RECRUIT<08073> - Results Announcement Recruit Holdings Limited announced on 09/05/2005: (stock code: 08073 ) Year end date: 31/12/2005 Currency: HKD Auditors' Report: N/A Interim report reviewed by: Audit Committee Important Note: This result announcement form only contain extracted information from and should be read in conjunction with the detailed results announcement of the issuer, which can be view on the GEM website at http://www.hkgem.com (Unaudited ) (Unaudited ) Last Current Corresponding Period Period from 01/01/2005 from 01/01/2004 to 31/03/2005 to 31/03/2004 Note ('000 ) ('000 ) Turnover 3 : 31,461 16,006 Profit/(Loss) from Operations 4 : 4,856 3,474 Finance cost : 0 0 Share of Profit/(Loss) of Associates : 0 0 Share of Profit/(Loss) of Jointly Controlled Entities : 0 0 Profit/(Loss) after Tax & MI : 4,841 3,474 % Change over Last Period : +39 % EPS/(LPS)-Basic (in dollars) 5 : 0.0178 0.0230 -Diluted (in dollars) 5 : 0.0176 0.0229 Extraordinary (ETD) Gain/(Loss) : 0 0 Profit/(Loss) after ETD Items : 4,841 3,474 1st Quarter Dividend : N/A N/A per Share (Specify if with other : N/A N/A options) B/C Dates for 1st Quarter Dividend : N/A Payable Date : N/A B/C Dates for (-) General Meeting : N/A Other Distribution for : N/A Current Period B/C Dates for Other Distribution : N/A For and on behalf of Recruit Holdings Limited Name : Ho Suk Yi Title : Company Secretary Responsibility statement The directors of the Company (the "Directors") as at the date hereof hereby collectively and individually accept full responsibility for the accuracy of the information contained in this results announcement form (the "Information") and confirm, having made all reasonable inquiries, that to the best of their knowledge and belief the Information are accurate and complete in all material respects and not misleading and that there are no other matters the omission of which would make the Information herein inaccurate or misleading. The Directors acknowledge that the Stock Exchange has no responsibility whatsoever with regard to the Information and undertake to indemnify the Exchange against all liability incurred and all losses suffered by the Exchange in connection with or relating to the Information. Remarks: Notes: 1. Basis of preparation The unaudited quarterly financial statements have been prepared in accordance with new HKFRSs (which also include Statements of Standard Accounting Practice and Interpretations) issued by the Hong Kong Institute of Certified Public Accountants ("the HKICPA"), and accounting principles generally accepted in Hong Kong. The principal accounting policies adopted in preparing these financial statements are consistent with those followed in the Group's annual audited consolidated financial statements for the year ended 31st December, 2004 except those mentioned in note 2 below. 2. Changes in accounting policies The HKICPA has issued a number of new Hong Kong Financial Reporting Standards ("HKFRS"), Hong Kong Accounting Standards ("HKASs") and Interpretations, herein collectively referred to as the "new HKFRSs", which are generally effective for accounting periods beginning on or after 1st January, 2005. The Group has adopted these new HKFRSs for the first time in the period under review. The major effect of adoption of these new HKFRSs are summarized as follows: The adoption of HKFRS 2 - Share-based Payments requires all share options granted to employees or other parties to be recognized in the financial statements. The fair value of the share options at grant date will be amortized over the relevant vesting periods to the income statement. HKFRS 2 has been applied retrospectively for share options granted to employees after 7th November, 2002 and not vested at 1st January, 2005. Following the adoption of this accounting policy, the amount of employee share-based expenses of approximately HK$134,000 and approximately HK$42,000 were charged to the income statements for the quarter ended 31st March, 2005 and 31st March 2004 respectively. Employee share-based expense of approximately HK$466,000 was recognised in the income statement for the year ended 31st December, 2004 as prior year adjustment. In accordance with the provisions of HKFRS 3 - Business Combination, the carrying amount of negative goodwill that arose from a business combination for which the agreement date was before 1st January, 2005 shall be derecognized by way of a corresponding adjustment to the opening balance of accumulated losses as at 1st January, 2005. HKFRS 3 has been applied retrospectively. Accordingly, the carrying amount of negative goodwill of HK$13,440,000 was credited to the accumulated losses at 1st January, 2004 and 2005. 3. Turnover Three months ended 31st March 2005 2004 HK$'000 HK$'000 Advertising income 29,464 15,856 Printing income 1,994 - Publication sales 3 - Service income - 150 ------------------------ 31,461 16,006 ========================= 4. Profit from operations Profit from operations has been arrived at after charging: Three months ended 31st March 2005 2004 HK$'000 HK$'000 (restated) Depreciation 654 388 Staff costs 5,952 3,471 Operating leases rental in respect of Rented premises 545 303 Internet access line 21 21 5. Earnings per share The calculation of the basic and diluted earnings per share is based on the following data: Three months ended 31st March 2005 2004 HK$'000 HK$'000 (restated) Earnings for the purposes of basic and diluted earnings per share for the year 4,841 3,474 ============================= Number of shares ('000) Weighted average 272,608 151,389 number of ordinary shares for the purposes of basic earnings per share Effect of dilutive potential ordinary shares in respect of share options granted 2,476 659 ----------------------------- Weighted average number of ordinary shares for the purposes of diluted earnings per share 275,084 152,048 =============================== |