JDS.L Regulatory News (JDS)

14 Aug 2007 10:27

Jardine Strategic Hldgs Ld14 August 2007 To: Business Editor 14th August 2007 For immediate release Jardine Cycle & Carriage Limited2007 Half Year Financial Statements and Dividend Announcement The following announcement was issued today by the Company's 64%-ownedsubsidiary, Jardine Cycle & Carriage Limited. For further information, please contact: Jardine Matheson LimitedNeil M McNamara (852) 2843 8227 Matheson & Co., LimitedPhilip Hawkins (020) 7816 8136 GolinHarrisKennes Young (852) 2501 7987 Weber Shandwick FinancialRichard Hews/ Georgia Dempsey/ Hannah Marwood (020) 7067 0700 www.jcclgroup.com Jardine Cycle & Carriage Limited 239 Alexandra Road Singapore 159930 Tel (65) 6473 3122 Fax (65) 6475 7088 corporate.affairs@jcclgroup.com 14 August 2007 JARDINE CYCLE & CARRIAGE LIMITED2007 HALF YEAR FINANCIAL STATEMENTS AND DIVIDEND ANNOUNCEMENT Highlights • Underlying earnings per share up 54%• Recovery in Indonesian automotive market• Good performances from Astra's financial services and agribusiness• Singapore motor operations benefit from strong demand "The encouraging performances in most of the Group's key markets are expected tocontinue for the remainder of the year, although the motorcycle sector inIndonesia will remain challenging for Astra." Anthony Nightingale, Chairman14 August 2007 Group Results+--------------------------------------+--------------------------------------+| | Six months ended 30 June |+--------------------------------------+-------+---------+-------+---------+--+| | 2007| 2006| Change| 2007| || | US$m| US$m| %| S$m| |+--------------------------------------+-------+---------+-------+---------+--+|Revenue | 4,128| 3,514| 17| 6,305| |+--------------------------------------+-------+---------+-------+---------+--+|Underlying profit attributable to | | | | | ||shareholders | 152| 97| 56| 233| |+--------------------------------------+-------+---------+-------+---------+--+|Profit attributable to shareholders | 154| 99| 56| 235| |+--------------------------------------+-------+---------+-------+---------+--+| | USc| USc| | Sc| |+--------------------------------------+-------+---------+-------+---------+--+|Underlying earnings* per share | 44.44| 28.93| 54| 67.90| |+--------------------------------------+-------+---------+-------+---------+--+|Earnings per share | 44.79| 29.28| 53| 68.43| |+--------------------------------------+-------+---------+-------+---------+--+|Interim dividend per share (gross)** | | | | | ||(Rebalanced) | 11.00| 3.00| 267| 16.85| |+--------------------------------------+-------+---------+-------+---------+--+| | At| At| | At| || |30.6.07| 31.12.06| Change| 30.6.07| || | US$m| US$m| %| S$m| |+--------------------------------------+-------+---------+-------+---------+--+|Shareholders' funds | 2,001| 1,906| 5| 3,065| |+--------------------------------------+-------+---------+-------+---------+--+| | US$| US$| | S$| |+--------------------------------------+-------+---------+-------+---------+--+|Net asset value per share | 5.84| 5.56| 5| 8.94| |+--------------------------------------+-------+---------+-------+---------+--+ The exchange rate of US$1=S$1.53 (31.12.2006: US$1=S$1.54) was used fortranslating assets and liabilities at the balance sheet date and US$1=S$1.53(30.6.2006: US$1=S$1.60) was used for translating the results for the period. The financial results for the six months ended 30 June 2007 have been preparedin accordance with the International Financial Reporting Standards. Theseresults have not been audited or reviewed by the auditors. * The basis for calculating underlying earnings is set out in Note 5 of thisreport. ** The S$ amount is estimated. The actual amount will be determined on the BooksClosure Date referred to in Note 14. CHAIRMAN'S STATEMENT Overview The Group achieved a good level of profit growth in the first half of 2007 asAstra's businesses benefited from the continued strengthening of the Indonesianeconomy. Performance The Group's underlying profit after tax and minority interests for the sixmonths ended 30 June 2007 increased by 56% to US$152 million. Underlyingearnings per share grew by 54% to USc44.44. Astra's contribution was 46% higherat US$147 million, enhanced in part by a stronger Rupiah, while the contributionfrom the Group's directly held motor operations was up 43% at US$19 million. Consolidated net debt excluding financial services at 30 June was US$336million, some US$264 million lower than the end of 2006 due to strongeroperating cashflows. Debt within the Group's financial services activities wasalso lower at US$1.3 billion following a reduction in