NewWorld Development Company Limited
FINANCIAL SECTION
146
8 OTHER GAINS, NET
(continued)
Notes: (continued)
(b)
During the year, the Group ceased to have significant influence over its interest in Haitong International Securities Group
Limited (“Haitong International”), a company listed on the Stock Exchange which was previously classified as an associated
company of the Group.
As a result, the Group’s interest in Haitong International was reclassified from interest in an associated company to
an available-for-sale financial asset and a fair value gain on remeasurement of HK$914.0 million was recognised in the
consolidated income statement for the year ended 30 June 2015.
(c)
During the year, the Group, through Ballina Enterprises Limited (“Ballina”, a wholly owned subsidiary of the Group) acquired
from Cheung Hung Development (Holding) Limited (“Cheung Hung”, an associate of Chow Tai Fook Enterprises Limited
(“CTF”)) 40% equity interests of Sunbig Limited (“Sunbig”), which was 50% owned by Ballina and accounted for as a joint
venture of the Group, and the entire amount of the unsecured and non-interest bearing shareholder’s loan owing from
Sunbig to Cheung Hung for an aggregate cash consideration of approximately HK$1,779.0 million. After the acquisition,
Sunbig is accounted for as a subsidiary of the Group and a fair value gain on remeasuring previously held interest of
HK$986.6 million was recognised in the consolidated income statement for the year ended 30 June 2015.
9 OPERATING PROFIT
Operating profit of the Group is arrived at after crediting/(charging) the following:
2015
2014
HK$m
HK$m
Gross rental income from investment properties
2,213.7
2,172.0
Outgoings
(717.3)
(649.6)
1,496.4
1,522.4
Cost of inventories sold
(19,709.2)
(20,970.6)
Cost of services rendered
(13,177.9)
(11,290.5)
Depreciation of property, plant and equipment (note 17)
(1,304.3)
(1,342.9)
Amortisation
Land use rights (note 18)
(93.7)
(86.3)
Intangible concession rights (note 19)
(829.9)
(758.2)
Intangible assets (note 20)
(86.1)
(85.6)
Operating lease rental expense
Land and buildings
(1,246.2)
(1,103.0)
Other equipment
(4.7)
(7.8)
Staff costs (note 14(a))
(6,366.8)
(5,569.6)
Auditors’ remuneration
Audit services
(68.5)
(65.6)
Non-audit services
(19.2)
(15.6)
