Water Oasis to suffer operating loss

But it asserts that it was just preliminary assessment.

According to an HKEx release, based on preliminary unaudited consolidated management accounts of the Company for the four months ended 31st January, 2013, the effect of the one-off provision (which is now estimated at approximately HK$23 million, based on more detailed calculation) and weaker than expected profit contribution, the Directors’ preliminary assessment is that the Company may report an unaudited consolidated operating loss or at least a substantial reduction of unaudited consolidated operating profits for the six months ended 31st March, 2013 (i.e. without taking into account any gains or losses on fair value change of investment properties).

However, despite this setback, with its strong cash reserves, the operations of the Company and its subsidiaries remain strong as the group continues to focus on
developing its retail and beauty services operations as planned.

As the first six months period of the current financial year has not yet come to an end, the information contained in this announcement is only a preliminary assessment by the Board based on the Company’s management accounts and information currently available and is not based on any figures or information that has been audited or reviewed by the Company’s auditors.

The interim results announcement of the Company for the six months ended 31st March, 2013 is expected to be published by the end of May 2013.