payables	12	208,292	227,313
Bank loans and other borrowings	253,250	195,000
Obligations under finance leases	-	3,850
Current taxation	18,867	14,221
480,409	440,384
Net current assets	523,805	271,821
Total assets less current liabilities	1,530,676	1,307,098