Listed Company Information
 

AEON STORES<00984> - Results Announcement

AEON Stores (Hong Kong) Co. Limited announced on 14/05/2004:
(stock code: 00984 )
Year end date: 29/2/2004
Currency: HKD
Auditors' Report: Unqualified

                                                        (Audited   )
                                     (Audited   )       Last
                                     Current            Corresponding
                                     Period             Period
                                     from 1/3/2003      from 1/3/2002  
                                     to 29/2/2004       to 28/2/2003  
                               Note  ('000      )       ('000      )
Turnover                           : 4,608,801          3,961,113         
Profit/(Loss) from Operations      : 111,036            83,062            
Finance cost                       : (25)               (23)              
Share of Profit/(Loss) of 
  Associates                       : N/A                N/A               
Share of Profit/(Loss) of
  Jointly Controlled Entities      : N/A                N/A               
Profit/(Loss) after Tax & MI       : 85,844             61,341            
% Change over Last Period          : +39.95    %
EPS/(LPS)-Basic (in dollars)       : 0.3302             0.2359            
         -Diluted (in dollars)     : N/A                N/A               
Extraordinary (ETD) Gain/(Loss)    : N/A                N/A               
Profit/(Loss) after ETD Items      : 85,844             61,341            
Final Dividend                     : 13 cents           9 cents           
  per Share                                                               
(Specify if with other             : N/A                N/A               
  options)                                                                
                                                                          
B/C Dates for 
  Final Dividend                   : 14/6/2004          to 17/6/2004 bdi.
Payable Date                       : 28/7/2004 
B/C Dates for Annual         
  General Meeting                  : 14/6/2004          to 17/6/2004 bdi.
Other Distribution for             : N/A           
  Current Period                     
                                     
B/C Dates for Other 
  Distribution                     : N/A          

Remarks:

1.      FINANCIAL REPORTING STANDARDS AND REASON FOR RESTATED RETAINED 
PROFITS

In the current year, the Group has adopted the following Hong Kong 
Financial Reporting Standards ("HKFRSs") issued by the Hong Kong Society 
of Accountants (HKSA).  The term of HKFRS is inclusive of Statements of 
Standard Accounting Practice ("SSAPs") and Interpretations approved by the 
HKSA.


Income taxes

        In current year, the Group has adopted SSAP12 (Revised) "Income 
taxes".  The principal effect of the adoption of SSAP 12 (Revised) is in 
relation to deferred tax.  In previous years, partial provision was made 
for deferred tax using the income statement liability method under which a 
liability was recognised in respect of timing differences arising, except 
where those timing differences were not expected to reverse in the 
foreseeable future.  SSAP 12 (Revised) requires the adoption of a balance 
sheet liability method, whereby deferred tax is recognised in respect of 
all temporary differences between the carrying amounts of assets and 
liabilities in the financial statements and the corresponding tax bases 
used in the computation of taxable profit, with limited exceptions.  In 
the absence of any specific transitional requirements in SSAP 12 
(Revised), the new accounting policy has been applied retrospectively.  
Comparative amounts for 2003 have been restated accordingly.

As a result of this change in policy, the opening balance on retained 
profits at 1st March, 2003 has been increased by HK$9,846,000 (1st March, 
2002: HK$5,401,000).  The profit for the year ended 29th February, 2004 
has been decreased by HK$720,000 (2003: increased by HK$4,445,000).
 

2.      INCOME TAX EXPENSES
        
                                        2004            2003
                                        HK$'000         HK$'000
                                                        (restated)
        The charge comprises:

        Current year
          Hong Kong                     20,748          19,745
          Other regions in the PRC      3,437           7,671
                                        _______         _______
                                        24,185          27,416
        Underprovision in prior years
          Hong Kong                     -               101
          Other regions in the PRC      584             2,201
                                        _______         _______
                                        24,769          29,718
                                        _______         _______
        Deferred tax charge (credit)
          Current year                  1,643           (4,445)
          Attributable to a change in tax rate
					(923)    	-   
                                        _______         _______
                                         720            (4,445)
                                        _______         _______
        Income tax expenses for the year 25,489         25,273
                                        ======          ======
                

        Hong Kong Profits Tax is calculated at 17.5% (2003: 16%) of the 
estimated assessable profit for the year.  During the year, the Hong Kong 
Profits Tax rate was increased from 16% to 17.5% with effect from the 
2003/2004 year of assessment.  The effect of this increase has been 
reflected in the calculation of current and deferred tax balances at 29th 
February, 2004.

        PRC income tax is calculated at 33% of the estimated assessable 
profits of the subsidiaries.

3.      DIVIDENDS

                                                THE GROUP
                                                2004    2003
                                                HK$'000 HK$'000
Final dividend in respect of 2003 of 9.0 HK cents
  (2002: 9.5 HK cents) per share        
                                                23,400  24,700
Interim dividend paid of 1.0 HK cents (2003: Nil)
  per share     
                                                 2,600   -
                                                -------- --------
                                                26,000  24,700  
                                                ======= ========

The final dividend of 13.0 HK cents per ordinary share has been proposed 
by the directors and is subject to approval by the Company's shareholders 
in general meeting.

4.      EARNINGS PER SHARE

The calculation of earnings per share is based on the Group's net profit 
for the year of HK$85,844,000 (2003: HK$61,341,000) and on 260,000,000 
(2003: 260,000,000) ordinary shares in issue during the year.

        The adjustment to comparative basic earnings per share, arising 
from the adoption of SSAP 12 (Revised) is as follows:
                                                                HK cents

        Reconciliation of 2003 basic earnings per share:

        Reported figure before adjustment                       21.88
        Adjustment arising from the adoption of SSAP 12 (Revised)       
                                                                1.71
                                                                _______
        Restated                                                23.59
                                                                ======