08:38     GUANGDONG INV<00270> - Results Announcement (3)                     

                                                                              
    C: Dividends                                                              
                                                                              
    An interim dividend of 2.5 HK cents per share was paid on 25 October 2004.
     The Directors recommended the payment of a final dividend of HK3.5cents  
    (2003: Nil) per share for the year ended 31 December 2004.  This          
    recommendation has been incorporated in the financial statement as an     
    allocation of retaining profits within the capital and reserves section of
    the balance sheet.                                                        
                                                                              
    The proposed final dividend , if approved at the forthcoming annual       
    general meeting of the Company to be held on 10 June 2005, is expected to 
    be paid on 28 June 2005 to shareholders whose names appear on the register
    of members of the Company on 10 June 2005.                                
                                                                              
                                                                              
    D: Profit From Operating Activities                                       
                                                                              
    The Group's profit from operating activities is arrived at after charging 
    /(crediting):                                                             
                                                                              
                                                    2004             2003     
                                                    HK$'000          HK$'000  
            Cost of inventories sold*               1,051,618       908,049   
            Depreciation                             529,685         362,150  
            Amortisation of deferred expenses*            37         8,154    
            Amortisation of reusable packaging materials*                     
                                                       -            2,023     
            Amortisation of the operating right*       493,287      493,287   
            Amortisation of prepaid rental*            69,646       111,010   
            Minimum lease payments under operating leases                     
                in respect of land and buildings        370         1,915     
            Auditors' remuneration                     3,088        2,877     
            Staff costs (excluding directors' remuneration)                   
                Wages and salaries                     225,237      233,724   
                Pension scheme contributions            17,081      17,899    
                Less: Forfeited contributions         ( 725)        ( 309)    
                                                    -----------------------   
                Net pension scheme contributions#        16,356    17,590     
                                                    ------------------------  
                                                       241,593    251,314     
                                                    -----------------------   
            Gross rental income from investment properties                    
                                                      ( 224,127)  ( 254,658)  
            Less: Outgoings                              6,024    5,023       
                                                    ------------------------  
            Net rental income from investment properties                      
                                                        ( 218,103)  (249,635) 
                                                    --------------------------
            Negative goodwill recognised as income**                          
                                                      ( 14,700)    ( 11,633)  
            Other rental income, net                 ( 28,975)     ( 29,272)  
            Gain on disposal of subsidiaries and associates, net              
                                                        -           (19,474)  
            Interest income                          (14,032)       (19,028)  
            Exchange losses, net                      1,456          13,304   
                                                    ========================= 
                                                                              
    Material (profit)/loss items included in other operating expenses, net:   
            Amortisation of goodwill                259             238       
            Investment property revaluation deficit/(surplus), net            
                                                      ( 38,214)     89,416    
            Hotel property revaluation surplus, net                           
                                                   ( 11,903)       ( 62,010)  
            Impairment of fixed assets              113,681         23,554    
            Provision for/(write-back of provision for)                       
                impairment of interest in jointly-controlled entities         
                                                     ( 24,800)      60,000    
            Impairment of investment securities             -       10,256    
            Provision for/(write-back of provision for)                       
                impairment of properties under development                    
                                                    (  9,902)       26,836    
            Loss on disposal of fixed assets, net     16,805        415       
            Loss on disposal of investment properties     -         977       
            Write-back of provision for impairment                            
                in a deconsolidated subsidiary           -         (46,895)   
            Write-back of provision for an amount due from a fellow subsidiary
                                                        ( 573)      ( 994)    
            Provision/(write-back of provision) against inventories, net      
                                                    ( 293)          9,771     
            Provision for/(write-back of provision for) doubtful debts, net   
                                                     6,858        ( 58,031)   
                                                    =======================   
                                                                              
                                                                              
    *       These costs and expenses are included in "Cost of sales" on the   
    face of the consolidated profit and loss account.                         
    **      The amortisation of negative goodwill recognised as income for the
    year is included in "Other revenue and gains" on the face of the          
    consolidated profit and loss account.                                     
    #       As at 31 December 2003 and 2004, there were no material forfeited 
    pension scheme contributions outstanding and available to reduce the      
    Group's pension scheme contributions in future years.                     
                                                                              
    For more details, please refer to the press announcement today.