joint financing debt withrecourse. The Company's net debt stood at US$154 million, marginally higher thanat the end of 2006. The Board has decided to rebalance the proportion of the dividend payable at thehalf year to represent approximately one third of the total dividend payable forthe year and to increase the percentage of earnings paid out by way of dividend.Accordingly, it has declared an interim dividend of USc11.00 per share (2006:USc3.00 per share) less 18% income tax, payable in US dollars or Singaporedollars with a scrip alternative. Group Review Astra Astra performed well as the Indonesian automotive market continued to recover,particularly in the motor vehicle sector which had seen a greater decline in2006 than motorcycles. Improved results were also recorded in the group'sfinancial services, palm oil and, to a lesser extent, heavy equipmentbusinesses. The Indonesian wholesale motor vehicle market grew by 32% to 197,300 units inthe first six months of the year, while Astra's sales increased at the lowerrate of 25% to 104,300 units. This led to its market share reducing from 56% to53%. Sales in the wholesale motorcycle market in Indonesia rose 17% during theperiod, reaching 2.1 million units. In the face of keen competition, however,Astra's wholesale motorcycle sales were only marginally higher at 923,400 unitsand its market share fell from 50% to 44%. Astra's financial services activities benefited from the growth in theautomotive market, while Bank Permata performed well as it achieved higher netinterest margins. Astra Agro Lestari's earnings were strongly ahead, benefitingfrom a 56% increase in crude palm oil prices that more than offset the effect ofa 12% decline in production volume. United Tractors produced a modest growth in earnings. A 57% increase in unitsales of Komatsu equipment compensated for a lower contribution from its coalmining subsidiary, Pamapersada Nusantara, resulting from adverse weatherconditions and operational interruptions in the first quarter. Motor Within the Group's directly owned motor interests, the Singapore operationsproduced a good result, supported by strong demand for Mercedes-Benz passengercars. Indonesian associate, Tunas Ridean, also performed well in line with therecovery in the market. Cycle & Carriage Bintang continued to struggle, however,with trading conditions in the Malaysian automotive sector remaining difficult. Prospects The encouraging performances in most of the Group's key markets are expected tocontinue for the remainder of the year, although the motorcycle sector inIndonesia will remain challenging for Astra. Anthony NightingaleChairman14 August 2007 Statement pursuant to Rule 705(4) of the Listing Manual The directors confirm that, to the best of their knowledge, nothing has come tothe attention of the Board of Directors which may render the accompanyingunaudited interim financial results for the six months ended 30 June 2007 to befalse or misleading in any material respect. On behalf of the Directors Anthony NightingaleDirector Hassan AbasDirector 14 August 2007 --------------------------------------------------------------------------------------- Jardine Cycle & Carriage Limited Consolidated Profit and Loss Account --------------------------------------------------------------------------------------- Three months ended Six months ended 30.6.07 30.6.06 Change 30.6.07 30.6.06 Change Note US$m US$m % US$m US$m % Revenue 2,195.8 1,728.7 27 4,128.2 3,514.0 17 Cost of sales (1,736.2) (1,363.7) 27 (3,272.1) (2,803.8) 17 __________ _________ _________ _________ Group profit 459.6 365.0 26 856.1 710.2 21 Other operating income 28.8 22.2 30 71.0 74.2 -4 Selling and distribution expenses (131.9) (141.9) -7 (249.2) (267.3) -7 Administrative expenses (128.0) (129.9) -1 (238.9) (226.3) 6 Other operating expenses (0.3) (2.8) -89 (6.9) (5.3) 30 __________ _________ _________ _________ Operating profit 228.2 112.6 103 432.1 285.5 51 __________ _________ _________ _________ Financing charges (21.8) (21.5) 1 (44.4) (41.0) 8Financing income 9.8 12.9 -24 16.4 20.7 -21 __________ _________ _________ _________ Net financing charges (12.0) (8.6) 40 (28.0) (20.3) 38 Share of associates' and joint ventures' results 44.1 38.8 14 90.4 72.2 25 __________ _________ _________ _________ Profit before tax 2 260.3 142.8 82 494.5 337.4 47Tax 3 (74.3) (42.4) 75 (127.0) (90.7) 40 _________ _________ _________ _________ Profit after tax 186.0 100.4 85 367.5 246.7 49 _________ _________ _________ _________ Profit attributable to: Shareholders 75.8 38.2 98 153.5 98.6 56Minority interests 110.2 62.2 77 214.0 148.1 44 _________ _________ _________ _________ 