Listed Company Information
 

ITC CORPORATION<00372> - Results Announcement

ITC Corporation Limited announced on 13/12/2005:
(stock code: 00372 )
Year end date: 31/03/2006
Currency: HKD
Auditors' Report: N/A
Interim report reviewed by: Both Audit Committee and Auditors

                                                        (Unaudited )
                                     (Unaudited )       Last
                                     Current            Corresponding
                                     Period             Period
                                     from 01/04/2005    from 01/04/2004
                                     to 30/09/2005      to 30/09/2004
                               Note  ('000      )       ('000      )
Turnover                        3  : 42,771             47,315            
Profit/(Loss) from Operations   3  : (33,097)           (20,412)          
Finance cost                       : (14,283)           (12,809)          
Share of Profit/(Loss) of 
  Associates                       : 137,404            (59,334)          
Share of Profit/(Loss) of
  Jointly Controlled Entities      : N/A                N/A               
Profit/(Loss) after Tax & MI       : 91,671             (3,610)           
% Change over Last Period          : N/A       %
EPS/(LPS)-Basic (in dollars)    4  : 0.086              (0.02)            
         -Diluted (in dollars)  4  : 0.054              (0.02)            
Extraordinary (ETD) Gain/(Loss)    : N/A                N/A               
Profit/(Loss) after ETD Items      : 91,671             (3,610)           
Interim Dividend                   : 1.5 cents          1 cent
  per Share                                              
(Specify if with other             : N/A                N/A
  options)                                               
                                                         
B/C Dates for 
  Interim Dividend                 : 16/01/2006         to 18/01/2006 bdi.
Payable Date                       : 17/02/2006
B/C Dates for (-)            
  General Meeting                  : N/A   
Other Distribution for             : N/A
  Current Period                     
                                     
B/C Dates for Other 
  Distribution                     : N/A   

Remarks:

1 - Basis of Preparation 

The condensed consolidated financial statements have been prepared in 
accordance with the applicable disclosure requirements of Appendix 16 to 
the Rules Governing the Listing of Securities on The Stock Exchange of 
Hong Kong Limited and the Hong Kong Accounting Standard ("HKAS") 34 "
Interim Financial Reporting" issued by the Hong Kong Institute of 
Certified Public Accountants ("HKICPA").

2 - Principal Accounting Policies

The condensed consolidated financial statements have been prepared on the 
historical cost basis except for certain properties and financial 
instruments, which are measured at fair valuesor revalued amounts, as 
appropriate.

The accounting policies adopted are consistent with those followed in the 
preparation of the Group's annual financial statements for the year ended 
31st March, 2005 except as described below.

In the current period, the Group has applied, for the first time, a number 
of new Hong Kong Financial Reporting Standards ("HKFRSs"), HKASs and 
Interpretations (hereinafter collectively referred to as "new HKFRSs") 
issued by the HKICPA that are effective for accounting periods beginning 
on or after 1st January, 2005.  The application of the new HKFRSs has 
resulted in a change in the presentation of the income statement, balance 
sheet and the statement of changes in equity.  In particular, the 
presentation of minority interests and share of tax of associates have 
been changed.  The changes in presentation have been applied 
retrospectively.  The adoption of the following new HKFRSs has resulted in 
changes to the Group's accounting policies that have an effect on how the 
results for the current and prior accounting periods are prepared and 
presented:

(i)  HKFRS 3 "Business Combinations"
        
(ii) HKAS 32 "Financial Instruments: Disclosure and Presentation"

(iii) HKAS 39 "Financial Instruments: Recognition and Measurement"

(iv) HKAS 17 "Leases"

3 - Turnover and Profit/(Loss) from Operations


Analyses of turnover and profit/(loss) from operations are as follows:

                                                Six months      Six months
                                                ended           ended
                                                30/09/2005      30/09/2004
                                                HK$'000         HK$'000
Turnover                        
- Continuing operations                         42,771             47,315
- Discontinued operations (Remark)              -               1,657,621
                                                ---------       ----------
                                                42,771          1,704,936
                                                =========       ==========

Profit/(loss) from operations has been arrived at after the following 
items: -
        

                                                2005            2004
                                                HK$'000         HK$'000
Continuing operations                   
                        
Turnover                                        42,771          47,315
Cost of sales                                   (28,899)        (1,563)
                                                ---------       --------
Gross profit                                    13,872          45,752
Other operating income                          (828)           (3,626)
Administrative expenses                         (23,197)        (45,698)
Discount on acquisitions released to income     3,874           -  
Investment expenses - net                       -               (485)
Allowance for amounts due from associates                       
  and a related company                         (1,085)         (799)
Loss on disposal and dilution of interests
 in associates                                  (25,733)        (15,556)
                                                ----------      ---------
Loss from continuing operations                 (33,097)        (20,412)
                                                ==========      =========
Discontinued operations                 
                        
Profit for the period from discontinued
 operations (Remark)                            -               110,445
                                                ===========     =========

Remark

HKFRS 5 "Non-current Assets held for Sale and Discontinued Operation" 
encourages the regrouping of income statements items of a discontinued 
operation into a separate single line for disclosure purpose. 

4 - Earnings Per Share

The calculation of the basic and diluted earnings (loss) per share 
attributable to the ordinary equity holders of the parent is based on the 
following data:                                                            
  
                                                                                
                                                Six months ended
                                                30/9/2005        30/9/2004 
                                                HK$'000         HK$'000
Profit (loss) for the period attributable
 to equity holders
  To equity holder of the parent                91,671          (3,610)
Dividend for preference shares                  -               (9,245)
                                                --------        ---------
Earnings (loss) for the purposes of  
 basic loss per share                           91,671          (12,855)  
Effect of dilutive potential ordinary shares:
   Adjustment to the share of results of 
     associates based on dilution of  
     their loss per share                       (279)           -   
   Adjustment of finance costs on 
    redeemable convertible preference shares    5,489           -   
   Adjustment of finance costs on
    convertible loan notes                      5,906           -  
                                                ---------       ----------
  Earnings (loss) for the purposes of           
        diluted earnings (loss) per share       102,787         (12,855) 
                                                =========       ==========
        
                                Number of shares        Number of shares
Weighted average number of
 ordinary shares for the
 purposes of basic earnings
 (loss) per share               1,072,008,541           654,294,107
Effect of dilutive potential
 ordinary shares:
 Redeemable convertible
  preference shares             272,085,692             -
 Convertible notes              548,333,333             -  
                                ---------------         -------------
Weighted average number of
 ordinary shares for the
 purposes of diluted earnings
 (loss) per share               1,892,427,566           654,294,107
                                ===============         =============

For the period ended 30th September, 2004, the convertible loan notes and 
compulsorily convertible cumulative preference shares which became 
redeemable convertible preference shares in November 2004, were anti-
dilutive as the exercise of these convertible loan notes and compulsorily 
convertible cumulative preference shares resulted in a decrease in loss 
per share.

5 - Comparative figures

Comparative figures have been restated, as appropriate, for the adoption 
of a number of new and revised HKFRSs.