SHENZHEN, July 29, 2021 /PRNewswire/ -- Nam Tai
Property Inc. ("Nam Tai" or the "Company") (NYSE Symbol: NTP) today
announced its unaudited financial results for the quarter ended
June 30, 2021.
SUMMARY
All of our PRC lenders have demanded us to repay their
respective outstanding loans immediately due to the significant
uncertainty on share ownership and the potential changes in the
Board of Directors of the Company. The Company has been in an
ongoing dialogue with the lenders to appease them from taking
further legal actions, while exploring other potential lenders for
refinancing. In addition, the lenders have suspended fund
withdrawal of some of our bank accounts in light of freezing orders
issued by the relevant PRC courts regarding some lawsuits filed by
our suppliers, resulting in a liquidity crunch in our operations.
As a result, the Company is unable to meet the progress payment of
our contractors and suppliers, causing delays in the construction
in progress and disrupting the day-to-day operations. Further, some
of our suppliers and contractors have also taken legal actions
against the Company for the outstanding payments. In general, our
suppliers and contractors have imposed more stringent payment
terms, further exacerbating the liquidity of the Company. The
Company has been operating in this challenging environment, while
striving to meet the completion schedule of Nam Tai Inno Park and
the commencement of pre-sale of Nam Tai • Longxi.
In the quarter ended June 30, 2021:
- Revenue was $9.5 million in the
second quarter of 2021, an increase of $8.7
million year-on-year.
- Net loss from operations was $0.3
million in the second quarter of 2021, reduced from net loss
from operations of $4.5 million in
the second quarter of 2020.
- Consolidated net loss was $0.3
million in the second quarter of 2021, reduced from
consolidated net loss from operations of $3.8 million in the second quarter of 2020.
- Real estate properties under development, net was $336.1 million as of June
30, 2021, an increase of $23.9
million from the end of 2020.
- Real estate properties held for lease, net was $124.5 million as of June
30, 2021, an increase of $32.3
million from the end of 2020.
In addition:
- The occupancy rate of Nam Tai Inno Park reached 59% by the end
of the second quarter, an increase of 11% from the first quarter of
2021.
- Approximately 1,200 dormitory units of Nam Tai Inno Park have
been delivered to our tenants as of June 30,
2021.
- The capping of the roof of Nam Tai Technology Center has been
completed as of June 30, 2021.
- We have applied for the pre-sale of Nam Tai • Longxi. Subject
to the approval of the local authority, the pre-sale is expected to
commence in August 2021. The sales
center and the show flats for the pre-sale have been opened since
July 2021.
The following tables set forth key highlights of the financial
information for the periods indicated:
(In thousands of
US dollars, except per share data, percentages and as otherwise
stated)
|
|
|
|
Quarterly
Results
|
|
Six Months
Results
|
|
|
Q2
2021
|
|
Q2
2020
|
|
YoY(%)(a)
|
|
6M
2021
|
|
6M
2020
|
|
YoY(%)(a)
|
Revenue
|
|
$
|
9,547
|
|
$
|
843
|
|
|
1,032.5%
|
|
$
|
78,594
|
|
$
|
1,542
|
|
4,996.9%
|
Gross
profit
|
|
$
|
5,469
|
|
$
|
160
|
|
|
3,318.1%
|
|
$
|
50,439
|
|
$
|
242
|
|
20,742.6%
|
Net (loss) income
from operations
|
|
$
|
(306)
|
|
$
|
(4,489)
|
|
|
|
|
$
|
35,934
|
|
$
|
(8,211)
|
|
|
|
% of
revenue
|
|
|
(3.2)
|
%
|
|
(532.5)
|
%
|
|
|
|
|
45.7
|
%
|
|
(532.5)
|
%
|
|
|
per share
(diluted)
|
|
$
|
(0.01)
|
|
$
|
(0.11)
|
|
|
|
|
$
|
0.91
|
|
$
|
(0.21)
|
|
|
|
Consolidated net
(loss) income
|
|
$
|
(292)
|
|
$
|
(3,784)
|
|
|
|
|
$
|
25,339
|
|
$
|
(6,960)
|
|
|
|
% of
revenue
|
|
|
(3.1)
|
%
|
|
(448.9)
|
%
|
|
|
|
|
32.2
|
%
|
|
(451.4)
|
%
|
|
|
Basic (loss) income
per share
|
|
$
|
(0.01)
|
|
$
|
(0.10)
|
|
|
(90.0)%
|
|
$
|
0.65
|
|
$
|
(0.18)
|
|
|
—
|
Diluted (loss) income
per share
|
|
$
|
(0.01)
|
|
$
|
(0.10)
|
|
|
(90.0)%
|
|
$
|
0.65
|
|
$
|
(0.18)
|
|
|
—
|
Weighted average
number of shares ('000)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
39,226
|
|
|
39,144
|
|
|
|
|
|
39,212
|
|
|
38,888
|
|
|
|
Diluted
|
|
|
39,330
|
|
|
39,144
|
|
|
|
|
|
39,280
|
|
|
38,888
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes:
|
(a)
Percentage change is not applicable if either of the two periods
contains a loss or no amount.
|
|
|
Financial
Position
|
|
|
As of June
30,
|
|
|
As of December
31,
|
|
|
As of June
30,
|
|
|
2021
|
|
|
2020
|
|
|
2020
|
Cash and cash
equivalents(a)
|
|
$
|
4,378
|
|
|
$
|
60,980
|
|
|
$
|
68,091
|
Short-term
investments(b)
|
|
$
|
66,662
|
|
|
$
|
150,150
|
|
|
$
|
—
|
Restricted
cash
|
|
$
|
100,582
|
|
|
$
|
2,065
|
|
|
$
|
1,134
|
Real estate
properties under development, net
|
|
$
|
336,116
|
|
|
$
|
312,185
|
|
|
$
|
370,674
|
Real estate
properties held for sales type lease
|
|
$
|
7,638
|
|
|
$
|
31,558
|
|
|
$
|
—
|
Real estate
properties held for lease, net
|
|
$
|
124,489
|
|
|
$
|
92,207
|
|
|
$
|
—
|
Property, plant and
equipment, net
|
|
$
|
26,132
|
|
|
$
|
26,568
|
|
|
$
|
25,026
|
Total
assets
|
|
$
|
694,384
|
|
|
$
|
701,210
|
|
|
$
|
490,140
|
Amount due to a
shareholder
|
|
$
|
146,869
|
|
|
$
|
146,869
|
|
|
$
|
—
|
Current portion of
long term bank loans
|
|
$
|
121,517
|
|
|
$
|
122,883
|
|
|
$
|
3,297
|
Accounts
payable
|
|
$
|
80,653
|
|
|
$
|
61,559
|
|
|
$
|
40,111
|
Advance from
customers
|
|
$
|
5,242
|
|
|
$
|
69,722
|
|
|
$
|
95,884
|
Long term bank
loans
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
121,548
|
Total shareholders'
equity
|
|
$
|
277,122
|
|
|
$
|
248,828
|
|
|
$
|
208,435
|
Total number of
common shares issued
|
|
$
|
39,258
|
|
|
$
|
39,198
|
|
|
$
|
38,935
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes:
|
|
|
|
|
|
|
|
|
|
|
|
(a)
Cash and cash equivalents included all cash balances and
certificates of deposit having a maturity date of three months or
less upon acquisition.
