Tan Chong International

Tan Chong International: 1H15 net profit grew 12.5% to HK$172.3m on an 80.4% jump in revenue to HK$7.2b on consolidation of results from Zero Co. (HK$2.5b). EBITDA margin remained relatively stable at 7.2% (-0.4ppt). However, bottom line was weighed on by a 93% jump in finance costs to HK$49.7m, a 27.3% increase in depreciation costs to HK$122m as well as a 4-fold jump in minority interests to HK$78.6m. Interim dividend of HK2.5¢ maintained. NAV/share of HK$6.11.