186.0 100.4 85 367.5 246.7 49 _________ _________ _________ _________ --------------------------------------------------------------------------------------- USc USc USc USc ---------------------------------------------------------------------------------------Earnings per share 4 - basic 22.12 11.34 95 44.79 29.28 53- diluted 22.11 11.33 95 44.78 29.27 53--------------------------------------------------------------------------------------- --------------------------------------------------------------------------------------- Jardine Cycle & Carriage Limited Consolidated Balance Sheet --------------------------------------------------------------------------------------- At At Note 30.6.07 31.12.06 US$m US$mNon-current assets Intangible assets 498.9 457.7Leasehold land use rights 422.5 429.9Property, plant and equipment 1,267.8 1,274.4Investment properties 29.5 33.0Plantations 474.2 460.1Interests in associates and joint ventures 1,417.9 1,372.3 Other investments 109.9 99.8Debtors 820.4 963.1Deferred tax assets 58.2 57.6Other non-current assets 47.5 71.5 ___________ ___________ 5,146.8 5,219.4 ___________ ___________ Current assets Stocks 580.4 613.2Debtors 1,874.6 1,694.8Current tax assets 119.7 123.6Other investments 12.6 3.0Bank balances and other liquid funds ___________ ___________ - non-financial services companies 447.7 395.6- financial services companies 233.5 172.8 ___________ ___________ 681.2 568.4 ___________ ___________ 3,268.5 3,003.0Non-current assets classified as held for sale 6.8 2.2 ___________ ___________ 3,275.3 3,005.2 ___________ ___________ Total assets 8,422.1 8,224.6 ___________ ___________ Non-current liabilities Provisions 17.0 15.5 Long-term borrowings 6 ___________ ___________ - non-financial services companies 286.5 325.0- financial services companies 679.9 722.7 ___________ ___________ 966.4 1,047.7Deferred tax liabilities 286.8 299.6Other non-current liabilities 177.0 179.7 ___________ ___________ 1,447.2 1,542.5Current liabilities ___________ ___________ Provisions 27.8 26.3Current borrowings 6 ___________ ___________ - non-financial services companies 499.2 675.3- financial services companies 853.7 953.9 ___________ ___________ 1,352.9 1,629.2Current tax liabilities 83.7 36.3Dividend payable 47.4 -Creditors 1,205.6 935.1 ___________ ___________ 2,717.4 2,626.9Liabilities directly associated with non-current assets classified as held for sale 0.1 - ___________ ___________ 2,717.5 2,626.9 ___________ ___________ ___________ ___________ Total liabilities 4,164.7 4,169.4 ___________ ___________ ___________ ___________ Net assets 4,257.4 4,055.2 ___________ ___________ Equity Share capital 7 495.8 495.7Fair value and other reserves 8 323.2 330.2Revenue reserve 9 1,182.2 1,079.7 ___________ ___________ Shareholders' funds 2,001.2 1,905.6Minority interests 10 2,256.2 2,149.6 ___________ ___________ 4,257.4 4,055.2 ___________ ___________ --------------------------------------------------------------------------------------- Jardine Cycle & Carriage Limited Consolidated Statement of Recognised Income and Expense --------------------------------------------------------------------------------------- Three months ended Six months ended 30.6.07 30.6.06 30.6.07 30.6.06 US$m US$m US$m US$m Revaluation surplus of land and buildings, net of tax 0.7 0.1 0.7 - Fair value changes of available-for-sale investments, net of tax 4.4 2.3 (12.6) 5.5 Fair value changes of hedging derivatives, net of tax (0.9) - (0.6) - Actuarial gain/(loss) on defined benefit pension plans, net of tax 0.1 (7.0) (2.7) (7.0) Translation difference 28.1 (80.8) (8.7) 180.5 ________ _______ _______ _______ Net gain/(loss) recognised directly in equity 32.4 (85.4) (23.9) 179.0 Profit after tax 186.0 100.4 367.5 246.7 ________ _______ _______ _______ Total recognised income and expense for the period 218.4 15.0 343.6 425.7 ________ _______ _______ _______ Total recognised income and expense attributable to: Shareholders of the Company 90.9 (4.6) 142.7 179.2 Minority interests 127.5 19.6 200.9 246.5 ________ _______ _______ _______ 218.4 15.0 343.6 425.7 ________ _______ _______ _______ --------------------------------------------------------------------------------------- Jardine Cycle & Carriage Limited Company Balance Sheet --------------------------------------------------------------------------------------- At At Note 30.6.07 31.12.06 US$m US$mNon-current assets Property, plant and equipment 0.8 0.9Interests in subsidiaries 1,204.5 1,202.0Interests in associates 47.9 47.8 ___________ ___________ 1,253.2 1,250.7 ___________ ___________ Current assets Debtors 78.7 20.0Bank balances and other