13:12     INNOVO<00703> - Results Announcement (1)                            

    Innovo Leisure Recreation Holdings Limited announced on 29/04/2005:       
    (stock code: 00703 )                                                      
    Year end date: 31/12/2004                                                 
    Currency: HKD                                                             
    Auditors' Report: Qualified                                               
                                                                              
                                                            (Audited   )      
                                         (Audited   )       Last              
                                         Current            Corresponding     
                                         Period             Period            
                                         from 01/01/2004    from 01/01/2003   
                                         to 31/12/2004      to 31/12/2003     
                                   Note  ('000      )       ('000      )      
    Turnover                           : 4,239              12,986            
    Profit/(Loss) from Operations      : (45,983)           (14,399)          
    Finance cost                       : (1,416)            (2,193)           
    Share of Profit/(Loss) of                                                 
      Associates                       : N/A                N/A               
    Share of Profit/(Loss) of                                                 
      Jointly Controlled Entities      : N/A                N/A               
    Profit/(Loss) after Tax & MI       : (47,167)           (198,033)         
    % Change over Last Period          : N/A       %                          
    EPS/(LPS)-Basic (in dollars)       : (0.079)            (0.330)           
             -Diluted (in dollars)     : N/A                N/A               
    Extraordinary (ETD) Gain/(Loss)    : N/A                N/A               
    Profit/(Loss) after ETD Items      : (47,167)           (198,033)         
    Final Dividend                     : NIL                NIL               
      per Share                                                               
    (Specify if with other             : N/A                N/A               
      options)                                                                
                                                                              
    B/C Dates for                                                             
      Final Dividend                   : N/A                                  
    Payable Date                       : N/A                                  
    B/C Dates for (-)                                                         
      General Meeting                  : N/A                                  
    Other Distribution for             : NIL                                  
      Current Period                                                          
                                                                              
    B/C Dates for Other                                                       
      Distribution                     : N/A                                  
                                                                              
    Remarks:                                                                  
                                                                              
                                                                              
    1.  BASIS OF PREPARATION OF FINANCIAL STATEMENTS                          
                                                                              
    (Panyu Fantasy Film City Limited) ("PFFCL") was a wholly-owned            
    subsidiary of the Company which was de-consolidated in the financial      
    statements for the year ended 31st December, 2003.  In May 2004, after    
    receiving the application of recovery of debts from creditors, the local  
    court has taken control of all the chattels and properties of PFFCL to    
    settle creditors' claims.                                                 
                                                                              
    In preparing the financial statements, the directors have given           
    consideration to the liquidity position of the Group in light of its net  
    liabilities of HK$15,635,000 as at 31st December, 2004.  The financial    
    statements have been prepared on a going concern basis on the basis that a
    controlling shareholder has agreed to provide adequate financial support  
    to enable the Group to meet in full its financial obligations as they fall
    due for the foreseeable future.  At the same time, however, the Group is  
    actively seeking other sources of financing.                              
                                                                              
                                                                              
    2.  LOSS PER SHARE                                                        
                                                                              
    The calculation of the basic loss per share for the year is based on the  
    net loss for the year of HK$47,167,000 (2003: HK$198,033,000) and the     
    600,000,000 shares in issue during the year.                              
                                                                              
    No diluted loss per share has been presented as there were no potential   
    dilutive shares for the year.