08:40     SHANG HUA HOLD<00371> - Results Announcement (2)                    

    Six months ended 31st December, 2004                                      
                                                                              
                                    The People's                              
                                    Republic                                  
                                    of China                                  
                    Hong Kong       (the "PRC")     Consolidated              
                    HK$'000         HK$'000         HK$'000                   
    TURNOVER                                                                  
     External sales 27,511          517             28,028                    
                    ----------      ----------      --------------            
                                                                              
    SEGMENT RESULT  (888)           (244)           (1,132)                   
                    -----------     ----------                                
    Other operating income                          220                       
    Unallocated corporate expenses                  (7,020)                   
                                                    --------------            
                                                                              
    Loss for the period                             (7,932)                   
                                                    =============             
                                                                              
    Six months ended 31st December, 2003                                      
                                                                              
                            Hong Kong       The PRC         Consolidated      
                            HK$'000         HK$'000         HK$'000           
    TURNOVER                                                                  
       External sales       34,158          3,833           37,991            
                            ---------       ---------       ---------         
                                                                              
    SEGMENT RESULT          (732)           (208)           (940)             
                            ---------       ---------                         
    Other operating income                                  206               
    Unallocated corporate expenses                          (825)             
                                                            ----------        
    Loss for the period                                     (1,559)           
                                                            ==========        
                                                                              
    4.        LOSS FROM OPERATIONS                                            
                                                                              
                                              Six months ended                
                                                                              
                                            31.12.2004      31.12.2003        
                                                                              
                                            HK$'000         HK$'000           
    Loss from operations has been arrived at after charging:                  
    Depreciation of property, plant and equipment                             
                                            110             195               
    and after crediting:                                                      
    Bank interest income                    90              18                
    Realised gain on disposal of investments in securities                    
                                                                              
                                            --              164               
    Unrealised holding gain on investments in securities                      
                                                                              
                                            123              --               
                                            ======          ======            
                                                                              
    5.         LOSS PER SHARE                                                 
                                                                              
    The calculation of the basic loss per share is based on the loss for the  
    period of approximately HK$7,932,000 (six months ended 31st December,     
    2003: HK$1,559,000) and on 55,523,633 (six months ended 31st December,    
    2003: on weighted average of 47,982,872 as restated) shares in issue      
    throughout the period.                                                    
                                                                              
    The weighted average number of shares for the purpose of basic loss per   
    share for the six months ended 31st December, 2003 had been adjusted for  
    the effect of consolidation of the Company's shares                       
                                                                              
    Diluted loss per share has not presented as there is no dilutive potential
    ordinary shares in issue for both periods.                                
                                                                              
    For more details, please refer to the press announcement today.