liquid funds 2.7 29.1 ___________ ___________ 81.4 49.1 ___________ ___________ Total assets 1,334.6 1,299.8 ___________ ___________ Non-current liabilities 0.3 0.4 ___________ ___________ Deferred tax liabilities 0.3 0.4 ___________ ___________ Current liabilities Current borrowings 156.7 182.4Current tax liabilities 0.8 0.8Dividend payable 47.4 -Creditors 60.3 70.1 ___________ ___________ 265.2 253.3 ___________ ___________ Total liabilities 265.5 253.7 ___________ ___________ Net assets 1,069.1 1,046.1 =========== =========== Share capital and reserves Share capital 7 495.8 495.7Share option reserve 8 0.3 0.3Revenue reserve 9 573.0 550.1 ___________ ___________ Shareholders' funds 1,069.1 1,046.1 =========== =========== Net asset value per share US$3.12 US$3.05 --------------------------------------------------------------------------------------- Jardine Cycle & Carriage Limited Company Statement of Recognised Income and Expense --------------------------------------------------------------------------------------- Three months ended Six months ended 30.6.07 30.6.06 30.6.07 30.6.06 US$m US$m US$m US$m Translation difference (10.4) 17.0 2.2 41.0 _________ _________ _________ _________ Net gain/(loss) recognised directly in equity (10.4) 17.0 2.2 41.0 Profit after tax 65.0 68.1 68.1 58.5 _________ _________ _________ _________ Total recognised income and expense for the period 54.6 85.1 70.3 99.5 ========= ========= ========= ========= Total recognised income and expense attributable to: Shareholders of the Company 54.6 85.1 70.3 99.5 ========= ========= ========= ========= --------------------------------------------------------------------------------------- Jardine Cycle & Carriage Limited Consolidated Statement of Cash Flows --------------------------------------------------------------------------------------- Three months ended Six months ended 30.6.07 30.6.06 30.6.07 30.6.06 Note US$m US$m US$m US$m Cash flows from operating activities 11 326.7 466.3 783.7 819.8 Cash generated from operations ________ ________ ________ ________ Interest paid (18.7) (19.0) (41.1) (41.4)Interest received 9.3 10.0 17.4 19.1Other finance costs paid (2.7) - (2.8) (0.1)Income tax paid (35.4) (71.4) (87.4) (161.3) ________ ________ ________ ________ (47.5) (80.4) (113.9) (183.7) ________ ________ ________ ________ Net cash flows from operating activities 279.2 385.9 669.8 636.1 Cash flows from investing activities ________ ________ ________ ________ Sale of leasehold land use rights 0.6 5.7 9.7 8.0 Sale of property, plant and equipment 21.3 11.9 22.9 24.0 Sale of subsidiaries, net of cash disposed - 0.4 - (27.3) Sale of shares in an associate 5.1 - 5.1 -Sale of other investments 0.5 - 7.0 -Purchase of intangible assets (13.7) - (47.8) -Purchase of leasehold land use rights (1.7) (1.1) (3.5) (3.8) Purchase of property, plant and equipment (63.2) (105.6) (125.5) (223.6) Purchase of plantations (8.4) (5.1) (15.7) (8.2)Purchase of subsidiaries, net of cash acquired 5.6 - 4.6 (3.5) Purchase of shares in associates - (0.2) - (31.7) Purchase of other investments (15.5) - (25.6) -Capital repayment of other investments 0.6 0.3 3.0 0.5 Dividends received from associates (net) 11.0 21.1 19.0 115.5 ________ ________ ________ ________ Net cash flows used in investing activities (57.8) (72.6) (146.8) (150.1) Cash flows from financing activities ________ ________ ________ ________ Proceeds from issue of shares - 0.1 0.1 0.1Drawdown of loans 595.3 737.6 928.9 1,233.3Repayment of loans (631.4) (909.5) (1,295.1) (1,592.3)Investment by minority interests - - - 9.4 Dividends paid to minority interests (46.7) (35.4) (46.8) (35.6) ________ ________ ________ ________ Net cash flows used in financing activities (82.8) (207.2) (412.9) (385.1) ________ ________ ________ ________ Net change in cash and cash equivalents 138.6 106.1 110.1 100.9 Cash and cash equivalents at the beginning of the period 519.7 517.0 551.9 491.0 Effect of exchange rate changes 3.3 (15.8) (0.4) 15.4 ________ ________ ________ ________ Cash and cash equivalents at the end of the period 661.6 607.3 661.6 607.3 ======== ======== ======== ======== --------------------------------------------------------------------------------------- Jardine Cycle & Carriage Limited Notes --------------------------------------------------------------------------------------- 1 Basis of preparation The financial statements are consistent with those set out in the 2006 auditedaccounts which have been prepared in accordance with International FinancialReporting Standards ("IFRS"). There have been no changes to the accountingpolicies described in the 2006 audited accounts