Earnest Investments : INTERIM RESULTS ANNOUNCEMENT FOR THE SIX MONTHS ENDED 30 JUNE 2016

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

EARNEST INVESTMENTS HOLDINGS LIMITED

安利時投資控股有限公司*

(Continued into Bermuda with limited liability)

(Stock Code: 339) INTERIM RESULTS ANNOUNCEMENT FOR THE SIX MONTHS ENDED 30 JUNE 2016

The board (the "Board") of directors (the "Directors", and each, a "Director") of Earnest Investments Holdings Limited (the "Company") is pleased to announce the unaudited interim financial results of the Company for the six months ended 30 June 2016 together with the comparative figures for the corresponding period in 2015.

CONDENSED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

(Unaudited) Six months ended 30 June
Note	2016	2015
HK$	HK$
Revenue	4	62,032	22,960
(Losses)/gains on disposals of financial assets at fair value through profit or loss	(23,164,798)	443,882
Net change in fair value gains/(losses) on financial assets at fair value through profit or loss	18,050,445	(3,955,337)
Administrative and other operating expenses	(2,814,150)	(1,567,574)
Loss before tax	(7,866,471)	(5,056,069)
Income tax	5	-	-
Loss for the period attributable to owners of the Company	6	(7,866,471)	(5,056,069)
Other comprehensive income for the period, net of tax	-	-
Total comprehensive income for the period attributable to owners of the Company	(7,866,471)	(5,056,069)
Loss per share
Basic	8	(0.068)	(0.052)

FOR THE SIX MONTHS ENDED 30 JUNE 2016 CONDENSED STATEMENT OF FINANCIAL POSITION AT 30 JUNE 2016

(Unaudited)	(Audited)
30 June	31 December
Note	2016	2015
HK$	HK$
Non-current assets
Property, plant and equipment	9	436,752	-
Current assets
Financial assets at fair value through profit or loss	19,109,715	24,981,310
Prepayments, deposits and other receivables	336,726	141,556
Bank and cash balances	18,942,090	8,449,793
38,388,531	33,572,659
Current liabilities
Accruals and other payables	399,296	246,662
Net current assets	37,989,235	33,325,997
Total assets less current liabilities	38,425,987	33,325,997
Non-current liabilities	-	-
NET ASSETS	38,425,987	33,325,997
Capital and reserves attributable to owners of the Company
Share capital	2,320,000	1,940,000
Reserves	36,105,987	31,385,997
TOTAL EQUITY	38,425,987	33,325,997
Net asset value per share	10	0.33	0.34

NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS

For the six months ended 30 June 2016

1. COPORATE INFORMATION

   Earnest Investments Holdings Limited (the "Company") was continued into Bermuda as an exempted company with limited liability under the Companies Act 1981 of Bermuda. The address of its registered office is Canon's Court, 22 Victoria Street, Hamilton HM 12, Bermuda. The address of its principal place of business is Suites 04 & 05, 19/F., Harbour Centre, 25 Harbour Road, Wanchai, Hong Kong.

   The principal activity of the Company is investment and trading of listed and unlisted equity securities.

   The condensed interim financial statements have not been audited.

2. BASIS OF PREPARATION

   The unaudited condensed interim financial statements have been prepared in accordance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" issued by the Hong Kong Institute of Certified Public Accountants (the "HKICPA") and the applicable disclosures required by the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules").

   These condensed interim financial statements do not include all the information and disclosures required in the annual financial statements and should be read in conjunction with the Company's 2015 annual financial statements. The accounting policies and methods of computation used in the preparation of these condensed interim financial statements are consistent with those used in the annual financial statements for the year ended 31 December 2015.

3. ADOPTION OF NEW AND REVISED HONG KONG FINANCIAL REPORTING STANDARDS

   In the current period, the Company has adopted all the new and revised Hong Kong Financial Reporting Standards ("HKFRSs") issued by the HKICPA that are relevant to its operations and effective for its accounting period beginning on 1 January 2016. HKFRSs comprise Hong Kong Financial Reporting Standards; Hong Kong Accounting Standards and Interpretations. The adoption of these new and revised HKFRSs did not have any significant effect on the condensed financial statements.

4. REVENUE

   (Unaudited)
   Six months ended 30 June
   2016	2015
   HK$	HK$
   Dividend income from listed investments	60,643	21,500
   Bank interest income	1,389	1,460
   Revenue	62,032	22,960
   Proceeds from disposals of financial assets at fair value through profit or loss	1,699,242	18,227,520

   No segment information is presented as all of the revenue and contribution to operating results, assets and liabilities of the Company are attributable to investment activities which are carried out or originated principally in Hong Kong.

5. INCOME TAX

   No provision for Hong Kong Profits Tax is required since the Company has no assessable profit for the period (2015: Nil).

6. LOSS FOR THE PERIOD ATTRIBUTABLE TO OWNERS OF THE COMPANY

   (Unaudited)
   Six months ended 30 June
   2016	2015
   HK$	HK$
   Investment management fee (Note 7)	343,871	180,000
   Depreciation	28,618	-
   Directors' remuneration
   - Fees	210,000	176,400
   - Retirement benefits scheme contributions	4,500	3,000
   214,500	179,400
   Operating lease charges - land and buildings	667,867	84,000

   The Company's loss for the period attributable to owners of the Company is stated after charging the following:

7. CONNECTED PARTY TRANSACTIONS

On 3 June 2015, the Company entered into an investment management agreement (the "Existing Management Agreement") with Success Talent Investments Limited ("Success Talent") for the provision of investment management services to the Company for a period of two years from 26 July 2015 with investment management fee of HK$40,000 per month payable monthly in arrears. A written confirmation between the Company and Success Talent was made to terminate the Existing Management Agreement with effect from 12 May 2016. During the period, the investment management fee of HK$245,161 (including the early termination payment) was paid by the Company to Success Talent.

On 12 May 2016, the Company entered into the new management agreement (the "New Management Agreement") with China Everbright Securities (Hong Kong) Limited ("CES"), for the provision of investment management services to the Company for a period of two years from 12 May 2016 with investment management fee of HK$60,000 per month payable monthly in arrears. During the period, the investment management fee of HK$98,710 was paid by the Company to CES.

Rule 14A.08 of the Listing Rules provides that where a listed company is an investment company listed under Chapter 21 of the Listing Rules, its connected persons also include an investment manager. Accordingly, the provision of investment management services by the investment managers to the Company under the above-mentioned investment management agreements constitutes continuing connected transactions of the Company under Chapter 14A of the Listing Rules.