Audited Results to 28 February 2017

FOR IMMEDIATE RELEASE  1 August 2017

Asia Wealth Group Holdings Limited
("Asia Wealth" or the "Company")

AUDITED RESULTS FOR THE FINANCIAL YEAR ENDED 28 FEBRUARY 2017

The Board is pleased to report the Audited Results of Asia Wealth Group Holdings Limited for the Financial Year from 1 March 2016 to 28 February 2017. These accounts have been prepared in accordance with the NEX Rules and contain an audit opinion which is qualified only in respect of the possible effects of the Group's investment in Ray Alliance not having been assessed for impairment. The Accounts will shortly be available on the NEX website, http://www.nexexchange.com or via the Company’s website, www.asiawealthgroup.com and extracts are set out below and in Appendix 1.

Chairman’s Statement

The Company reports a consolidated loss of US$110,395 (last year (US$150,068)),

Whilst the Board is disappointed with the consolidated results for the sixth financial year of the Company, it is working hard to restore the Company’s to profitability and has identified several new areas of business expansion opportunities in South East Asia and with a few groups in North America and in Europe. The Company’s main source of income, Meyer Asset Management Ltd, achieved a net profit of US$163,817 (last year US$119,959) and continues to show a satisfactory performance, despite difficult trading conditions. 

The Board remains focused on further acquisitions and partnerships in Europe and the Americas as well as the south-east Asian region. The Board has a cash surplus to seek further acquisitions and is currently looking at businesses in the Fintech space.

I would again like to thank the Company’s staff for their hard work throughout the year and shareholders for their support and we look forward to taking advantage of the opportunities which we expect to encounter in the forthcoming year.

The Directors do not recommend the payment of a dividend for the year ended 29 February 2016.

Richard Cayne
Chairman

The Directors of the Company accept responsibility for the content of this announcement.

Contacts:

Richard Cayne (Chairman and CEO)
Asia Wealth Group Holdings Limited, +66 (0) 2611-2561
Guy Miller (Corporate Advisers)
Peterhouse Corporate Finance Limited, +44 (0) 20 7469 0930
www.asiawealthgroup.com

Consolidated Statement of Financial Position
For the year ended 29 February 2017

Expressed in U.S.Dollars

				2017		2016
Non-current assets
Fixed assets				31,697		41,266
Investment property				380,246		—
Goodwill				—		11,815
				411,943		53,081
Current assets
Cash and cash equivalents				869,147		1,281,923
Trade receivables				215,041		268,828
Loans and other receivables				133,046		45,843
Due from related party				97		—
Prepayments and other assets				96,352		110,959
Available-for-sale investment				318,162		318,162
Investment in associate				—		—
				1,631,845		2,025,715
Total assets			$	2,043,788		2,078,796
Equity
Share capital				913,496		913,496
Share-based payment reserve				10,708		35,423
Consolidation reserve				405,997		405,997
Translation reserve				(9,317)		(15,919)
Accumulated deficit				(372,081)		(302,692)
Total equity attributable to equity holders of the
Parent Company				948,803		1,036,305
Equity attributable to non-controlling interests				(17,552)		(1,201)
Total equity				931,251		1,035,104
Non-current liabilities
Liabilities under finance lease agreement				18,245		26,032
Current liabilities
Trade payables				927,954		933,698
Due to related parties				59,966		10,911
Liabilities under finance lease agreement				7,017		7,868
Deferred revenue				1,958		1,911
Other payables and accrued expenses				97,397		63,272
				1,094,292		1,017,660
Total liabilities				1,112,637		1,043,692
Total equity and liabilities			$	2,043,788	$	2,078,796

Consolidated Statement of Comprehensive Income
For the year ended 29 February 2017

Expressed in U.S.Dollars

				2017		2016
Revenue
Commission income				1,517,797		1,202,336
Rental income				9,058		—
				1,526,855		1,202,336
Expenses
Commission expense				880,977		534,638
Professional fees				283,976		341,119
Directors’ fees				218,902		216,418
Bad debt expense				76,188		44,100
Wages and salaries				51,037		49,681
Travel and entertainment				50,058		65,363
Office expense				40,395		45,663
Depreciation				20,017		28,569
Marketing				15,805		48,204
Rent				14,115		14,277
Bank charges				6,401		6,682
Communications expense				2,919		3,029
Other expenses				22,209		13,159
				1,682,999		1,410,902
Net loss from operations				(156,144)		(208,566)
Other income/(expenses)
Gain on disposal of fixed assets				5,684		—
Share of loss of associate company				(29,382)		—
Impairment of goodwill				(11,815)		—
Foreign currency exchange (loss)/gain				(19,387)		56,491
Other income				101,986		6,456
				47,086		62,947
Net loss before finance costs				(109,058)		(145,619)
Finance costs
Interest expense				1,337		4,449
Net loss before taxation				(110,395)		(150,068)
Taxation				—		—
Total comprehensive loss			$	(110,395)	$	(150,068)
Total comprehensive loss attributable to:
Equity holders of the Parent Company				(94,104)		(135,919)
Non-controlling interest				(16,291)		(14,149)
			$	(110,395)	$	(150,068)
Loss per share attributable to the equity holders of the Parent Company:
Basic loss per share			$	(0.00823)	$	(0.01189)
Diluted loss per share			$	(0.00812)	$	(0.01142)

Consolidated Statement of Cash Flows
For the year ended 29 February 2017

Expressed in U.S.Dollars

		2017		2016
Operating activities
Total comprehensive loss		(110,395)		(150,068)
Adjustments for:
Bad debt expense		76,188		44,100
Depreciation		20,017		28,569
Gain on disposal of fixed assets		(5,510)		—
Share of loss of associate company		29,382		—
Impairment of goodwill		11,815		—
Foreign currency exchange loss		23,002		13,307
Operating income/(loss) before changes in operating assets and liabilities		44,499		(64,092)
Changes in operating assets and liabilities:
Increase in trade receivables		(22,401)		(39,445)
Increase in loan and other receivables		(87,203)		(45,843)
Decrease/(increase) in prepayments and other assets		14,607		(22,768)
Decrease in trade payables		(5,744)		(249,448)
Decrease in liabilities under finance lease agreements		(8,638)		(19,299)
Increase in deferred revenue		47		1,911
Increase in other payables and accrued expenses		34,125		1,295
Cash flows used in operating activities		(30,708)		(437,689)
Investing activities
Acquisition of subsidiary		—		(28,987)
Acquisition of associate		(29,382)		—
Acquisition of investment property		(387,939)		—
Acquisition of fixed assets		(2,755)		(910)
Disposal of fixed assets		5,510		—
Cash flows used in investing activities		(414,566)		(29,897)
Financing activities
Net advances from related party		48,958		32,746
Cash flows from financing activities		48,958		32,746
Net decrease in cash and cash equivalents		(396,316)		(434,840)
Effects of exchange rate fluctuations on cash and cash equivalents		(16,460)		21,179
Cash and cash equivalents at beginning of year		1,281,923		1,695,584
Cash and cash equivalents at end of year	$	869,147	$	1,281,923
Cash and cash equivalents comprise cash at bank.