|
(b)
Short term investments included investments with original
maturities of three months and less than 12 months, and investments
that were expected to be realized in cash in the next 12 months. As
of June 30, 2021, the Company had short term investments of
principal amount of $66.7 million, which were from the proceeds of
a private placement completed on October 5, 2020 (the "Private
Placement"), investing into a supply chain finance fund managed by
Credit Suisse (the "Fund") with underlying notes insured by
insurance companies with a credit rating of at least A by Standard
& Poor's or A2 by Moody's, which was terminated with effect as
of March 4, 2021 due to some of the fund's assets being subject to
considerable valuation uncertainty and reduced availability of
insurance coverage for new investments, and was subsequently in
liquidation. We were notified by Credit Suisse that the liquidation
proceeds were to be repaid by instalments.
|
SUPPLEMENTARY INFORMATION (UNAUDITED) IN THE SECOND QUARTER
OF 2021
Key Highlights of Financial Position
|
|
|
|
|
|
|
|
|
|
|
As of June
30,
|
|
|
As of December
31,
|
|
As of June
30,
|
|
|
|
2021
|
|
|
2020
|
|
2020
|
|
Current
ratio(a)
|
|
0.86
|
|
|
0.87
|
|
0.46
|
|
Debt
ratio(b)
|
|
60.1
|
%
|
|
64.5
|
%
|
57.5
|
%
|
Return on
equity(c)
|
|
9.6
|
%
|
|
6.8
|
%
|
(6.6)
|
%
|
Ratio of total
liabilities to total equity
|
|
1.51
|
|
|
1.82
|
|
1.35
|
|
|
|
|
|
|
|
|
|
|
Notes:
|
|
|
|
|
|
|
|
|
(a) Current ratio
is calculated with all current assets divided by all current
liabilities.
|
(b) Debt ratio is
calculated with all total liabilities divided by total
assets.
|
(c) Return on
equity is calculated with consolidated net income (loss) divided by
average of total shareholders' equity at beginning and end of
the period.
|
FINANCIAL RESULTS
Revenue
Revenue for the second quarter of 2021 was $9.5 million, compared to $0.8 million for the second quarter of 2020.
Revenue for the second quarter of 2021 mainly consisted of the
lease income of $5.5 million
recognized following the delivery of the dormitory units and
operating lease income of $1.8
million from Nam Tai Inno
Park, operating lease income of $1.1
million from existing buildings located on the sites of Inno
Valley, Wuxi, Shanghai, and the
leased space at Nam Tai • Tang Xi Technology Park. Revenue for the
second quarter of 2020 mainly consisted of rental income of
$0.8 million from existing factory
buildings located on the sites of Inno Valley, Wuxi and the leased
space at Nam Tai • Tang Xi Technology Park.
Gross Profit
Gross profit for the second quarter of 2021 was $5.5 million compared to $0.2 million in the second quarter of 2020. Gross
profit for the second quarter of 2021 mainly consisted of revenue
of $9.5 million, offset by cost of
$4.0 million for the period. Gross
profit for the second quarter of 2020 mainly consisted of revenue
of $0.8 million, offset by rental
cost of $0.6 million for the
period.
Net (Loss) Income from Operations
Net loss from operations for the second quarter of 2021 was
$0.3 million, compared to net loss
from operations of $4.5 million for
the second quarter of 2020. Net loss from operations for the second
quarter of 2021 mainly consisted of gross profit of $5.5 million, offset in part by our general and
administrative expenses of $4.2
million and selling and marketing expenses of $1.6 million for the period. Net loss from
operations for the second quarter of 2020 mainly consisted of
general and administrative expenses of $2.6
million and selling and marketing expenses of $2.1 million, offset in part by our gross profit
of $0.2 million for the period. The
increase in general and administrative expenses of $1.6 million in the second quarter of 2021 was
mainly due to the increase in legal, agent and professional
fees.
Consolidated Net Income (Loss)
Consolidated net loss for the second quarter of 2021 was
$0.3 million, compared to
consolidated net loss of $3.8 million
for the second quarter of 2020. Consolidated net loss for the
second quarter of 2021 mainly consisted of net loss from operations
of $0.3 million and income tax
expenses of $0.4 million, offset in
part by other income of $0.3 million
and interest income of $0.1 million.
Consolidated net loss for the second quarter of 2020 mainly
consisted of net loss from operations of $4.5 million and other net loss of $0.02 million, offset in part by interest income
of $0.4 million from time deposits
and deferred income tax credit of $0.3
million.
Cash and Cash Equivalents
Cash and cash equivalents decreased by $56.6 million in the six months of 2021 from
$61.0 million as of December 31, 2020 to $4.4
million as of June 30, 2021.
The decrease was primarily attributable to net cash provided by
investing activities of $83.2
million, offset by net cash used in operating activities of
$39.2 million and financing
activities of $2.0 million, an
exchange rate effect of $0.05 million
and the increase in restricted cash of $98.5
million. The net cash provided by investing activities was
primarily attributable to proceeds from the redemption and
distribution of short term investments of $83.5 million in the first six months of
2021.
Restricted Cash
Restricted cash increased by $98.5
million in the six months of 2021 from $2.1 million as of December 31, 2020 to $100.6 million as of June
30, 2021, as our lending banks have restricted the
remittance from the bank accounts of some of our subsidiaries in
the PRC in light of freezing orders issue by the relevant PRC
courts regarding some lawsuits filed by our suppliers in the PRC
and an injunctive order was imposed on the Company by the High
Court of Justice of the British Virgin
Islands of the Eastern Caribbean Supreme Court in
March 2021, which has restricted us
from dealing with the proceeds raised from the Private
Placement.
Real Estate Properties under Development, Net
Real estate properties under development, net increased by
$23.9 million in the six months of
2021 from $312.2 million as of
December 31, 2020 to $336.1 million as of June
30, 2021, primarily attributable to the increase of
$25.1 million for the construction of
Nam Tai Technology Center, $15.2
million for the construction of Nam Tai • Longxi, and
decrease of $16.8 million for the
construction of Nam Tai Inno Park. During the six months of 2021,
the Company completed Tower 5 of Nam Tai Inno Park which was then
transferred to real estate properties held for lease, net.
