DaChan Food Asia : Announcements and Notices -

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(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 3999) Announcement of Interim Results for the six months ended 30 June 2016

The board of directors (the "Board") of DaChan Food (Asia) Limited (the "Company") hereby announces the unaudited consolidated interim results of the Company and its subsidiaries (hereinafter collectively referred to as the "Group") for the six months ended 30 June 2016.

7,634

0.008

(44,234)

(0.04)

117.3

Highlights Six months ended 30 June 2016 (unaudited) 2015 (unaudited) % change

Turnover (RMB'000)

Gross profit (RMB'000) Gross profit margin (%)

Profit/(loss) attributable to equity shareholders of the Company (RMB'000)

Basic earnings/(loss) per share (RMB)

3,756,170

349,387

9.3

4,519,259

294,929

6.5

-16.9

18.5

CONSOLIDATED INCOME STATEMENT For the six months ended 30 June 2016 - not audited by auditors (Expressed in thousands of Renminbi)
Note	Six months ended 30 June 2016 2015
Turnover 3	3,756,170 4,519,259
Cost of sales	(3,406,783) (4,224,330)
Gross profit	349,387 294,929
Change in fair value of biological assets less cost to sell	(2,280) (9,246)
Fair value of agricultural produce on initial recognition Reversal of fair value of agricultural produce due to sales and disposals	9,937 20,714 (9,862) (19,076)
Other operating income	11,066 3,509
Other net gains/(losses)	34,578 (3,839)
Distribution costs	(190,792) (181,668)
Administrative expenses	(133,889) (110,960)
Profit/(loss) from operations	68,145 (5,637)
Finance costs 4(a)	(24,600) (10,603)
Share of losses of equity accounted investees	(888) (1,694)
Profit/(loss) before taxation 4	42,657 (17,934)
Income tax 5	(6,410) (13,270)
Profit/(loss) for the period	36,247 (31,204)
Attributable to: Equity shareholders of the Company	7,634 (44,234)
Non-controlling interests	28,613 13,030
Profit/(loss) for the period	36,247 (31,204)
Earnings/(loss) per share - Basic (RMB) 6	0.008 (0.04)
- Diluted (RMB) 6	0.008 (0.04)

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME For the six months ended 30 June 2016 - not audited by auditors (Expressed in thousands of Renminbi)
Six months ended 30 June 2016 2015
Profit/(loss) for the period Exchange differences on translation of financial statements of overseas subsidiaries	36,247 (31,204) (2,066) (11,218)
Total comprehensive income/(loss) for the period	34,181 (42,422)
Attributable to:
Equity shareholders of the Company	3,566 (53,252)
Non-controlling interests	30,615 10,830
Total comprehensive income/(loss) for the period	34,181 (42,422)

CONSOLIDATED STATEMENT OF FINANCIAL POSITION At 30 June 2016

(Expressed in thousands of Renminbi)

Note	At 30 June 2016 (unaudited)	At 31 December 2015 (audited)
Non-current assets Fixed assets - property, plant and equipment	1,217,017	1,221,483
- lease prepayments	179,277	171,095
Interests in equity-accounted investees	115,200	116,018
Deferred tax assets	29,963	24,251
Long-term tax recoverable	73,391	73,391
Other non-current assets	4,294	12,666
1,619,142	1,618,904
Current assets Inventories	639,087	825,963
Biological assets	4,175	4,241
Trade receivables	7	240,070	322,296
Other receivables	8	504,876	423,021
Income tax recoverable	462	-
Cash and cash equivalents	413,176	530,151
1,801,846	2,105,672
Current liabilities Trade payables	9	466,085	516,427
Other payables	10	432,442	465,033
Bank loans	289,809	319,947
Income tax payable	4,084	10,402
1,192,420	1,311,809
Net current assets	609,426	793,863
Total assets less current liabilities	2,228,568	2,412,767
Non-current liabilities Bank loans	487,765	707,932
Deferred tax liabilities	346	314
488,111	708,246
Net assets	1,740,457	1,704,521
Capital and reserves Share capital	97,687	97,502
Reserves	926,598	929,096
Retained profits	436,567	428,933
Total equity attributable to equity shareholders of the Company	1,460,852	1,455,531
Non-controlling interests	279,605	248,990
Total equity	1,740,457	1,704,521