except for the adoption of theamendment, new standard and interpretations shown below: Amendment to IAS 1 Presentation of Financial Statements - Capital Disclosure IFRS 7 Financial Instruments Disclosures IFRIC 8 Scope of IFRS 2 Share-based Payment IFRIC 9 Reassessment of Embedded Derivatives IFRIC 10 Interim Financial Reporting and Impairment The adoption of the amendment, new standard and interpretations did not have amaterial impact on the results of the Group. The preparation of financial statements in conformity with IFRS requires the useof certain critical accounting estimates. It also requires management toexercise its judgment in the process of applying the Group's accounting polices.Estimates and judgments used in preparing the financial statements arecontinually evaluated and are based on historical experience and other factors,including expectations of future events that are believed to be reasonable underthe circumstances. The resulting accounting estimates will, by definition,seldom equal the related actual results. 2 Profit before tax Group Three months ended Six months ended 30.6.07 30.6.06 Change 30.6.07 30.6.06 Change US$m US$m % US$m US$m % Profit before tax is determined after including: Depreciation and amortisation of property, plant and equipment and leasehold land use rights (67.6) (57.7) 17 (133.4) (112.4) 19Fair value changes of financial derivative contracts (0.5) (0.3) 67 0.3 (4.4) nmProfit/(loss) on disposal of: - leasehold land use rights 0.1 2.5 -96 7.3 3.7 97- property, plant and equipment 3.6 2.7 33 4.7 4.4 7 - repossessed assets (21.1) (27.1) -22 (29.7) (52.2) -43- subsidiaries - - - (1.5) 7.2 nm- associate (2.6) - 100 (2.6) - 100Write-down of stocks (1.1) (1.7) -35 (2.0) (2.9) -31Impairment of debtors (19.7) (64.2) -69 (47.2) (63.7) -26Provision for warranty and goodwill claims (1.8) (2.3) -22 (4.4) (4.3) 2 Net exchange gain/(loss) 3.6 (8.6) nm (2.6) 18.3 nmExcess of net fair value of identified assets, liabilities and contingent liabilities acquired over cost of business combination 2.9 - 100 8.9 0.2 nm _____ _____ _____ _____ nm: not meaningful 3 Tax The provision for income tax is based on the statutory tax rates of therespective countries in which the companies operate after taking into accountnon-deductible expenses and group tax relief. 4 Earnings per share Group Three months ended Six months ended 30.6.07 30.6.06 30.6.07 30.6.06 US$m US$m US$m US$mBasic earnings per share Profit attributable to shareholders 75.8 38.2 153.5 98.6 Weighted average number of ordinary shares in issue (millions) 342.7 336.8 342.7 336.7 Basic earnings per share USc22.12 USc11.34 USc44.79 USc29.28 ======== ======== ======== ======== Diluted earnings per share Profit attributable to shareholders 75.8 38.2 153.5 98.6Weighted average number of ordinary shares in issue (millions) 342.7 336.8 342.7 336.7 Adjustment for assumed conversion of share options (millions) 0.2 0.2 0.1 0.2 ________ ________ ________ ________ Weighted average number of ordinary shares for diluted earnings per share (millions) 342.9 337.0 342.8 336.9 ======== ======== ======== ======== Diluted earnings per share USc22.11 USc11.33 USc44.78 USc29.27 ======== ======== ======== ======== Underlying earnings per share Underlying profit attributable to shareholders (Note 5) 75.7 37.0 152.3 97.4 Basic underlying earnings per share USc22.09 USc10.99 USc44.44 USc28.93 ======== ======== ======== ======== Diluted underlying earnings per share USc22.08 USc10.98 USc44.43 USc28.91 ======== ======== ======== ======== 5 Underlying profit attributable to shareholders A reconciliation of the profit attributable to shareholders and underlyingprofit attributable to shareholders is as follows: Group Three months ended Six months ended 30.6.07 30.6.06 30.6.07 30.6.06 US$m US$m US$m US$m Profit attributable to shareholders 75.8 38.2 153.5 98.6Less: Non-trading item Excess of net fair value of identified assets, liabilities and contingent liabilities acquired over cost of business combination 1.4 - 4.0 -Loss on disposal of an associate (1.3) - (1.3) -Loss on disposal of a subsidiary - - (1.5) -Profit on sale of surplus Malaysian properties - 1.2 - 1.2 ________ ________ ________ ________ Underlying profit attributable to shareholders 75.7 37.0 152.3 97.4 ======== ======== ======== ======== The underlying profit attributable to shareholders by business is shown below: Group Three months ended Six months ended 30.6.07 30.6.06 Change 30.6.07 30.6.06 Change US$m US$m % US$m US$m % Astra Motor vehicles 22.3 9.8 128 43.6 20.0 118Motorcycles 11.1 16.5 -33 27.0 32.2 -16Other automotive 5.6 1.8 211 9.2 5.2 77 ______ ______ ______ ______ Total automotive 39.0 28.1 39 79.8 57.4 39Non-automotive 44.0 24.5 80 79.5 53.7 48Corporate costs and others (8.9) (6.8) 31 (12.3) (12.2) - ______ ______ ______ ______ Trading profit 74.1 45.8 62 147.0 98.9 49Forex and others 0.9 (2.3) nm (0.1) 1.4 nm ______ ______ ______ ______ 75.0 43.5 72 146.9 100.3 46 ______ ______ ______ ______ Motors Singapore 8.6 6.3 37 14.6 11.8 24Malaysia 0.8 (0.3) nm 1.2 0.6 100Indonesia (Tunas Ridean) 1.6 0.2 700 3.1 0.8 288 ______ ______ ______ ______ 11.0 6.2 77 18.9 13.2 43 ______ ______ ______ ______ Corporate costs and others (3.7) (5.3) -30 (6.9) (8.7) -21Withholding tax on dividends from Indonesia (6.6) (7.4) -11 (6.6) (7.4) -11 ______ ______ ______ ______ (10.3) (12.7) -19 (13.5) (16.1) -16 ______ ______ ______ ______ ______ ______ ______ ______ Underlying profit attributable 75.7 37.0 105 152.3 97.4 56to shareholders ====== ====== ====== ====== nm: not meaningful 6 Borrowings Group At At 30.6.07 31.12.06 US$m US$m Long-term borrowings: - secured 511.3 519.4- unsecured 455.1 528.3 _________ _________ 966.4 1,047.7 _________ _________ Current borrowings: - secured 487.7 502.8- unsecured 865.2 1,126.4 _________ _________ 1,352.9 1,629.2 _________ _________ _________ _________ Total borrowings 2,319.3 2,676.9 ========= ========= Certain subsidiaries of the Group have pledged their assets in order to obtainbank facilities from financial institutions. The value of assets pledged wasUS$887.4 million (31.12.06: US$944.5 million). 7 Share capital Company Three months ended 30 June 2007 2006 US$m US$m Share capital: Balance at 1 April 495.8 459.4Issue of shares - 0.1 _________ _________ Balance at 30 June 495.8 459.5 _________ _________ Six months ended 30 June 2007 2006 US$m US$m Share capital: Balance at 1 January 495.7 185.4Issue of shares 0.1 0.1Transfer from share premium - 274.0 _________ _________ Balance at 30 June 495.8 459.5 _________ _________ Share premium: Balance at 1 January - 274.0Transfer to share capital - (274.0) _________ _________ Balance at 30 June - - ========= ========= Pursuant to the abolition of par or nominal value of share capital in theCompanies (Amendment) Act 2005 which took effect on 30 January 2006, the amountin share premium has become part of the Company's share capital. 8 Fair value and other reserves Group Company At At At At 30.6.07 30.6.06 30.6.07 30.6.06 US$m US$m US$m US$mComposition: Fair value reserve 2.5 3.6 - -Asset revaluation reserve 318.1 302.0 - -Hedging reserve (1.0) - - -Share option reserve 0.3 0.3 0.3 0.3Other reserve 3.3 3.4 - - ________ ________ ________ ________ 323.2 309.3 0.3 0.3 ======== ======== ======== ======== Group Company Three months ended 30 June 2007 2006 2007 2006 US$m US$m US$m US$mMovements: Fair value reserve Balance at 1 April 1.0 2.8 - -Fair value changes of available-for-sale investments, net of tax 1.5 0.8 - - ________ ________ ________ ________ Balance at 30 June 2.5 3.6 - - ======== ======== ======== ======== Asset revaluation reserve Balance at 1 April 318.0 302.0 - -Revaluation surplus of land and buildings, net of tax 0.3 0.1 - - Reserve realised on disposal of land and buildings (0.2) (0.1) - - ________ ________ ________ ________ Balance at 30 June 318.1 302.0 - - ======== ======== ======== ======== Hedging reserve Balance at 1 April (0.6) - - -Fair value changes of derivatives, net of tax (0.4) - - - ________ ________ ________ ________ Balance at 30 June (1.0) - - - ======== ======== ======== ======== Share option reserve Balance at 1 April 0.3 0.3 0.3 0.3 ________ ________ ________ ________ Balance at 30 June 0.3 0.3 0.3 0.3 ======== ======== ======== ======== Other reserve Balance at 1 April 3.3 3.4 - - ________ ________ ________ ________ Balance at 30 June 3.3 3.4 - - ======== ======== ======== ======== Group CompanySix months ended 30 June 2007 2006 2007 2006 US$m US$m US$m US$mMovements: Fair value reserve Balance at 1 January 9.5 1.2 - -Fair value changes of available-for-sale investments, net of tax (7.0) 2.4 - - ________ ________ ________ ________ Balance at 30 June 2.5 3.6 - - ======== ======== ======== ======== Asset revaluation reserve Balance at 1 January 317.9 302.0 - -Revaluation surplus of land and buildings, net of tax 0.3 - - - Reserve realised on disposal of land and buildings (0.1) - - - ________ ________ ________ ________ Balance at 30 June 318.1 302.0 - - ======== ======== ======== ======== Hedging reserve Balance at 1 January (0.8) - - -Fair value changes of derivatives, net of tax (0.2) - - - ________ ________ ________ ________ Balance at 30 June (1.0) - - - ======== ======== ======== ======== Share option reserve Balance at 1 January 0.3 0.3 