Real Estate Properties Held for Sales Type Lease
Real estate properties held for sales type lease are stated at
the lower of carrying amounts or fair value less selling costs.
Real estate properties held for sales type lease decreased by
$23.9 million from $31.6 million as of December 31, 2020 to $7.6
million as of June 30, 2021.
The decrease was mainly due to delivery of part of Towers 8, 9 and
10 during the six months of 2021.
Real Estate Properties Held for Lease, Net
Real estate properties held for lease, net are recorded at cost
less accumulated depreciation. Real estate properties held for
lease, net increased by $32.3 million
from $92.2 million as of December 31, 2020 to $124.5 million as of June
30, 2021. The increase was mainly due to the transfer of
Tower 5 of Nam Tai Inno Park from real estate properties under
development during the six months of 2021.
Accounts Payable
Accounts payable increased by $19.1
million in the six months of 2021 from $61.6 million as of December 31, 2020 to $80.7
million as of June 30, 2021.
The increase was mainly due to the increase of project payable of
$9.5 million, $1.9 million and $8.7
million for Nam Tai Technology Center, Nam Tai Inno Park and Nam Tai • Longxi,
respectively, offset partially by the decrease of project payable
of $1.0 million for other
subsidiaries, respectively.
Advance from Customers
Advance from customers decreased by $64.5
million in the six months of 2021 from $69.7 million as of December 31, 2020 to $5.2
million as of June 30, 2021.
The decrease was mainly attributed to the recognition of revenue of
$72.4 million from the prepaid rent
for the units delivered to customers of Nam Tai Inno Park during
the period, offset by $7.9 million of
rent and other fees received in advance during the period.
Current Portion of Long Term Bank Loans
The current portion of long term bank loans decreased by
$1.4 million in the six months of
2021 from $122.9 million as of
December 31, 2020 to $121.5 million as of June
30, 2021, due to $2.6 million
of loan repayments and $1.2 million
of exchange loss in the period. In March
2021, the Company received demand letters from Bank of
China, Bank of Beijing, Industrial Bank, and Xiamen
International Bank (the "Lending Banks"), regarding payment in full
of amounts due under the respective loan agreements with the banks.
Following the demand letters, the Lending Banks have restricted the
remittance from the accounts of the subsidiaries of the Company in
their banks in the PRC. The Company continues to negotiate with the
Lending Banks. All bank borrowings were re-classified as current
liabilities as of December 31,
2020.
Liquidity and Capital Resources
As of June 30, 2021, the Company
had a total cash and cash equivalents of $4.4 million. As of December 31, 2020, the Company had a total cash
and cash equivalents of $61.0
million.
The Company continues to discuss liquidity solutions with the
lending banks and other financial institutions, and will provide a
further update in due course.
Going Concern
The unaudited consolidated financial information of the Company
for the second quarter of 2021 has been prepared on the assumption
that the Company will continue as a going concern which
contemplates the realization of assets and the satisfaction of
liabilities in the normal course of business. As of June 30, 2021, the Company had net current
liabilities of $55.0 million which,
among other conditions and uncertainties, raised substantial doubt
about its ability to continue as a going concern.
In addition to the continuing negotiations with the Lending
Banks and certain other creditors, the Company is evaluating
several methods of financing, such as additional external
financings, acceleration of the leasing of Nam Tai Inno Park, and
pre-sale of Nam Tai Technology Center and Nam Tai • Longxi, failing
which rights offering and project disposal will also be considered.
Currently, the Company intends to raise loans from financial
institutions and potential funders to maintain our operations.
However, there are significant uncertainties pertaining to the
management of the Company as a result of the postponing of a
special meeting of shareholders. For more information, see "Recent
Developments – Dispute with IsZo Capital LP ("IsZo")". The current
Board and management are committed to taking actions to preserve
the best interests of all shareholders.
Please see the Company's Condensed Consolidated Statements of
Comprehensive Income for further details. The information contained
herein has also been published on the Company's website at
https://www.namtai.com/quarterly/index.html.
BUSINESS OVERVIEW
Leasing Progress
As of June 30, 2021, we had
leasable area of approximately 365,000 square meters, of which
around 85% was located in Shenzhen
and 15% was located in Wuxi and Shanghai. As of June
30, 2021, the occupancy rate of our Shenzhen projects was approximately 63%, and
that of our Wuxi and Shanghai
projects was approximately 99%. The occupancy rate of Nam Tai Inno
Park was 59%, an increase of 11 percentage points from the quarter
ended March 31, 2021.
Projects
|
|
Leasable Area as
of June
30, 2021
|
Leased Area as of
June 30,
2021
|
Occupancy
Rate
|
Shenzhen
|
|
310,193
|
193,901
|
63%
|
Nam Tai Inno
Park
|
|
264,337
|
157,061
|
59%
|
Nam Tai Inno
Valley
|
|
38,270
|
30,241
|
79%
|
Nam Tai • Tang Xi
Technology Park
|
|
7,586
|
6,599
|
87%
|
Wuxi &
Shanghai
|
|
54,809
|
54,390
|
99%
|
Wuxi
facilities
|
|
50,828
|
50,828
|
100%
|
Nam Tai • U-Creative
Space (Lujiazui)
|
|
3,981
|
3,562
|
89%
|
Total
|
|
365,002
|
248,292
|
68%
|
Project Construction and Development Progress
- For Nam Tai Inno Park, all
constructions have been completed and approximately 1,200 dormitory
units have been delivered to our tenants as of July 28, 2021. We attracted approximately 60 new
corporate tenants in the second quarter of 2021, mostly from
healthcare, technology and related industries. We will continue to
promote the leasing of industrial office and commercial spaces in
the second half of 2021.
- For Nam Tai Technology Center, roof capping for Towers A, B, C
and D has been completed as of June 30,
2021. Currently, we are conducting masonry and plastering
works, and mechanical and electrical works for the four towers. We
have not met the conditions for applying the pre-sale permit for
the project.
- For Nam Tai Inno Valley, we are
in the process of obtaining approval for our urban renewal
application. Before obtaining the approval from the local
authorities, we will continue to lease the units in Inno Valley for
short-term tenancy. The occupancy rate of Inno Valley was 79% as of
June 30, 2021.
- For Nam Tai • Longxi, the main structures of the towers of the
project are under construction. Subject to the approval of the
local authority, the Company expects to obtain the pre-sale permit
and commence the pre-sale in August
2021. The sales center for the pre-sale has been opened
since July 2021 and show flats are
available for public viewing. The Company will continue to make
every endeavor to facilitate the pre-sale amid the liquidity
issues. However, there is no assurance that the pre-sale permit
will be obtained and the pre-sale will be a success. Further, there
is no assurance that we will receive payments regarding the
pre-sale in a timely manner from the purchaser of Nam Tai • Longxi
and/or their respective mortgagees, which may adversely affect our
liquidity and financial condition.
