08:55     CITY E-SOLUTION<00557> - Results Announcement (2)                   

                                                                              
    2.      The analysis of Other Net Income are as follows:-                 
                                                                              
                                                    2004            2003      
                                                    HK$'000         HK$'000   
                                                                              
    Exchange gain (net)                             4,804           3,283     
    (Loss) / profit on sale of fixed assets (net)   (9)             66        
    Net unrealised gain on stating securities at                              
     fair value                                     20,250          14,554    
    Others                                          874             75        
                                                    -----------     --------- 
                                                    25,919          17,978    
                                                    ========        ========= 
                                                                              
    3.      Profit from ordinary activities before taxation                   
                                                                              
    Profit from ordinary activities before taxation has been arrived at after 
    charging:                                                                 
                                                                              
                                                    2004            2003      
                                                    HK$'000         HK$'000   
                                                                              
    Amortisation of intangible assets               70              62        
    Depreciation of fixed assets                    1,630           2,662     
                                                    ==========      ==========
                                                                              
    4.      Taxation                                                          
                                                                              
                                                    2004            2003      
                                                    HK$'000         HK$'000   
                                                                              
    Hong Kong taxation                                                        
    - overprovision in respect of prior years       (15)            -         
                                                    ------------    --------- 
                                                                              
    The provision for Hong Kong profits tax is calculated at 17.5% (2003:     
    17.5%) of the estimated assessable profits for the year ended 31 December 
    2004.  Taxation for overseas subsidiaries is similarly charged at the     
    appropriate current rates of taxation ruling in the relevant countries.   
                                                                              
    The Company is exempted from taxation in the Cayman Islands for a period  
    of twenty years from 1989 under the provisions of Section 6 of the Tax    
    Concessions Law (Revised) of the Cayman Islands.                          
                                                                              
    5.      Dividend                                                          
                                                                              
    Dividends attributable to the previous financial year, approved and paid  
    during the year.                                                          
                                                                              
                                                    2004            2003      
                                                    HK$'000         HK$'000   
                                                                              
    Final dividends in respect of the previous financial year, approved and   
    paid during the year, of HK3 cents (2003: HK2 cents) per share            
                                                                              
                                                    11,494          7,663     
                                                    --------        --------- 
                                                                              
                                                                              
    The directors of the Company have proposed a final dividend for the year  
    ended 31 December 2004 of  HK3 cents per share (2003: HK3 cents).  The    
    final dividend proposed after the balance sheet date has not been         
    recognized as a liability at the balance sheet date.                      
                                                                              
    No interim dividend was paid for the year ended 31 December 2004 (2003:   
    Nil cents)                                                                
                                                                              
    6.      Earnings per share                                                
                                                                              
    a)      Basic Earnings Per Share                                          
    The calculation of basic earnings per share is based on profit after      
    taxation attributable to shareholders of HK$26.5 million (2003: HK$33.1   
    million) and on 383,125,524 (2003: 383,125,524) ordinary shares in issue  
    during the year.                                                          
                                                                              
    b)      Diluted Earnings Per Share                                        
    Diluted earnings per share is not applicable as there are no dilutive     
    potential ordinary shares during the financial year.                      
                                                                              
    For more details, please refer to the press announcement today.