0.3 0.3 ________ ________ ________ ________ Balance at 30 June 0.3 0.3 0.3 0.3 ======== ======== ======== ======== Other reserve Balance at 1 January 3.3 3.8 - -Reserve realised on disposal of a subsidiary - (0.4) - - ________ ________ ________ ________Balance at 30 June 3.3 3.4 - - ======== ======== ======== ======== 9 Revenue reserve Group Company At At At At 30.6.07 30.6.06 30.6.07 30.6.06 US$m US$m US$m US$mComposition: Translation reserve 64.1 16.5 155.4 118.3Retained earnings 1,118.1 898.0 417.6 333.3 ________ ________ ________ ________ 1,182.2 914.5 573.0 451.6 ======== ======== ======== ======== Group Company Three months ended 30 June 2007 2006 2007 2006 US$m US$m US$m US$mMovements: Translation reserve Balance at 1 April 50.4 57.5 165.8 101.3Translation difference 13.6 (41.1) (10.4) 17.0Reserve realised on disposal of subsidiaries 0.1 0.1 - - ________ ________ ________ ________ Balance at 30 June 64.1 16.5 155.4 118.3 ======== ======== ======== ======== Retained earnings Balance at 1 April 1,089.5 902.5 400.0 305.3Asset revaluation reserve realised on disposal of land and buildings 0.2 0.1 - - Actuarial loss on defined benefit pension plans, net of tax - (2.7) - - Profit attributable to shareholders 75.8 38.2 65.0 68.1 Dividends (net) (47.4) (40.1) (47.4) (40.1) ________ ________ ________ ________ Balance at 30 June 1,118.1 898.0 417.6 333.3 ======== ======== ======== ======== Group Company Six months ended 30 June 2007 2006 2007 2006 US$m US$m US$m US$mMovements: Translation reserve Balance at 1 January 66.9 (63.3) 153.2 77.3Translation difference (4.3) 76.7 2.2 41.0Reserve realised on disposal of subsidiaries 1.5 3.1 - - ________ ________ ________ ________ Balance at 30 June 64.1 16.5 155.4 118.3 ======== ======== ======== ======== Retained earnings Balance at 1 January 1,012.8 840.7 396.9 314.9Asset revaluation reserve realised on disposal of land and buildings 0.1 - - - Other reserve realised on disposal of a subsidiary - 0.4 - - Actuarial loss on defined benefit pension plans, net of tax (1.1) (2.7) - - Gain on dilution of interests in investments - 1.1 - - Profit attributable to shareholders 153.5 98.6 68.1 58.5 Dividends (net) (47.4) (40.1) (47.4) (40.1)Reserve realised on disposal of subsidiaries 0.2 - - - ________ ________ ________ ________ Balance at 30 June 1,118.1 898.0 417.6 333.3 ======== ======== ======== ======== 10 Minority interests Group Three months ended 30 June 2007 2006 US$m US$m Balance at 1 April 2,225.5 2,062.7 _________ _________ Revaluation surplus of land and buildings, net of tax 0.4 - Fair value changes of hedging derivatives, net of tax (0.5) - Fair value changes of available-for-sale investments, net of tax 2.9 1.5 Actuarial gain/(loss) on defined benefit pension plans, net of tax 0.1 (4.3) Translation difference 14.4 (39.8) _________ _________ Total gain/(loss) recognised directly in equity 17.3 (42.6) Profit for the period 110.2 62.2 _________ _________ Total recognised gain for the period 127.5 19.6Dividends (net) (94.8) (110.7)Acquisition/disposal of subsidiaries (2.0) (1.0) _________ _________ Balance at 30 June 2,256.2 1,970.6 ========= ========= Six months ended 30 June 2007 2006 US$m US$m Balance at 1 January 2,149.6 1,987.2 _________ _________ Revaluation surplus of land and buildings, net of tax 0.4 - Fair value changes of hedging derivatives, net of tax (0.4) - Fair value changes of available-for-sale investments, net of tax (5.6) 3.1 Actuarial loss on defined benefit pension plans, net of tax (1.6) (4.3) Loss on dilution of interest in investments - (1.1)Translation difference (5.9) 100.7 _________ _________ Net gain/(loss) recognised directly in equity (13.1) 98.4 Profit for the period 214.0 148.1 _________ _________ Total recognised gain for the period 200.9 246.5Dividends (net) (94.9) (110.9)Issue of shares - 9.4Acquisition/disposal of subsidiaries 0.6 (161.6) _________ _________ Balance at 30 June 2,256.2 1,970.6 ========= ========= 11 Cash flows from operating activities Group Three months ended Six months ended 30.6.07 30.6.06 30.6.07 30.6.06 US$m US$m US$m US$m Profit before tax 260.3 142.8 494.5 337.4 Adjustments for: ______ ______ ______ ______ Financing income (9.8) (12.9) (16.4) (20.7)Financing charges 21.8 21.5 44.4 41.0Share of associates' and joint ventures' results (44.1) (38.8) (90.4) (72.2) Depreciation and amortisation of property, plant and equipment and leasehold land use rights 67.6 57.7 133.4 112.4 Amortisation of intangible assets 4.5 - 5.5 -(Profit)/loss on disposal of: - leasehold land use rights (0.1) (2.5) (7.3) (3.7)- property, plant and equipment (3.6) (2.7) (4.7) (4.4)- repossessed assets 21.1 27.1 