Industrial Operation Progress
- In the second quarter of 2021, we held several events to
provide various services to our corporate tenants in respect of
talent recruitment, technology facilitation, financing and policy
consulting, aiming to support the growth of our corporate tenants
and the technology community.
- In respect of talent recruitment, we held a talent fair and
partnered with six human resource agents to assist our corporate
tenants. In respect of technology facilitation, we have established
the "Nam Tai Inno Park Medical Device 3C Industry Platform" in Nam
Tai Inno Park in April 2021, aiming
to facilitate cooperation and technology exchange among enterprises
from biopharmaceuticals and medical device sectors.
- In respect of financing, we co-organized the "2021 Investment
and Financing for Smart Industry Roadshow" with the First Roadshow
Co., Ltd. in Nam Tai Inno Park in May
2021. The event, hosted by the Science and Technology
Innovation Association of Guangming Science City, attracted nearly
80 investment institutions to participate and facilitate potential
investments for the projects presented in the roadshow. In respect
of policy consulting, we held the "1st Nam Tai National
High-tech Enterprise Cultivation and Innovation Training Class" and
provided one-on-one policy counseling services for 38 enterprises
in the second quarter of 2021.
Real Estate Market update
In order to promote the healthy development of the housing
market, the PRC government has been rolling out restrictive
measures with the objectives to curb the rapid price increase in
housing and speculation activities.
The Company is planning to launch the pre-sale of Nam Tai •
Longxi situated in Dongguan in the
second half of 2021. In particular on Dongguan housing market, the local government
has also promulgated restrictive measures to curb rapid rise in
housing price. For instance, on February 27,
2021, the Bureau of Housing and Urban Rural Development of
Dongguan, Municipal Natural
Resources Bureau and six other departments jointly issued a "Notice
on the Further Regulating of the Real Estate Market Regulation" to
curb speculation and excessive price increases. On April 29, 2021, the Bureau of Housing and Urban
Rural Development of Dongguan, the
Trade and Industry Department of Dongguan and the Immovable
Property Registry of Dongguan have
jointly issued a "Notice on Further Guiding the Selling Price of
Commodity Housing" to restrict the pricing of the newly marketed
commodity housing. Further, on July 9,
2021, the Bureau of Housing and Urban Rural Development of
Dongguan has issued a "Notice on
Declaring the Pricing of the New Commodity Housing Project"
stipulating the rules to control the price of the new commodity
housing and land tendering so as to curb speculation and excessive
price increases.
Despite the implementation of these policies, the land sales
market in Dongguan remains
buoyant. On July 22, 2021, a parcel
of residential and commercial land situated in Machong town, which
is in close proximity to our Nam Tai • Longxi project, attracted 11
participants for public bidding and was transacted at a premium of
39.7% with an effective per-square-meter price of RMB14,008. This transaction, compared to the
purchase price of the land where Nam Tai • Longxi is (i.e.
approximately RMB10,950 per square
meter), reflects our foresight to the market of Guangdong–Hong
Kong–Macau Greater Bay Area, and our abilities to create value for
shareholders through strategic expansion. Hence, we believe that
despite the restrictive government measures, the growth of the real
estate market remains steady and it is conducive for a healthy and
sustainable development of our business.
RECENT DEVELOPMENTS
Dispute with IsZo Capital LP ("IsZo")
On April 7, 2021, we filed an
application to appeal the March 3,
2021 judgment issued by the Eastern Caribbean Supreme Court
in the High Court of Justice in the British Virgin Islands where it was held that
the Private Placement was void and should be set aside (the
"Appeal"). On April 20, 2021, the
Eastern Caribbean Court of Appeal
in the British Virgin Islands (the
"Court of Appeal") has granted an order postponing the special
meeting of shareholders previously scheduled for April 26, 2021 at a later date to be determined
pending judgment of the Appeal.
West Ridge Investment Company Limited ("West Ridge"), being the
3rd Defendant in the dispute with IsZo, filed a Notice of
Application for judgment requesting the Company to refund the
consideration paid for the purpose of the Private Placement and
other costs incurred in relation to the dispute with IsZo. By an
order approved on June 28, 2021, the
said application was adjourned with permission to restore after the
handing down of judgment by the Court of Appeal regarding the
Appeal.
Further, IsZo filed a certificate of urgency to, among others
things, restrain the Company and Greater Sail Limited ("GSL"),
being the 2nd Defendant in the dispute with IsZo, from taking any
further steps in relation to an arbitration in Hong Kong whereby GSL has requested the
Company to refund the consideration paid for the purpose of the
Private Placement. The hearing in relation to such certificate of
urgency was adjourned, and the Company and GSL have undertaken to
take necessary steps to stay the arbitration in Hong Kong as stated in an order dated
May 28, 2021.
The Appeal was heard before the Court of Appeal from
June 14, 2021 to June 16, 2021. However, there is no indication as
to when the Court of Appeal will hand down its judgment.
Supply Chain Finance Fund Managed by Credit Suisse
We have placed $150 million out of
the proceeds from the Private Placement to the Fund with the
objective of seeking a stable and enhanced return through an
insured cash management solution. The Fund was managed by Credit
Suisse with underlying notes insured by insurance companies with a
credit rating of at least A by Standard & Poor's or A2 by
Moody's. In January 2021, the Company
received a redemption amount of $15
million from the Fund. The Fund was terminated with effect
as of March 4, 2021 due to some of
the fund's assets being subject to considerable valuation
uncertainty and reduced availability of insurance coverage for new
investments, and was subsequently in liquidation. We have been
notified by Credit Suisse that the liquidation proceeds will be
repaid by instalments. As of July 7,
2021, the Company received three instalments in aggregate of
$70.7 million (the "Sum") from the
Fund. We are restricted from dealing with the Sum as it belongs to
the proceeds from the Private Placement. Please see "Financial
Result – Restricted Cash" for more information.
We continue to negotiate with Credit Suisse and are committed to
act in the best interest of the Company. Further, the Securities
& Futures Commission of Hong
Kong and Hong Kong Monetary Authority have confirmed receipt
of our complaint sent on April 19,
2021. We will render every assistance so requested by the
aforementioned regulators to the extent necessary and appropriate,
and as advised by our external counsels. However, there is no
assurance that we can fully recover our principal from the
Fund.
Lawsuits filed by our suppliers
As of July 28,
2021, the Group has received a total of seven writs of
summons from our suppliers in the PRC seeking orders from the
relevant PRC courts to settle the alleged outstanding construction
fees/payments amounting to an aggregate of approximately
RMB80.7 million, in which the
respective PRC courts have issued rulings to freeze bank accounts
of the relevant subsidiaries of our Group amounting to
approximately RMB21.9 million in
relation to four of the aforementioned writs of summons. We are
negotiating with the relevant suppliers, and seeking legal advice
from external counsel to prepare for the upcoming hearings.
