Weifang, People’s Republic of China, 03 July, 2012
Euro Asia Premier Real Estate Company Limited (ISIN: VGG3223A1057) today announces the preliminary financial results according to IFRS in Chinese Yuan Renminbi (RMB)*, for the 12 months period ended December 31st, 2011.
- Revenues for the year came in at RMB¥ 291,980,000 (approx. € 36.5 million).
- Cost of sales amounted to RMB¥ 186,893,863 (approx. € 23.4 million), leading to a gross profit of RMB¥ 105,086,137 (approx. € 13.1 million).
- Net income amounted to RMB¥ 36,008,565 (approx. € 4.5 million).
- Audited financial results for the year 2011 will be posted later this week, and are subject to the approval by the annual general meeting of shareholders.
Revenues for 2011 mainly derived from sales of five projects. The company decided for the disposal of assets in order recognise profits and to generate cash for the accelerated development of new projects with better expected margins. During an EGM held on November 11, 2011, shareholders in the Company agreed to the disposal of Euro Asia’s interests in the Euro Asia Apartment Buildings, the Qing Zhou Apartments, the Shenghaipua Estate, the Yunhu Holiday Hotel and the New Janye Building. Other revenues were derived from sales of Phase I of the Agricultural Exhibition Center, as well as rental income from properties operated in Weifang.
Patrick Chan, CEO of Euro Asia, stated, “The financials for 2011 are wholly in line with our expectations and with what we communicated to the market early this year. The ease with which we managed to dispose profitably of the aforementioned assets is a testament to the Weifang property market, which is growing and demand driven. The proceeds from these transactions have allowed us to increase our landbank and invest in new projects and project expansions where we see returns well above the market average. Our costs base remains relatively low, which has resulted in a very healthy financial position. The Company is positioned extremely well, both financially and operationally, to benefit from the development driven demand growth in the Weifang region and beyond. As stated above, we expect to release the full financial statement for 2011 this coming week. At the time of our annual general meeting we will also comment in greater depth on our expectations for the actual year and onwards.”
The AGM to approve the financial statements is to be held on August 17, 2012 at the offices of Harney’s, the company’s legal counsel located at
7502 International Commerce Centre, One Austin Road West, Kowloon/Hong Kong
The details of the financials information, resolutions and agenda of the AGM will be posted on the Company’s website at www.eu-asia.net along with eligibility to attend meeting.
* RMB¥ 1 = € 0.125
Schwarz Financial Communication
Tel: +49 611 1745 398 11
About Euro Asia
Euro Asia is a BVI registered company, active in demand driven development of real estate projects in the Shandong area of the People’s Republic of China. The Company operates locally through its subsidiaries, jointly owned with SNI, a leading local development company. By utilizing its strong local network to banks, political decision makers, land owners and other developers, the Company intends to grow its position in the Shandong Province prior to moving into other regions.
For more information, please visit www.eu-asia.net