13:34     NEW WORLD DEV<00017> - Results Announcement (1)                     

    New World Development Company Limited announced on 15/03/2005:            
    (stock code: 00017 )                                                      
    Year end date: 30/06/2005                                                 
    Currency: HKD                                                             
    Auditors' Report: N/A                                                     
    Interim report reviewed by: Audit Committee                               
                                                                              
                                                            (Unaudited )      
                                         (Unaudited )       Last              
                                         Current            Corresponding     
                                         Period             Period            
                                         from 01/07/2004    from 01/07/2003   
                                         to 31/12/2004      to 31/12/2003     
                                   Note  ('Million  )       ('Million  )      
    Turnover                           : 11,519.7           11,381.1          
    Profit/(Loss) from Operations      : 1,297.1            702.9             
    Finance cost                       : (231.7)            (522.0)           
    Share of Profit/(Loss) of                                                 
      Associates                       : 250.0              90.5              
    Share of Profit/(Loss) of                                                 
      Jointly Controlled Entities      : 845.5              526.7             
    Profit/(Loss) after Tax & MI       : 1,128.9            236.4             
    % Change over Last Period          : +378      %                          
    EPS/(LPS)-Basic (in dollars)       : 0.33               0.10              
             -Diluted (in dollars)     : N/A                N/A               
    Extraordinary (ETD) Gain/(Loss)    : N/A                N/A               
    Profit/(Loss) after ETD Items      : 1,128.9            236.4             
    Interim Dividend                   : $0.10              $0.02             
      per Share                                                               
    (Specify if with other             : scrip dividend     N/A               
      options)                           with cash option                     
                                                                              
    B/C Dates for                                                             
      Interim Dividend                 : 01/04/2005         to 08/04/2005 bdi.
    Payable Date                       : 27/06/2005                           
    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.      Notes to Condensed Interim Accounts                               
                                                                              
    Basis of preparation and accounting policies                              
    The unaudited consolidated condensed interim accounts for the Current     
    Period (the "interim accounts") are prepared in accordance with Statement 
    of Standard Accounting Practice 2.125, "Interim Financial Reporting",     
    issued by the Hong Kong Institute of Certified Public Accountants (the "  
    HKICPA") and Appendix 16 of the Rules Governing the Listing of Securities 
    on The Stock Exchange of Hong Kong Limited (the "Listing Rules").  The    
    interim accounts should be read in conjunction with the 2004 annual       
    accounts.                                                                 
                                                                              
    The principal accounting policies and methods of computation used in the  
    preparation of the condensed interim accounts are consistent with those   
    used in the annual accounts for the year ended 30 June 2004, except that  
    the Group early adopted the accounting standards below with effect from 1 
    July 2004:                                                                
                                                                              
    Hong Kong Financial Reporting Standard 3 ("HKFRS 3")  Business Combination
    Hong Kong Accounting Standard 36 ("HKAS 36")             Impairment of    
    Assets                                                                    
    Hong Kong Accounting Standard 38 ("HKAS 38")             Intangible Assets
                                                                              
    On adoption of the standards, assets that have an indefinite useful life  
    are not subject to amortisation and are tested annually for impairment.   
    Assets that are subject to amortisation are reviewed for impairment       
    whenever events or changes in circumstances indicate that the carrying    
    amount may not be recoverable.  An impairment loss is recognised for the  
    amount by which the asset's carrying amount exceeds its recoverable       
    amount.  The recoverable amount is the higher of an asset's fair value    
    less costs to sell and value in use.                                      
                                                                              
    Goodwill represents the excess of the cost of an acquisition over the fair
    value of the Group's share of the net identifiable assets of the acquired 
    subsidiary/associated company/jointly controlled entity at the date of    
    acquisition. Goodwill on acquisitions of subsidiaries is included in      
    intangible assets. Goodwill on acquisitions of associated companies/      
    jointly controlled entities is included in investments in associated      
    companies/jointly controlled entities. Goodwill is tested annually for    
    impairment and carried at cost less accumulated impairment losses. Gains  
    and losses on the disposal of an entity include the carrying amount of    
    goodwill relating to the entity sold.