Further, an arbitration in the PRC regarding a dispute over a
design fee of one of our suppliers in the PRC was concluded whereby
the Shenzhen Court of
International Arbitration ordered that one of our subsidiaries in
the PRC was to pay the supplier a sum as recognized and enforced
via an award from the Shenzhen Intermediate People's Court in
June 2021. The said awarded sum was
subsequently deducted from the bank account of the relevant
subsidiary.
OPERATING RESULTS
|
|
As of June 30,
2021
|
(By Floor
Area)
|
|
(in square
meter)
|
Project
Completed
|
|
295,365
|
Project Under
Development
|
|
345,451
|
Project For Future
Development
|
|
170,200
|
Total
|
|
811,016
|
Project Portfolio - As of June 30,
2021
Project
|
|
|
Nam
Tai
Inno
Park
|
|
Nam
Tai
Technology
Center
|
|
Nam
Tai
Inno
Valley
|
|
Nam Tai •
Longxi
|
City
|
|
|
Shenzhen
|
|
Shenzhen
|
|
Shenzhen
|
|
Dongguan
|
Type(a)
|
|
|
Office and
Dormitory
|
|
Office and
Dormitory
|
|
Office and
Dormitory
|
|
Residential and
Commercial
Property
|
Site Area
(sq.m.)
|
|
|
103,739
|
|
22,364
|
|
22,367
|
|
33,763
|
Capacity
GFA
|
|
|
265,139
|
|
139,746
|
|
N/A
|
|
84,408
|
Total GFA
(sq.m.)
|
|
|
331,701
|
|
194,595
|
|
170,200(b)
|
|
114,520
|
Total
GFA
|
Completed(c)
|
|
|
295,365
|
|
-
|
|
-
|
|
-
|
Under
Development
(sq.m.)
|
|
|
36,336(d)
|
|
194,595
|
|
-
|
|
114,520
|
Future
Development
(sq. m.)
|
|
|
-
|
|
-
|
|
170,200(b)
|
|
-
|
Interest
Attributable To
Us
|
|
|
100%
|
|
100%
|
|
100%
|
|
100%
|
Address
|
|
|
Fenghuang
Community,
Guangming District,
Shenzhen
|
|
Namtai Road, Baoan
District, Shenzhen
|
|
Dongtai Village,
Machong Town,
Dongguan
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes:
|
|
|
|
|
|
|
|
|
|
|
|
(a) The types of
our projects are based on our development plans or certificates
issued by the relevant authority subject to adjustment upon the
final approval.
|
(b) The gross floor
area is based on the assumption that we will receive M-0 zoning
approval for the entire Inno Valley site prior to its
redevelopment. If we do not receive the M-0 zoning approval, we
will be required to develop Inno Valley under the M-1 zoning
requirements. In that case, appropriate adjustments to our plan
will have to be made. The existing gross floor area of Inno Valley
is 41,927 square meters. According to "Shenzhen Industrial Block
Range Line Management Measures", the location of Nam Tai Inno
Valley is within the designated industrial block range, of which
the government strictly controls the proportion of M-0 zoning on
industrial land. Therefore, the proportion of M-0 zoning, floor
area ratio and construction area of Inno Valley are subject to the
final approval of the government which is uncertain at this time.
We cannot guarantee that we will be able to develop Inno Valley
according to the floor area currently disclosed.
|
(c) Properties
completed refer to the status following the completion of the
construction of the properties, the registration of the completion
acceptance and the internal acceptance criteria.
|
(d) As of July 28,
all constructions of Nam Tai Inno Park have been
completed.
|
Properties Under Development
The table below sets forth certain information of our property
projects under development as of June 30,
2021, comprising properties under development with the
foundation work construction permits obtained but the construction
work was still in progress.
Project
|
|
Nam Tai Inno
Park
|
|
Nam Tai
Technology
Center
|
|
Nam Tai •
Longxi
|
City
|
|
Shenzhen
|
|
Shenzhen
|
|
Dongguan
|
(Estimated) Total GFA
(sq. m.)
|
|
331,701
|
|
194,595
|
|
114,520
|
(Estimated) Leasable
GFA (sq. m.)
|
|
264,337
|
|
-
|
|
-
|
(Estimated) Saleable
GFA (sq. m.)
|
|
-
|
|
130,166
|
|
64,408(a)
|
Commencement of
Construction
|
|
May
2017
|
|
December
2018
|
|
July 2020
|
Status of Pre-sale
Permit
|
|
Not
eligible
|
|
To be
obtained
|
|
To be
obtained
|
(Estimated)
Completion Time
|
|
July 2021
|
|
2022
|
|
2022
|
Interest Attributable
to Us
|
|
100%
|
|
100%
|
|
100%
|
|
|
|
|
|
|
|
Notes:
|
(a) Excluding
parking space and construction area that needs to be handed over to
the local government free of charge. The final floor area is
subject to the approval of the government.
|
Properties for Future Development
The table below sets forth certain information of our property
projects held for future development as of June 30, 2021, comprising properties for which we
have obtained the land use right certificate and are in the process
of obtaining the foundation work construction permits, or we have
entered into land grant contracts or are in the process of applying
for special planning although the land use right certificate is not
yet obtained.
Project
|
|
Nam Tai Inno
Valley
|
City
|
|
Shenzhen
|
Estimated Total
GFA(1) (sq. m.)
|
|
170,200
|
Estimated Completion
Time
|
|
2025
|
Note:
|
(1)
The figures are subject to adjustment upon the final approval of
the relevant authority.
|
Projects for Operation and Management
The table below sets forth certain information of our projects
leased from third parties for operation and management as of
June 30, 2021.
|
Project
|
|
Location
|
|
Contracted Floor
Area
(sq.
m.)
|
|
Operation
Model
|
1
|
Nam Tai • Tang Xi
Technology Park
|
|
Shenzhen
|
|
7,586
|
|
Tenant Recruitment
and
Operation
|
2
|
Nam Tai • U-Creative
Space (Lujiazui)
|
|
Shanghai
|
|
3,981
|
|
Tenant Recruitment
and
Operation
|
The information contained in, or that can be accessed
through, the website mentioned in this announcement does not form
part of the announcement.
FORWARD-LOOKING STATEMENTS AND FACTORS THAT COULD CAUSE OUR
SHARE PRICE TO DECLINE
Certain statements included in this announcement, other than
statements of historical fact, are forward-looking statements.