29.7 52.2- subsidiaries - - 1.5 (7.2)- associate 2.6 - 2.6 -Fair value changes of: - investment properties (0.4) 1.3 (0.4) 1.3- plantations 1.2 (0.7) - (1.2)Write-down of stocks 1.1 1.7 2.0 2.9Impairment of debtors 19.7 64.2 47.2 63.7Changes in provisions 1.9 3.6 5.5 6.5Foreign exchange translation (0.8) 35.5 4.5 (21.5)difference Excess of net fair value of identified assets, liabilities and contingent liabilities acquired over cost of business combination (2.9) - (8.9) (0.2) ______ ______ ______ ______ 79.8 155.0 148.2 148.9 ______ ______ ______ ______ Operating profit before working capital changes 340.1 297.8 642.7 486.3 Changes in working capital: ______ ______ ______ ______ Stocks (12.1) 54.3 33.4 100.7Financing debtors (3.0) 162.1 114.5 431.1Debtors (148.1) (64.6) (213.5) (175.9)Creditors 147.5 16.7 202.2 (22.4)Pensions 2.3 - 4.4 - ______ ______ ______ ______ (13.4) 168.5 141.0 333.5 ______ ______ ______ ______ Cash flows from operating activities 326.7 466.3 783.7 819.8 ====== ====== ====== ====== Page 19 12 Interested person transactions Aggregate value of all interested Aggregate value person of all interested transactions person (excluding transactions transactions less conducted under than S$100,000 and shareholders' transactions mandate pursuant conducted under to Rule 920 shareholders' (excluding mandate pursuant transactions less Name of interested person to Rule 920) than S$100,000) __________________________ ____________________ ___________________ US$m US$m Three months ended 30 June 2007 Jardine Matheson Limited - management consultancy services - 0.3 Jardine Engineering (Singapore) Pte Ltd - maintenance of air-conditioning equipment - 0.1 ____________________ ___________________ - 0.4 ==================== =================== Six months ended 30 June 2007 Jardine Matheson Limited - management consultancy services - 0.6 Jardine Engineering (Singapore) Pte Ltd - maintenance of air-conditioning equipment - 0.1 Director of the Company, Owen Howell-Price Owen Howell-Price - sale of a motor vehicle 0.2 - - purchase of a motor vehicle 0.1 - ____________________ ___________________ 0.3 0.7 ==================== =================== 13 Issue of shares The number of shares that may be issued on conversion of all outstanding optionsgranted pursuant to the CCL Executives' Share Option Schemes amounted to 161,000as at 30 June 2007 (30.6.2006: 311,000). Between 1 April 2007 and 30 June 2007, 2,000 ordinary shares were issued forcash pursuant to the exercise of options granted under the CCL Executives' ShareOption Schemes to subscribe for shares in the capital of the Company at theexercise price of S$4.34 per share. Except for those mentioned above, there were no other rights, bonus or equityissues during the period between 1 April 2007 and 30 June 2007. 14 Closure of books NOTICE IS HEREBY GIVEN that the Transfer Books and the Register of Members willbe closed on Thursday, 30 August, 2007 for the purpose of determiningshareholders' entitlement to the interim dividend. Duly completed transfers received by Jardine Cycle & Carriage Limited's ShareRegistrar, M&C Services Private Limited at 138 Robinson Road #17-00, TheCorporate Office, Singapore 068906 up to 5.00 p.m. on Wednesday, 29 August 2007("Books Closure Date") will be registered before entitlements to the interimdividend are determined. Shareholders whose securities accounts with The CentralDepository (Pte) Limited ("CDP") are credited with shares as at the BooksClosure Date will be entitled to the interim dividend. The interim dividend willbe paid on or about Wednesday, 17 October, 2007. As in the previous years,shareholders will continue to have the option to receive the dividend in scrip.Shareholders who do not elect for the scrip alternative will have the option toreceive the dividend in Singapore dollars. In the absence of any election, thedividend will be paid in US dollars. Details on these electives will befurnished to shareholders in due course. 15 Others The results do not include any pre-acquisition profits and have not beenaffected by any item, transaction or event of a material or unusual nature otherthan the non-trading items shown in Note 5 of this report. No significant transaction or event has occurred between 1 July 2007 and thedate of this report. - end - For further information, please contact:Jardine Cycle & Carriage LimitedHo Yeng Tat Tel: 65 64708108 The full text of the Financial Statements and Dividend Announcement for the sixmonths ended 30 June 2007 can be accessed through the internet at 'www.jcclgroup.com'. This information is provided by RNS The company news service from the London Stock Exchange