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Regent Manner International Holdings Limited

2007 Interim Results Announcement

Revenue Surged Over 54%

 

Key Summary

l          Revenue increased by 54.1% to USD184,868,000

l          Gross profit increased by 85.9% to USD24,624,000

l          Gross profit margin further increased to13.3%

l          Profit for the period was USD17,536,000, increased by 98.3%

l          Earning per shares (basic) increase to USD0.0234, increased by 98.3%

l          Enlarged production capacity to 78 production lines

[8 August 2007, Hong Kong] – The world-leading TFT-LCD SMT service provider, Regent Manner International Holdings Limited (“RMIH” or the “Group”, stock code: 1997), today announced its interim results for the 6 months ended 30 June 2007 (“review period”). This is the first results announcement since the Group’s listing on the Main Board of the Stock Exchange of Hong Kong Limited (the “HKSE”) on 10 July 2007.

As the demand of SMT solution and EMS from global market raising, during the review period, RMIH recorded satisfied results. For the 6 months ended 30 June 2007, RMIH recorded revenue reach to USD184,868,000, representing an increase of approximately 54.1% over same period of 2006; gross profit and profit for the period were USD24,624,000and USD17,536,000, representing an increase of 85.9% and 98.3% respectively as compare to last year; and earnings per share (basic) were approximately USD0.0234, representing an increase of 98.3% over same period of last year.

“We are very pleased of the remarkable results the Group achieved during the review period,” said Mr. Wu Kai-Yun, founder and Chairman of Regent Manner International Holdings Limited. “As electronic products advance by leaps and bounds, consumers are having greater demand, which have directly driven up demand for TCT-LCD displays. In order to capitalize on the anticipated market opportunities, the Group has expanded its production lines to cater for global demand for SMT solutions and EMS.”

The Group has been focusing on the research and development of SMT solutions since inception. In recent years, particular efforts have been put in the development of turnkey engagements.  Positioning itself to promptly capture business opportunities, RMIH has been actively expanding its productivity. From 30 June 2006 to 30 June 2007, the number of SMT and EMS production lines has substantially increased from 66 to 78. The enhanced productivity means more than just higher production capacity to the Group. In addition, the Group is also able to achieve economy of scale in production activities and thereby lower its production costs. As a result, gross profit of the Group increased to 13.3% for the review period from 11% for the same period in 2006.

Looking forward, Mr. Wu was full of confidence. “Given the general improvement in living standards around the world and avid demand for advanced technologies and electronic products, demand for TCT-LCD panels is set to rise. This is a favourable development for the growth of SMT solution and electronic manufacturing solution businesses of the Group. Building on its robust foundation, the Group will further enhance its productivity and seize business opportunities, with the expectation of achieving satisfactory results in future.”

Additional productivity enhancement of the Group is planned for the second half of the year. In particular, various production bases will be established in northern China. In the mean time, over 20 additional SMT production lines will be set up in several cities such as Suzhou, Ningbo, Xiamen and Dongguan. With their proximity to the customers, the expanded production lines will more effectively satisfy the increasing demand for services and products, further consolidating the Group’s relation with its customers.

In addition to constantly improving the quality of existing products, RMIH has also been actively developing new products. In the second half of 2007, the Group will launch a collection of new products, including LED light bar, which cater to the demand for new applications in the TFT-LCD display industry.  With the development of new products, the Group is better positioned to further develop its market and capture more market share, further strengthening its leadership in the industry.

 

“As a pioneer in the SMT solution sector, RMIH is confident of its continued growth in the industry,” concluded Mr. Wu. “The Group will endeavour to further enhance its solution and product quality and productivity, thereby maintaining its market leadership and maximising return to shareholders.”

 

About Regent Manner International Holdings Limited

Regent Manner International Holdings Limited (“RMIH”, stock code: 1997) was established in 1997 and listed on the Main Board of Hong Kong Stock Exchange Limited on 10 July 2007. The Group is a leading supplier of TFT-LCD panel control boards around the globe. RMIH is the only company in the sector focusing on the development of surface-mount technology (SMT) for TFT-LCD displays. The Group’s SMT solutions enable the manufacture of more precise and double-sided PCBs by quickly mounting electronic components onto TFT-LCD panels. Such products are widely used in LCD TVs, notebook computers, LCD monitors and a variety of other electronic consumer products. The products and solutions of RMIH are highly acclaimed amongst its customers, including AU Optronics, Innolux of the Foxconn Group and Chi Mei Optoelectronics.

 

Media enquiries:

Porda international (Finance) P.R. Co., Ltd

Ms Sheila Chow            3529 1377         sheila@pordafinance.com.hk

Ms Jean Li                     3529 2700          jean@pordafinance.com.hk

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