BEIJING YANHUA<0325> - Results Announcement

Beijing Yanhua Petrochemical Company Limited announced on 24/8/1999:
(stock code: 325)
Year end date: 31/12/1999
Currency: RMB
                                                            Last
                                           Current          Corresponding
                                           Period           Period
                                           from 1/1/1999    from 1/1/1998
                                           to 30/6/1999     to 30/6/1998
                                           ('000)           ('000)
Turnover/Interest Income                 : 2,795,819        2,514,331
Profit-Continuing Operations
    - Operating Profit/(Loss)            : 200,831          93,002
    - Exceptional Items                  : N/A              N/A
    - Discontinued Operations            : N/A              N/A
Total Operating Profit/(Loss)            : 200,831          93,002
Share of Profit/(Loss) of
  Associated Companies                   : N/A              N/A
Profit/(Loss) after Tax
  & MI                                   : 99,591           44,673
% Change over Last Period                : +123%
EPS/(LPS)-Basic                          : RMB0.030         RMB0.013
         -Diluted                        : N/A              N/A
Extraordinary (ETD) Gain/(Loss)          : N/A              N/A
Profit/(Loss) after ETD Items            : 99,591           44,673
Interim Dividend per H Share             : Nil              Nil
(Specify if with other options)          : N/A              N/A
B/C Dates for Interim Dividend           : N/A
Payable Date                             : N/A
B/C Dates for (-) General Meeting        : N/A
Other Distribution for Current Period    : N/A
B/C Dates for Other Distribution         : N/A

Remark:

1998 Comparative Figures

For the six months ended 30th June, 1998, as a result of the Company's 
adoption of the Revised IAS NO. 12 which became operative for financial 
statements covering periods beginning on or after 1st January, 1998, the 
Company recognised a deferred tax liability of approximately 
RMB376,154,000 arising from the initial recognition of assets and 
liabilities acquired from the parent company pursuant to the restructuring 
in preparation of the listing of the H shares of the Company in 1997. The 
deferred tax liability is to be amortised as a credit to the deferred tax 
expense in the profit and loss account over the remaining life of the 
assets to which it relates.

In accordance with the Revised IAS No. 12, the Company recognised 
deferred tax assets of approximately RMB38,762,000 as at 31st December, 
1996 to the extent it is probable that taxable profits will be available 
which the deferred tax assets can be utilised.

This change in accounting policy has been accounted for retroactively, and 
therefore, the 1998 comparative figures have been restated to reflect the 
above changes.