Forward-looking statements generally can be identified by the use
of forward-looking terminology such as "may", "might", "can",
"could", "will", "would", "anticipate", "believe", "continue",
"estimate", "expect", "forecast", "intend", "plan", "seek", or
"timetable". These forward-looking statements, which are subject to
risks, uncertainties, and assumptions, may include projections of
our future financial performance based on our growth strategies and
anticipated trends in our business and the industry in which we
operate. These statements are only predictions based on our current
expectations about future events. There are several factors, many
beyond our control, which could cause results to differ materially
from our expectation. These risk factors are described in our
Annual Report on Form 20-F and in our Current Reports filed on Form
6-K from time to time and are incorporated herein by reference. Any
of these factors could, by itself, or together with one or more
other factors, adversely affect our business, results of operations
or financial condition. There may also be other factors currently
unknown to us, or have not been described by us, that could cause
our results to differ from our expectations. Although we believe
the expectations reflected in the forward-looking statements are
reasonable, we cannot guarantee future results, levels of activity,
performance, or achievements. You should not rely upon
forward-looking statements as predictions of future events. These
forward-looking statements apply only as of the date of this
announcement; as such, they should not be unduly relied upon as
circumstances change. Except as required by law, we are not
obligated, and we undertake no obligation, to release publicly any
revisions to these forward-looking statements that might reflect
events or circumstance occurring after the date of this
announcement or those that might reflect the occurrence of
unanticipated events.
CONFERENCE CALL INFORMATION
The Company will hold a conference call at 8 a.m. (Eastern Time) on August 2, 2021, in which the senior management
will discuss the results for the second quarter of 2021. Investor
may register and get access to the listen-only webcast through the
link which can be found under "Investor News – Information and
Activities – Investor Relations" on the Company's website at
https://www.namtai.com/investornews/index.html. Please note that no
question-and-answer session will be arranged during the call and
investors are welcome to make enquiries by writing to the media and
investor relations department of the Company by email at
ir@namtai.com.cn or by contacting our US-based public
relations agent Edelman at Ira.grosky@edelman.com.
ABOUT NAM TAI PROPERTY INC.
We are a real estate developer and operator, mainly conducting
business in Mainland China. Our main land resources are located in
the Guangdong-Hong Kong-Macao
Greater Bay Area ("Greater Bay Area") and Wuxi, the PRC, of which
the three plots of land in Shenzhen will be developed into the technology
parks of Nam Tai Inno Park, Nam Tai Technology Center and
Nam Tai Inno Valley. We plan to
build these technology parks into landmark projects in the region,
and provide high-quality industrial offices, industrial service
spaces and supporting dormitories to the park tenants. Based on the
experience of developing and operating technology parks, and the
industrial relationship network accumulated over the past 40 years,
we have also exported the operation mode of technology parks to
other industrial properties using the asset-light model to rent
industrial properties for repositioning and business invitation. We
will also expand the commercial and residential property business
in the PRC as an auxiliary development strategy of the Company. As
the growth prospects of the PRC maintain, we will actively seize
development opportunities in the Greater Bay Area and other first-
and second-tier cities in the PRC, and continue to strengthen and
expand the business of industrial real estate, and commercial and
residential properties.
Nam Tai Property Inc. is a corporation registered in the
British Virgin Islands and listed
on the New York Stock Exchange (Symbol: "NTP"). Please refer to the
Nam Tai website (www.namtai.com) or the SEC website (www.sec.gov)
for our press releases and financial results.
CONTACTS
Ira Gorsky, Edelman
Email: Ira.gorsky@edelman.com
Cell: 732-740-5872
Media and Investor Relations, Nam Tai Property Inc.
E-mail: ir@namtai.com.cn
NAM TAI PROPERTY
INC.
|
CONDENSED
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
|
FOR THE PERIODS ENDED
JUNE 30, 2021 AND 2020
|
(In Thousands of US
dollars except share and per share data)
|
|
|
|
|
|
|
|
|
Three months
ended June 30,
|
|
|
Six months ended
June 30,
|
|
|
2021
|
|
2020
|
|
|
2021
|
|
2020
|
|
|
(Unaudited)
|
|
|
(Unaudited)
|
|
|
(Unaudited)
|
|
|
(Unaudited)
|
Revenue
|
|
$
|
9,547
|
|
|
|
843
|
|
|
$
|
78,594
|
|
|
$
|
1,542
|
Cost of
revenue
|
|
|
(4,078)
|
|
|
|
(683)
|
|
|
|
(28,155)
|
|
|
|
(1,300)
|
Gross
profit
|
|
$
|
5,469
|
|
|
$
|
160
|
|
|
$
|
50,439
|
|
|
$
|
242
|
Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and
administrative expenses
|
|
|
(4,174)
|
|
|
|
(2,545)
|
|
|
|
(11,761)
|
|
|
|
(5,548)
|
Selling and marketing
expenses
|
|
|
(1,601)
|
|
|
|
(2,104)
|
|
|
|
(2,744)
|
|
|
|
(2,905)
|
Total operating
expenses
|
|
$
|
(5,775)
|
|
|
$
|
(4,649)
|
|
|
$
|
(14,505)
|
|
|
$
|
(8,453)
|
Net income
(loss) from operations
|
|
$
|
(306)
|
|
|
$
|
(4,489)
|
|
|
$
|
35,934
|
|
|
$
|
(8,211)
|
Other
income (expense), net
|
|
|
291
|
|
|
|
(2)
|
|
|
|
336
|
|
|
|
(59)
|
Interest
income
|
|
|
93
|
|
|
|
368
|
|
|
|
174
|
|
|
|
779
|
Income
(Loss) before income tax
|
|
$
|
78
|
|
|
$
|
(4,123)
|
|
|
$
|
36,444
|
|
|
$
|
(7,491)
|
Income tax (expense)
benefit
|
|
|
(370)
|
|
|
|
339
|
|
|
|
(11,105)
|
|
|
|
531
|
Consolidated
net income (loss)
|
|
$
|
(292)
|
|
|
$
|
(3,784)
|
|
|
$
|
25,339
|
|
|
$
|
(6,960)
|
Other
comprehensive income (loss) (1)
|
|
|
5,031
|
|
|
|
243
|
|
|
|
2,197
|
|
|
|
(2,494)
|
Functional currency
translation adjustment
|
|
|
5,031
|
|
|
|
243
|
|
|
|
2,197
|
|
|
|
(2,494)
|
Consolidated
comprehensive income (loss)
|
|
$
|
4,739
|
|
|
$
|
(3,541)
|
|
|
$
|
27,536
|
|
|
$
|
(9,454)
|
Earnings (loss) Per
Share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
(0.01)
|
|
|
$
|
(0.10)
|
|
|
$
|
0.65
|
|
|
$
|
(0.18)
|
Diluted
|
|
$
|
(0.01)
|
|
|
$
|
(0.10)
|
|
|
$
|
0.65
|
|
|
$
|
(0.18)
|
Weighted average
number of shares ('000)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
39,226
|
|
|
|
39,144
|
|
|
|
39,212
|
|
|
|
38,888
|
Diluted
|
|
|
39,330
|
|
|
|
39,144
|
|
|
|
39,280
|
|
|
|
38,888
|
|
Notes:
|
(1)
Other comprehensive loss was due to foreign
exchange translation.
