Six Month Results

• Net revenue generated by the Group decreased from HK$359,421,000 for the six months ended September 30, 2010 to HK$109,756,000 for the six months ended September 30, 2011, representing a year-over-year decrease of 69.5%.
• Sales of gross floor area decreased from 106,571 square meters for the six months ended September 30, 2010 to 27,289 square meters for the six months ended September 30, 2011, representing a year-over-year decrease of 74.4%. Gross floor area sold during the period consisted of trade centers of 18,687 square meters (2010: 53,558 square meters) and residential properties of 8,602 square meters (2010: 26,057 square meters). Sales for the six months ended September 30, 2010 also included a hotel of 26,956 square meters with a consideration of RMB98,000,000 (approximately HK$113,408,000).
• Gross profit percentage increased from 39.9% for the six months ended September 30, 2010 to 45.9% for the six months ended September 30, 2011.
• Other income and gains, net, decreased from HK$30,201,000 for the six months ended September 30, 2010 to HK$23,779,000 for the six months ended September 30, 2011, representing a year-over-year decrease of 21.3%. Included in other income and gains, net, was a government subsidy of HK$23,541,000 (2010: HK$16,480,000) for the six months ended September 30, 2011, representing a year-over-year increase of 42.8%. Other income and gains, net, for the six months ended September 30, 2010 also included net income recognized for a construction contract of HK$10,857,000.
• Selling expenses decreased from HK$11,495,000 for the six months ended September 30, 2010 to HK$5,598,000 for the six months ended September 30, 2011, representing a year-over-year decrease of 51.3%.
• Administrative expenses increased from HK$29,058,000 for the six months ended September 30, 2010 to HK$40,093,000 for the six months ended September 30, 2011, representing a year-over-year increase of 38.0%.
• Net profit attributable to the equity holders of the Company decreased from HK$76,187,000 for the six months ended September 30, 2010 to HK$11,310,000 for the six months ended September 30, 2011, representing a year-over-year decrease of 85.2%.

Discontinued operations

Discontinued operations represented the Group's jewelry and real estate business, which is comprised of (1) purchasing, processing, assembling, merchandising and wholesale distribution of pearls and jewelry products; and (2) real estate development and investment businesses in the PRC and Hong Kong, which were carried out primarily through Man Sang International Limited, a then subsidiary of the Company which was disposed of by way of distribution in specie on July 28, 2010 (the "Distribution"). As a result of the Distribution, the discontinued operations ceased to operate during the six months ended September 30, 2010, thus no results were generated in the six months ended September 30, 2011.