|
NAM TAI PROPERTY
INC.
|
CONDENSED
CONSOLIDATED BALANCE SHEETS
|
AS AT JUNE 30, 2021
AND DECEMBER 31, 2020
|
(In Thousands of
US dollars)
|
|
|
|
|
|
|
|
|
June
30,
2021
|
|
|
December
31,
2020
|
|
|
(Unaudited)
|
|
|
(Audited)
|
ASSETS
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
4,378
|
|
|
$
|
60,980
|
Restricted
cash
|
|
|
100,582
|
|
|
|
2,065
|
Short term
investments
|
|
|
66,662
|
|
|
|
150,150
|
Rental
deposits
|
|
|
156
|
|
|
|
156
|
Accounts
receivable
|
|
|
4,430
|
|
|
|
3,965
|
Real estate properties
under development, net
|
|
|
136,912
|
|
|
|
121,693
|
Real estate properties
held for sales type lease
|
|
|
7,638
|
|
|
|
31,558
|
Prepaid expenses and
other receivables
|
|
|
9,163
|
|
|
|
7,141
|
Total current
assets
|
|
$
|
329,921
|
|
|
$
|
377,708
|
Rental
deposits
|
|
|
344
|
|
|
|
287
|
Real estate
properties under development, net
|
|
|
199,204
|
|
|
|
190,492
|
Property, plant and
equipment, net
|
|
|
26,132
|
|
|
|
26,568
|
Real estate
properties held for lease, net
|
|
|
124,489
|
|
|
|
92,207
|
Right of use
assets
|
|
|
9,161
|
|
|
|
9,695
|
Deferred income tax
assets
|
|
|
5,033
|
|
|
|
4,154
|
Other
assets
|
|
|
100
|
|
|
|
99
|
Total
assets
|
|
$
|
694,384
|
|
|
$
|
701,210
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
Current portion of
long term bank loans
|
|
|
121,517
|
|
|
|
122,883
|
Accounts
payable
|
|
|
80,653
|
|
|
|
61,559
|
Rental deposits from
customers
|
|
|
709
|
|
|
|
1,498
|
Accrued expenses and
other payables
|
|
|
28,381
|
|
|
|
30,136
|
Advance from
customers
|
|
|
5,242
|
|
|
|
69,722
|
Amount due to a
shareholder
|
|
|
146,869
|
|
|
|
146,869
|
Amount due to a
related company
|
|
|
941
|
|
|
|
161
|
Current portion of
lease liabilities
|
|
|
604
|
|
|
|
1,064
|
Total current
liabilities
|
|
$
|
384,916
|
|
|
$
|
433,892
|
Long term rental
deposits
|
|
|
2,481
|
|
|
|
300
|
Financing lease
payable
|
|
|
19
|
|
|
|
19
|
Deferred income tax
liabilities
|
|
|
20,990
|
|
|
|
8,927
|
Noncurrent portion of
lease liabilities
|
|
|
8,856
|
|
|
|
9,244
|
Total
liabilities
|
|
$
|
417,262
|
|
|
$
|
452,382
|
EQUITY
|
|
|
|
|
|
|
|
Shareholders'
equity:
|
|
|
|
|
|
|
|
Common
shares
|
|
|
393
|
|
|
|
392
|
Additional paid-in
capital
|
|
|
265,841
|
|
|
|
265,084
|
Retained earnings
(accumulated deficit)
|
|
|
14,517
|
|
|
|
(10,822
|
Accumulated other
comprehensive loss(1)
|
|
|
(3,629)
|
|
|
|
(5,826
|
Total shareholders'
equity
|
|
$
|
277,122
|
|
|
$
|
248,828
|
Total liabilities and
shareholders' equity
|
|
$
|
694,384
|
|
|
$
|
701,210
|
|
Notes:
|
(1)
Accumulated other comprehensive loss represented conversion
differences in foreign currency statements.
|
NAM TAI PROPERTY
INC.
|
CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
FOR THE PERIODS ENDED
JUNE 30, 2021 AND 2020
|
(In Thousands of
US dollars)
|
|
|
|
Three months
ended June 30,
|
|
|
Six months
ended June 30,
|
2021
|
|
2020
|
|
|
2021
|
|
|
|
2020
|
|
|
(Unaudited)
|
|
|
(Unaudited)
|
|
|
(Unaudited)
|
|
|
(Unaudited)
|
CASH FLOWS FROM
OPERATING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated net
(loss) income
|
|
$
|
(292)
|
|
|
$
|
(3,784)
|
|
|
$
|
25,339
|
|
|
$
|
(6,960)
|
Adjustments to
reconcile consolidated net (loss) income to net cash
provided by operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
1,198
|
|
|
|
383
|
|
|
|
2,283
|
|
|
|
777
|
Amortization of right
of use assets
|
|
|
505
|
|
|
|
444
|
|
|
|
971
|
|
|
|
852
|
Unrealized gain of
trading securities
|
|
|
—
|
|
|
|
(97)
|
|
|
|
—
|
|
|
|
—
|
Share-based
compensation expenses
|
|
|
96
|
|
|
|
363
|
|
|
|
193
|
|
|
|
1,102
|
Unrealized exchange
(gain) loss
|
|
|
(752)
|
|
|
|
16
|
|
|
|
(103)
|
|
|
|
(28)
|
Deferred income tax
benefit
|
|
|
589
|
|
|
|
(356)
|
|
|
|
11,184
|
|
|
|
(515)
|
Changes in assets
and liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Increase) decrease in
accounts receivable
|
|
|
(306)
|
|
|
|
1
|
|
|
|
(465)
|
|
|
|
(6)
|
(Increase) decrease in
prepaid expenses and other receivables
|
|
|
(1,156)
|
|
|
|
18,322
|
|
|
|
(2,022)
|
|
|
|
6,242
|
Increase in
deposit
|
|
|
(57)
|
|
|
|
(4)
|
|
|
|
(57)
|
|
|
|
(178)
|
Increase in real
estate properties under development
|
|
|
(17,908)
|
|
|
|
(106,673)
|
|
|
|
(10,291)
|
|
|
|
(114,357)
|
Increase (decrease) in
accrued expenses and other payables
|
|
|
650
|
|
|
|
1,317
|
|
|
|
(1,638)
|
|
|
|
(5,485)
|
Increase (decrease) in
accounts payable
|
|
|
3,510
|
|
|
|
(586)
|
|
|
|
(976)
|
|
|
|
(586)
|
Decrease in lease
liabilities
|
|
|
(952)
|
|
|
|
(197)
|
|
|
|
(1,303)
|
|
|
|
(851)
|
(Decrease) increase in
advance from customers
|
|
|
(2,950)
|
|
|
|
24,664
|
|
|
|
(64,480)
|
|
|
|
28,242
|
Increase in rental
deposits from customers
|
|
|
916
|
|
|
|
94
|
|
|
|
1,392
|
|
|
|
470
|
Increase in amount due
to a related company
|
|
|
780
|
|
|
|
—
|
|
|
|
780
|
|
|
|
—
|
Total
adjustments
|
|
$
|
(15,837)
|
|
|
$
|
(62,309)
|
|
|
$
|
(64,532)
|
|
|
$
|
(84,321)
|
Net cash used in
operating activities
|
|
$
|
(16,129)
|
|
|
$
|
(66,093)
|
|
|
$
|
(39,193)
|
|
|
$
|
(91,281)
|
CASH FLOWS FROM
INVESTING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchase of property,
plant & equipment
|
|
|
(232)
|
|
|
|
(364)
|
|
|
|
(316)
|
|
|
|
(397)
|
Proceeds from trading
securities
|
|
|
—
|
|
|
|
2,823
|
|
|
|
—
|
|
|
|
—
|
Decrease in short term
investments
|
|
|
25,737
|
|
|
|
4,090
|
|
|
|
83,488
|
|
|
|
2,166
|
Net
cash provided by (used in) investing
activities
|
|
$
|
25,505
|
|
|
$
|
6,549
|
|
|
$
|
83,172
|
|
|
$
|
1,769
|
CASH FLOWS FROM
FINANCING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Repayment of bank
loans
|
|
|
(1,317)
|
|
|
|
(872)
|
|
|
|
(2,584)
|
|
|
|
(8,135)
|
Proceeds from bank
loans
|
|
|
—
|
|
|
|
3,388
|
|
|
|
—
|
|
|
|
38,274
|
Proceeds from shares
issued for option exercise
|
|
|
565
|
|
|
|
—
|
|
|
|
565
|
|
|
|
2,049
|
Net cash (used in)
provided by financing activities
|
|
$
|
(752)
|
|
|
$
|
2,516
|
|
|
$
|
(2,019)
|
|
|
$
|
32,188
|
Net increase
(decrease) in cash, cash equivalents and restricted
cash
|
|
$
|
8,624
|
|
|
$
|
(57,028)
|
|
|
$
|
41,960
|
|
|
$
|
(57,324)
|
Cash, cash
equivalents and restricted cash at beginning of period
|
|
|
92,499
|
|
|
|
122,130
|
|
|
|
63,045
|
|
|
|
130,218
|
Effect of exchange
rate changes on cash, cash equivalents and
restricted cash
|
|
|
3,837
|
|
|
|
4,123
|
|
|
|
(45)
|
|
|
|
(3,669)
|
Cash, cash
equivalents and restricted cash at end of period
|
|
$
|
104,960
|
|
|
$
|
69,225
|
|
|
$
|
104,960
|
|
|
$
|
69,225
|
SUPPLEMENTARY
INFORMATION ON CASH FLOWS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
4,378
|
|
|
$
|
68,091
|
|
|
$
|
4,378
|
|
|
$
|
68,091
|
Restricted
cash
|
|
$
|
100,582
|
|
|
$
|
1,134
|
|
|
$
|
100,582
|
|
|
$
|
1,134
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NAM TAI PROPERTY
INC.
|
NOTES TO CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS
|
FOR THE PERIODS ENDED
JUNE 30, 2021 AND 2020
|
(In Thousands of
US dollars)
|
|
1. These
financial statements, including the consolidated balance sheet as
of December 31, 2020, which was derived from audited financial
statements, do not include all of the information and notes
required by U.S. Generally Accepted Accounting Principles for
complete financial statements and should be read in conjunction
with the consolidated financial statements and accompanying notes
included in the Company's annual report on Form 20-F for the fiscal
year ended December 31, 2020.
|
2. In the opinion
of management, all adjustments (consisting of normal, recurring
adjustments) considered necessary for a fair presentation have been
included. Operating results for the interim periods presented are
not necessarily indicative of the results that may be expected for
the full year ending December 31, 2021.
|
3. Accumulated
other comprehensive loss represents foreign currency translation
adjustments. The consolidated comprehensive income was $27.5
million for the six months ended June 30, 2021 and the consolidated
comprehensive loss was $9.5 million for the six months ended June
30, 2020.
|
4. A summary of
the operating income, other (expenses) income, net (loss) income
and long-lived assets by geographical areas is as
follows:
|
|
|
|
Three months ended
June 30,
|
|
Six months ended June
30,
|
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
RENTAL INCOME
WITHIN:
|
|
|
|
|
|
|
|
|
|
|
|
|
-PRC, excluding Hong
Kong
|
|
$
|
9,547
|
|
$
|
843
|
|
$
|
78,594
|
|
$
|
1,542
|
NET (LOSS) INCOME
FROM OPERATIONS WITHIN:
|
|
|
|
|
|
|
|
|
|
|
|
|
- PRC, excluding Hong
Kong
|
|
$
|
1,841
|
|
$
|
(2,578)
|
|
$
|
33,774
|
|
$
|
(4,273)
|
- Hong Kong
|
|
|
(2,133)
|
|
|
(1,207)
|
|
|
(8,435)
|
|
|
(2,687)
|
Total net (loss)
income
|
|
$
|
(292)
|
|
$
|
(3,785)
|
|
$
|
25,339
|
|
$
|
(6,960)
|
|
|
June 30,
2021
|
|
|
December 31,
2020
|
LONG-LIVED ASSETS
WITHIN:
|
|
|
|
|
|
|
|
- Real estate
properties under development in PRC, excluding Hong
Kong
|
|
$
|
199,204
|
|
|
$
|
190,492
|
- Property, plant and
equipment in PRC, excluding Hong Kong
|
|
|
26,021
|
|
|
|
26,389
|
- Hong Kong
|
|
|
111
|
|
|
|
179
|
- Real estate
properties held for lease in PRC, excluding
Hong Kong
|
|
|
124,489
|
|
|
|
92,207
|
- Right of use assets
in PRC, excluding Hong Kong
|
|
|
9,134
|
|
|
|
9,511
|
- Hong Kong
|
|
|
27
|
|
|
|
184
|
Total long-lived
assets
|
|
$
|
358,986
|
|
|
$
|
318,962
|
View original
content:https://www.prnewswire.com/news-releases/nam-tai-property-inc-announces-q2-2021-results-301344342.html
SOURCE Nam Tai Property Inc.